Elliott Wave 5.0 "Reboot"

Friday, January 15, 2016

Gold Intraday Gyrations Reviewed

I am using the February 2016 contract month for this wave count even though the cash charts follows this very well. Taking gold/ratio readings from the WTI  February contract month also fits better in calculating this ratio. That crazy ratio just  hit 37.56:1 this morning. (PST)

Since a few waves overlapped then this can be part of another set of diagonal waves, with a potential 4th wave finishing. All we need is a small DOW rally and gold could still take a major hit.   Any correction could take gold down to the top trend line before it cranks up again. 

There is the odd chance that gold has just hit a diagonal 4th wave bottom and we are now heading to a 5th wave top. This top could be leading to another "A" wave in a bigger zigzag. 

 Next week should tell us more if the downside to gold gets broken. It would not take much to create a new bear market record low for gold.