Loading ...GDX GOLD … Reversal ???
Usually the miners lead gold but it’s not always the case.
Looking at the action of GDX after last friday close, we can see that GDX reached the 61.8% retracement zone and that we possibly ended this correction
(EW count).
IF that’s the case, it is possible that the correction is also over for gold. We bounced from the 1220 zone last friday.
This zone is also a strong resistance and it also corresponds to the neckline of an Inverse Head and shoulders for gold …
Tiny correction with gold and the Leading Diagonal … Of course I can be wrong …
Tiny wave two indeed in comparison to the one. Does this mean the four when it comes could be a long drawn out process?
Yes the rule of alternation states that if wave two of an impulse is a sharp retracement, expect wave four to be a sideways correction, and vice versa.
So here we can have a sharp pullback for Minor wave 4 (… at the end of 2017 or beginning of 2018).
But we have to confirm the reversal.
From an Elliot point of view is there any reason why 1 of 3 has to have ended now? To marry Cycles with this, could it conceivably be that wave one of 3 takes us to the summer, with two dragging out till around the fall, with wave three being a huge technical breakout over a big long term resistance?
Degrees are relative; they are defined by form, not any absolute size or duration. Waves of the same degrees may be of very different size and/or duration.
Generally the duration of Minor waves (blue)is weeks and Minute (green) wave is days. This is why Minor 1 probably ended in Feb.
Minor wave 3 and 5 can take us to the end of this year.
Gabe- have you considered maybe we are in the C of an abx-X-ABC? I have seen this count looked at closely and it def seems to fit with rambus/plunger view of more weakness tho this would find a bottom between 17-8 in gdx? I believe the ewt crew is looking for a reversal here like you after hitting the .618 zone. Interesting times and ty for your work and dedication!!
Rmcalm,
Yes I saw this count. It is still possible.
My Bearish scenario is that we may have started a C-wave that can reach 1500+.
With both scenario we can reach this target in 2018.
https://s13.postimg.org/4nluz9yyf/XAUUSD_LONG_TERM.png
Oops ! Wrong chart.
Alternate count in red: https://s9.postimg.org/k3f4ajzqn/XAUUSD_LONG_TERM_BEAR.png