Bonds
ZB extended lower today in what I’m calling a [III] of c of (b). Bonds are now near the first target for wave [III] at 114^22. Will see if we get a minor consolidation nearby for wave [IV]. Next target lower if required at 113^20.
Crude Oil
Still not clear that wave [III] has been set in crude as it has been chopping sideways for several days.
Dollar Index
DX doing well as it is starting to push past 105.10. Minor overhead resistance at 105.85 and a projected cycle high next Monday.
Euro
Euro like bonds extended lower on Thursday. I’m not sure what the low time frame count is. One possibility would have this as a (V) of [I] of iii that could be nearing an end. Given the look of the RSI on the daily chart, I think it best to start preparing for a bounce. Next small step down is at 1.0672.
Gold
Gold held support at 2342.40 and popped up to the next square of nine level on the intraday chart at 2416.40 which is just under the 2421.70 from the daily chart which is the next Fibonacci related extension level up. I know the bulls think this is just getting started but I continue to think it is nearing an end in the short-term. Extremely aggressive to fade before seeing some evidence of a reversal on a lower time frame but certainly a good place to manage an existing long.
S&P 500 Futures
As I have been harping on for the last few days, I’ve been thinking that a fourth wave would form against the bottom of the Modified Schiff channel on the daily chart. Indeed, that held this morning, and we had a pretty impressive move up off of it. I the market manages a new high in May but the advance will probably slow. In the short-term, I’m assuming a low degree fourth is forming early Friday morning.