Gold

                                  The gold has resumed its long term trend again and the current trendline keeps the bull rally intact.

                    

• Overcoming the 1680 resistance the gold triggered its rally again. Last week was marked med term high at 1754 and the counter reaction was very moderate. 
• The current upswing suppose to pick up speed very soon.

                             

P.S. I Forgot to mention that (4)th wave looks truncated

Good luck trading!

GOLD Elliott Wave Update

       There are few very likely targets for the next few weeks visible above. On the one hand the upwards proceeding resistance diagonal at 1505 and the next resistance at 1515 in April. Considering the weekly setup, I clearly can see that the main target at 1576 is coming into play.

       So, we’ll have to buy more gold in case of any significant  correction( buy the dip). 

The 1576 will be reached - maybe in 2012!

Good luck trading!

ONE ELLIOTT WAVE TRADER

GOLD Elliott Wave Update

People will say that all greed in the world has bought gold, and continues buying it, like in "The gold rush".

 The gold rush during the 3th waves looks like madness spread among the people. No one cares about falling prices, and they are right, we are in the "gold (3)th rush". A friend of mine asked me about market correlation between spot gold and US Indexes. I really, really don't look for correlation between Gold and other markets and I really don't care about correlations, because my observations are that market correlation occurs from time to time, and it's no reliable to analyse and trade, using such a method. Everything is math.

The last months bouncing price wasn't surprise. Currently I don't trade precious metals, just like to analyse it long term, from time to time. 

 I can only say : buy any dip. Enjoy the chart.

Good luck!!!

GOLD Elliott Wave Update

Since the last update on Gold I relabeled the waves, but the direction stays the same. Currently there's nothing that points change of the main trend. Friday was the 47 th day of the beginning of the 3th wave, so we can expect at least eight more days rally, and will not see any dramatic trend change. Even in case of a very sharp correction on daily basis we will be able to go long again and buy the dip.

Gold - Elliott Wave Update - Shine Time Part II

         The Gold pulled over few more points after first target (1208) I projected in Apr/20/2010. After short break the price went to uncharted territory and marked new high. Reaching all time highs, the price action didn't show any violent counter reaction. All the setups show that gold has not reached its overriding targets yet. The daily setup puts out the important mark of 1205-1207 where gold should fall onto maximally this week, and will set up a new buy entry.

The 1205-1207 support zone seems to be very strong. That's why I think gold is on its way to another rise. Next closer target is around 1275-1280. 

 

As we see the price was stopped by the main 1*1 Gann Angle again. Next (final) test, and reaching the final 1320 target probably will be in June- little earlier than I expected in my last posts, due to the acceleration. Be prepared to buy any dip. Good luck!  

Gold - Elliott Wave Update - Shine Time

              By the yesterdays closing price, the spot gold produced reversed candle and confirmed its $1123.60 low. That was very close to the low $1120 I expected in my last post . The resistance at $1145.80 is broken already.  
              Thus I have to prepare for the next target at $1208. 

Meantime the US indexes are ready for new high.

Gold - Elliott Wave Update

                 Since my last update I am bull on Gold . By the last week closing price, the gold confirmed its 1320 main target. On weekly as well as on monthly basis, it is a clear BUY for me.
In February the precious metal produced a reversal candle on daily base, confirming a significant low ($1044  per ounce). If the price continues up, chasing that potential (y) wave, should paint just one more zig-zag, or any complex completing Y of (B) wave of potential "expanded flat". 
             The price now is in the resistance zone ($1163  per ounce) and we will have to reckon on a stronger retracement to around $1120 and get the ideal buy entry for $1320 target, which could happen late July or beg. of August 2010.  

THE GOLD RUSH

      Last month I was thinking about end of (B) wave of a potential "expanding flat", but last few weeks the price action put me in doubts. The main reason is that the downside move's wave structure looks corrective about now. I have labeled a corrective complex- W, X, Y, made of "zig – zags”. In addition February produced a reversal candle on daily base, confirming a significant low.

     As we see the Gold rebounded from the 1032 line-strongly and impressively. I do not  see anything bearish on the horizon about now. 

    If the price continues up, chasing that potential (C) wave, should paint just one more zig-zag, or any complex completing 'Y' wave. Then that count remains to be valid.

      If the upward move I expect paint an impulse 5, then the Grand picture would be totally different. It could form 5 waves of a larger degree.
     The tape now is a bit unclear as a wave structure, and I prefer to have little more data till the next update on spot Gold.

     The expectations are for new high to 1 252- 1 320.  The herd escalated with one more bull---me. 

Enjoy the video!

Elliott wave count on Gold-update

         
            A serious correction towards the $930 level, painting "running flat" could shake out the speculative community while keeping the precious metal in a longer-term uptrend. As I mentioned in my previous update, a strong selling pressure is expected. Short term I see at least "X" corrective wave level area as possible target ($930). If the GOLD decides to paint an "expanded flat" the price might drop to deeper levels, around $650.

Elliott wave count on Gold

           Probably you have heard the maxima that Gold is not only an inflation hedge, but also a deflation hedge.It is wright. I believe the Gold will shine a lot next few years.  

         A general strengthening of the USD could break the back of the speculative element in gold as of late. Although I am  long-term bull on gold (believing it could reach $1,500 within 2014), this trade seems to have become too easy and too widespread to pay out in the shorter term. A serious correction towards the $870 level could shake out the speculative community while keeping the metal in a longer-term uptrend.

The Elliott wave count shows us short term bearish expectations according to my labeling.

Good luck!

DJIA & GOLD

            When someone says the financial bubble has burst, we all know what "burst" means: A decline in stocks, indexes and real estate. Yet a few people realize that the "bubble" itself involves more than just asset values -- it also involves psychology. And it's really important to distinguish between assets and psychology, for this simple reason: the end of bubble asset values does not mean the end of bubble psychology.


In fact, mini-bubbles can happen after the big bubble has burst.


              Depending on how big the big bubble was, it can take a long time and a lot of losses to extinguish the psychology that drove it. It's easy to understand if you think about it. If things are not so good now, and better times are in the past, it won't take much to get the old enthusiasm going.


            Too much enthusiasm based on too little evidence is common to all bubbles, big or small. So here's where it gets tangible.
Gold prices have recently pushed to all-time highs, the Dow Industrials to a new yearly high. But gold and the Dow have done this alone, as in NO other equity indices or commodities have followed.


              Now which markets get all attention in the media? Gold and the Dow, of course -- to the point that people think the performance of these two markets is not the exception but the rule.


               Too much enthusiasm, too little evidence.


                                                              I attach an example chart.