EURJPY: The Euro-Yen is at support and likely to break it.
ACTION 1: Should the Euro-Yen pair break the red horizontal breakout line, consider getting short or short intra-day rallies. Target =103.05.
ACTION 2: Should the pair reverse up and take out 103.96 on the upside, you would likely want to be long with target of 104.80 or higher. See EURJPY 240-minute chart below.
EURUSD: The Euro has poked through short-term support and is likely to break it. Next support is 1.2836. If that is taken out, targets are large and down at 1.2616. The purple mid-line or our band-trend indicator has turned lower, supporting a lower breakout (see daily chart below).
US Stock Market: The S&P500 and NSADAQ-ND have responded perfectly to our forecasts for the low, then a pop up as drawn out several days ago. Now it will either retrace and breakout to the upside or retrace and accelerate lower.
ACTION 1: Exit 1/2 of position on quick long trade and move stops to breakeven.
ACTION 2: Should the SP500 rally fail here and then break the 4 day low of 1393.13, get short with size, with targets down to 1317 to 1292 or lower. Again, cycles are mixed until March 2013 when the major cycles will all be heading down until late 2015 to 2016. See SP500 daily chart below with analysis.
XAUUSD: Gold is breaking support and the purple mid-line trend has turned lower while the magenta trend has been down since early October (see daily gold chart below). This market was short-term overbought and turned lower.
ACTION 1: SELL @ 1705 stop to open, use 1716 stop tloss (if filled on short), move stops to breakeven at 1695, cover 1/2 position @ 1669, and hold remaining to to either 1647 or 1595. Nothing on the long side yet.
Many of the commodities are on or breaking their support now… Energy traders use caution if on the long side.
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