Divergence Magazine Dec 2013

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S&P500

03.12.2013: as I said last month "S&P 500 went above 1749 which created a new situation in the wave count. Now S&P500 could go higher as the wave 5 will unfold", so S&P500 went to new highs to 1813. The Black Friday all time high is a significant high, so the S&P should not go higher but there is one more new aim for S&P. The 1,618 level is at 1823, but it should not been reached. At the moment it seems the correction wave B has already finished and now a long declining has just started. This view will be strenghten if the S&P500 fall below 1770 or the bull trend line would be broken( it will be around 1750) So fasten your seatbelt!

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DAX

02.12.2013:

Highly waited market turn around has not come yet. Divergence disappeared and the

optimisum on absolute high, so now we can wait for a decline below 8000 where there is the upper trend line. Be patience!

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FTSE100

02.12.2013: very same pisture as the S&P500 but getting diverge against Us market. Whil Us went to new highs the FTSE100 could not. Maybe the wave 2 has already taken place. The critical situation will be around 6500.

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CAC40

02.12.2013:The CAC is around 50 Fibonacci level, and there is a RSI divergence also. So CAC should start falling from this level. In the falling the first corrective zone is around 4000. But there is some opportunity for further rising to 61,8 Fibonacci level around 4750. In the rising the critical level is the 50 Fibonacci level around 4314, if the CAC will be able to rise above it, than the room will be opened for increasing to 4750.

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NIKKEI

Last update 02.12.2013: a Contracting triangle where the wave E has finished yet. Wave 5 is underway at the moment, there will be five waves. Maybe the end of wave I is closed to here so the previous wave 3's top could be a resistance. Little correction is coming soon.

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SHANGHAI COMPOSITE

02.12.2013:

Shanghai Composite has done it wave correction B. China should go above 2200 and broke

the downward trendline which open a huge space for rising in the wave D to 2800.

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HANG SENG

02.12.2013: Hang Seng

Index is in the wave 3 advance, maybe there will be a little setback. The main way

is upward.

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SENSEX

03.12.2013: From 21000 Sensex was correcting in a Zigzag, so now further rising is waited for. Next step is going above 21000 and remain above it.

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RTS

03.12.2013:I am waiting for further weakening in Russian Index. Wave 2 has just been made and the wave 3 should lead the RTS below 1000.

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EUR/USD

02.12.2013:

"Now I consider the significant downtrend has started yet and the the key level is 1,37.

EURUSD pair should stay below" last month I said. The top was 1,3615 so now i supposed that the wave 2 has finished yet also. So the downtrend is underway, next step is under 1,3! Let see.

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USD/JPY

03.12.2013: wave E has unfolded as i expected and USDJPY is around the previous high so maybe near this high a little correction will come but after it has to rise to new highs!

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GBP/USD

02.12.2013: It was early to identified the wave E last month. I highly waiting for the turning around in this currency pairs and than a huge falling will come. But now there is no evidence for that.

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USD/CHF

03.12.2013: the setback from the wave A (0,9972) seems a double Zigzag and the wave c of wave B should find its bottom at previous wave 4 at 0,88. Maybe wave B is completed yet, so the USD should go up. On the other hand the setback could unfold in a lower price somewhere above 0,85 and after USDCHF will be able to rise.

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USD/INR

04.11.2013: a little satback came but at the moment I am waiting for going higher above 65.

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EUR/GBP

02.12.2013: The wave C of wave 2 bottom should be at hand, there is a divergence also which strengthen this view. Now I look for the onset of wave 3 up that will go well above 0,88.

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EUR/JPY

02.12.2013: The 132,5 level supported the further rising, I was wrong last month but the rising in it's later stage, so patiently waiting for the correction wave 2.

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USD/RUB

03.12.2013:"It seems the wave e has been unfolded below 32. The next important level is a bit above 33." I said last month and now Rubel has reached the 33 high so maybe a little correction will come. But it does not matter the correction would come or not i expect the Rubel weakening.

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GOLD

02.12.2013: The gold situation is getting simple. Now there are two option. One of is the downward movement has started and Gold will fall forward below wave 3, so the wave 5 should fall around 1000$. The other option is the correction has not finished yet and it will be as sideways triangle. The crucial level is at around 1200 if it would work as a support than the correction wave C is the next rising wave.

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CRUDE OIL

03.12.2013:

The Oil unfolded to 92$, as i hoped oil was going lower but much lower as I expected. At

92$ there was a divergence so now it seems the wave II has already done and now the motivate wave is underway!

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NATURAL GAS

02.12.2013: The support was working around 3,4. Gas has mad eit's wave 2 and noe It should rise to new highs with some little correction. The resistance is around 4.2-4.5.

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WHEAT

03.12.2013: maybe the correction wave 2 has unfolded at the 38,2 fibonacci resistance at 673 so now Wheat are ealry stage of declining wave 3. Maybe the Wheat price will be falling in the channel what i draw on the chart. We will see. The last high at 673 is the key level, Wheat should stay below it.

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10 YEAR US TREASURY YIELD

02.12.2013: It seems the wave 2 has already done. 10Y treasure is above 2,75 at the moment so the wave II will be valid. The Federal Reserve are in it's trap. The next shoutdown agreement will push 10Y above 3% and maybe the wave 3 will end about 4%.

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