- the 3x2 fan line from the low seems to be the operative support resistance ratio.
- the stars mark where gold has been supported by the 3x2 line.
- gold dropped below the primary 3x2 line in April 2012 and declined to the 1st harmonic 3x2 below the primary 3x2--new support
- the latest rally found resistance at the primary 3x2--new resistance: a further sign of weakness.
- currently, gold is testing the harmonic 3x2 as it did earlier in the year. A break of this 3x2 harmonic would suggest lower prices--perhaps the next lower 3x2 harmonic.
- Check out the first 3x2 rectangle--prices were relatively nearby the bottom right corner. check out the second 3x2 box--once again prices were close to the bottom right corner.
Friday, November 30, 2012
Below is a weekly gold chart. The basis of the chart is the initial thrust from the 2008 low and January 2009 initial high pivot. Some observations.