WHERE IS GOLD NOW AND WHERE IS GOING TO GO?

Hi Traders,

I get almost daily inquiries about Gold. Where is going to top & reverse? Will Gold be affected by the FED interest hike? Here's what I found.

ELLIOTT WAVES

The interpretation of the monthly, weekly and daily charts below is crucial to understand the future dynamics of Gold (now at $1314.74). 

The monthly chart shows that the Gold 5 years correction ended at $1046 (i). Then, a major rally started. This chart also displays two targets: $1435 and $1532.

The weekly chart reveals that the new uptrend - intiated at 555c - needs another thrust up to complete wave 3, possibly to $1432-40.

Note: the daily chart shows that Gold (although a brief jump to the area $1324-7 is still possible) might bottom around $1283-86 before starting the new rally to $1432-40.

BTW, that top at $1432-40 could coincide with the FED interest hike. After topping at this level, wave 3 would be followed by another correction (wave 4) to $1312-21, although $1252 is the theoretical target. This correction could last quite a few months.

Finally, wave 5 should take Gold up to $1522-32 or higher.

(i) I predicted this low to be in the area 1043-1032 two years ago!

Monthly chart - Click to enlarge

Weekly chart - Click to enlarge

Daily chart - Click to enlarge

GOLD NEW PHASE

Hi Traders,

Yes, I got it wrong on Gold. I tripped over a common mistake with Elliott Wave analysis. BTW, the new uptrend is in full steam and the limit seems to be only the sky.

TARGETS

1) $1433-35
2) $1475
2) $1525-35


ELLIOTT WAVES

The monthly and weekly charts show the beginning of a new uptrend. At present the closest targets for a retracements is the area $1427-$1441.

Note the ABC retracement from $1922 to $1046. This looks very much like a Cycle or Supercycle wave 2. If this is true, Gold just started a new very long wave 3.

It also means that people are divesting from their investments in shares, bonds and even cash to buy Gold as a safe heaven. Given the expected length of the unfolding wave 3,  this period of economic uncertainty and instability may last quite a long time.



Monthly Chart - click to enlarge

Weekly Chart - click to enlarge

Daily Chart - click to enlarge

4-hour Chart - click to enlarge

GOLD to resume major downtrend

Hi Traders,

Gold (now at 1269.00) should top around $1,306 and maybe the area $1,3019-1,324. Then, it should  resume the major downtrend to the final target just below $900. If this occurs, it's going to be a $400 dollar juicy trade.

TARGETS

First up to the area $1306-24.
Then down to $1184.
Final Long Term Target: area $882-861

ELLIOTT WAVES

The 1-hour chart below shows that we just need a small wave up to conclude the present rally which started on 03/12/2015. It might take 2-3 weeks. The theoretical top is $1306.87 but it might travel up to the area $1319-1324.

The really interesting thing in the weekly chart below is that there is a huge a-b-c retracement in the making, where Wave C (not labelled yet) is still unfolding with 5 waves (magenta) down. Of these 5 waves, we are going to see the completion of Wave 4 right now. Then Wave 5 should take Gold down to the area $882-861.

The monthly chart below shows the targets (blue lines)




Montly chart. Click to enlarge

Weekly chart. Click to enlarge

Daily chart. Click to enlarge

4-hour chart. Click to enlarge

1-hour chart. Click to enlarge