7.31.2012

Bull expected to challenge the area 1396.30-1405.00

It seems that yesterday's low marked the end of wave-4. To confirm this, price need to bounce today and print a higher value than 1391.74.
In this scenario, I expect price will make a wave-5 in the area 1396.30-1405.00.
(Wave-4 also can be somewhere below the value 1381.37 in the area 1376.36-1381.37. To make this, price need to pullback into the area and bounce up higher than 1391.74. In this scenario, price is expected to make wave-5 somewhere between 1392.00 and 1404.64).


My trading plan
I see Silver is making new highs meanwhile Gold, Crude and EUR/USD are trying to test the recent highs.
If I scare the highs, I would better stay sideline. I definitely will not short this market until the US and European Central Bankers announce their solutions this Wednesday and Thursday. To short this market based on expectation that Central Bankers will disappoint markets is very risky to me. 



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