Elliott Wave 5.0 "Reboot"

Wednesday, March 9, 2016

Gold Intraday Review Downside Breakout Crash?

If gold is going much higher, it has to really start to perform, as a 4th wave looks like it should be completed. Gold had come to a screeching halt at the $1250 price level. Gold only has a little less than about $8 worth of downside left before it destroys any further hope of carrying on with another impulse leg.  

There may be a wild card and that is we have an expanded pattern with a trip down the slippery slope of a "C" wave.  Any "C" wave bottom may be around the $1200-$1180 price level after which it would soar one more time. The "C" wave crash, would have to be very steep in its angle when we look at it from a daily chart perspective.  

Gold had a very ugly start to it, so this helps make the case that this gold run was a bearish counter rally.  If we head into a strong correction and we add on another "C" wave bull market, then that could tag on another $200.  If we ended at a $1200 bottom, then $1400 would still be the new target price level. 

Many things have to fall into place for that to happen. I will always try and describe out ahead from the wave count I may have, and I do this to give me error feedback when it does not play out. If it does not work out, then it can be used another time with another degree level.