The more I’ve been looking at this over the last few days, the more it amazes me. It’s almost too perfect.

1 – 2008 – Golds 8 year cycle low embedded in the middle of the 16 year cycle

2 – 2016 – Golds 16 year cycle low

3 – The support/resistance line from recent price action connects back to important support which was established between 2006 and 2008 (on this log chart).

4 – Perfect curved basing support centred above the 16 year cycle low (a repeat of the pattern at the start of the bull market in the early 2000’s).

5 – Resistance line drawn from the topping pattern in 2011 and 2012.

6 – False breakdown flowed by an ‘around the apex’ breakout (rising support in the $1275-$1280 region).

7 – Horizontal resistance.

 

Just look at those Fib retracement levels ! If that’s not perfection, I don’t know what is – 0.382 Fib retracement equates to $1055. The 0.618 level is just below $1400. A move above $1400 would set up a target somewhere just above $1600, which fits in with some of the other work/methods I’ve been looking at. Also very interesting is the level above that – $2810. Time is the missing piece of this puzzle. I know where the cycles are. I know where price is now, and I know the target areas. It’s just a case of when. If you’re a gold bear, you’d be eyeing that 0.236 Fib level at $848 of course. As you know, I’m not bearish at this point in the cycle, but a break below $1223 and I would throw in the towel.