Wednesday, December 16, 2009

Gold Update

The chart below shows a POSSIBLE wave structure that could unfold to form the expected January 15-20th low.

The following harmonics have formed in the GOLD FEB 2010 contact. (60 minute chart)

  • Point Z, which is the high from the original impulse wave down would be equal to the 50% retracement level from the Dec 3 - Dec 15 range.

  • The vector AX which represents the initial wave down is equal to vector XY which is the horizontal (time only) vector emanating from the initial low on December 6th.
  • AB = 1.272 AX . 1.272 = 1/(Phi)2 -- a fibonacci harmonic.

A measurement from the first reaction high from the Dec 15th low will provide further information in ascertaining a projected high for "C"

If and when "C" is reached and indicates a short term high of significance--a projection for the anticipated Jan 15-20th low can be made with more accuracy.

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