Battling computer issues this morning…  Fortunately, the markets are cooperating (after the usual holiday weekend ramp job.)  EURUSD continues to weaken as expected…

…as does USDJPY.

Once the white acceleration channel fails, things will start happening pretty quickly. 

continued for members…A drop to either the rising yellow channel midline or purple channel bottom would take the pair back below 100 and do a number on equities.

ES reversed nicely off the .886 retrace from 1845.75, and tested the purple .786 line — again.

If things continue to unwind as I expect, the purple midline should come into play before long.  And, if the acceleration is permitted to continue, the white .618 at 1715 is a reasonable medium-term target (granted, there are plenty of trip wires such as 1787, 1765, etc.)  Keep an eye on the bottom of the yellow rising wedge.

I’ve updated the chart for the RUT, which just tagged its 1.618 extension.

I’ve also gone through and updated all the major indices from a harmonic standpoint.  Practically all of them are at a natural turning point.

Update:  EOD

Usual silliness in the after-hours so far this month (the shaded area, closing prices of 4pm vs 9:15am candles.)  Back of the envelope tally looks like 43 points of levitation since Dec 31 — 11 of the 14 overnight sessions.

It’s pretty remarkable when you consider that ES is down 8 points (as of today’s close) since the Dec 31 highs.  Backing out the 43 points would yield a closing price of 1795 instead of the 1838 ES finished with.

Something to think about…