Squawk Morning Briefing: Unraveling The Mess

There are plenty of messes out there.  We’ve got political messes both in the U. S. and in Europe.  In fact, news out of Europe seems to have knocked the Euro relative to the U. S. Dollar overnight.  But that doesn’t resolve the mess in the markets where the Euro is still in a large chop area that leaves greater uncertainty as to direction.   U. S. equities spent the Wednesday in a messy chop range and treasuries have been in messy chop for over a week.   At least in these two latter markets we think we have a long-term picture of where they might be going and therefore have a way to unravel the market mess.   As far as the Euro goes, it’s much like the political messes: we must wait and watch and hope that it unravels in  some satisfactory way.

Our updated view of the market messes is in today’s videos.

P. S. Right as we go to “press” political news out of Europe is popping the Euro and reversing much of the drop discussed in today’s video.  This  continues to keep the wave count for the currency up in the air and reinforces the wait-and-see approach we’re taking until the count resolves.

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Elliott Squawk delivers thorough market preparation every morning in time to take action during the trading day. By combining up-to-the-minute futures activity with traditional end-of-day analysis from cash indices, you receive analysis based on the latest conditions as the trading day sets to open. Each issue of Elliott Squawk goes beyond traditional Elliott Wave analysis because we recognize that trading Elliott Waves is much more than just looking at the most likely current count. Squawk will prepare traders to assess the market action as it unfolds by answering questions that any Elliott Wave trader should consider:

• What price levels and wave motions would confirm an expected move?
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• What intermarket movements merit special attention to understand likely price trends?

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