The markets are slow with stocks stabilized a bit ahead of the Jackson Hole event. The USD bulls also slowed down for a pullback, but technically and fundamentally we do not expect any changes till we get full details and reports from Jackson hole, which will be during the weekend. However, there is still Prelim US GDP and US Cor PCE releases before the Jackon Hole is finished, so this is something that can impact the markets as well since we know that officials are tracking the data very closely.
From an Elliott wave perspective, we see USD in an uptrend, with room for more gains as current price action from the high is in three waves, so ideally it’s a correction that suggests more upside from wave four into a fifth wave. Our view is unchanged as long as day is above 106.80. At the same time, SP500 can be rallying up in wave b.
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