Bonds
Nice drop from the wave ‘b’ targets in ZB today. Now we need to see a five wave decline to feel good about a reversal lower. Best bears hold any bounce under 122^16 and push to a new swing low.
Crude Oil
Well, crude took another leg lower today in what looks like ‘(III) of [I] of iii’. I’d like to see a modest bounce and another swing low to complete the first impulse down from the January 29th high. Euro
Nice rejection of 1.0915 in the Euro this morning. Not much I can say at this point other than a possible early move down in iii. Will see if it grinds lower next week.
Gold
GC also lower today in what could be the first steps of wave (III) down. I’d like to see clean five waves down develop from the February 1st high.
S&P 500
Interesting day today in the equity indices. S&P 500 futures fell on the NFP number but firmed up where they had to in order to keep the trend up alive, 4930.50, at the open. Bulls then stepped in and managed to recover the pre-NFP high and push beyond. I think it extremely dangerous to chase up but too early to fade. At a minimum, a bear needs to see futures back under 4981.50 and better under 4963.25 for proof of a reversal.