I feel lucky to be an Elliott Wave surfer on days like these. I could see traders driving themselves bonkers trying to navigate today's range that was going nowhere in a hurry. My Elloitt-savy readers easily spotted 4th wave triangles in many of the major markets, and without hesitation or disappointment stepped aside from the market, much like I did last night, to allow the resolution to come. And let me tell you, range resolution is on the way as I see a lot of e-waves in formation.

We are still working that DXY 4th wave triangle from yesterday, along with the bearish equity view while below SPX 1380. And I am really psyched to say that the USD/JPY momentum of truth is almost upon us. I am working a wave iv-of-4 count that should terminate at 104.00, which brings wave 5 to new lows into play.

The Elliott Oscillator confirmed the wave 3 low by printing a new momentum low, and is now pulling back to the zero line which is characteristic of a wave 4 pullback. From here, we expect wave 5 to break to new price lows, but the Elliott Oscillator should print a higher-low as momentum diverges from the new price low.



Todd Gordon is a Technical Currency Strategist and Fund Trader with GAIN Capital Group.

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