Many asset classes took a hit this morning except for gold as it charged up as others charged down.
Going back to the late October high we had a decline that seems to be a zigzag impersonating an impulse. Then from mid November the rally started out like a good zigzag but it started to fall apart without pushing to new record highs.
This morning due to some mythical "fundamentals" you can dream up, stocks imploded. The rally turned into a sideways top which I can count as a "B" wave top at this time. This would make this pattern into a potential flat as it heads down to my bottom trend line.
If this turns out to be true, then we would be facing one more bullish run before another 5 wave sequence completes. I can also make it work as a 3 wave rally but I would have to drop my degrees down.
If this becomes true then we could see another bearish run in gold as stocks make another bullish run.
This would eventually set the stage for a year end rally lasting into January 2016. Nothing is certain and I can only analyze the patterns I think I have, and speculate on the idealized pattern that should come.
Short term I have to look at the bearish picture but another bullish run could happen.