Elliott Wave Technical Analysis Signals Higher Gold Prices With An Initial Projected Target Of $1270.70

by Captain Ewave of CaptainEwave

Captain Ewave

Elliott Wave Counts For Gold, Silver, & SP500

Email: admin@captainewave.com  

Website: www.captainewave.com

GOLD:

Short Term Update:

 

Gold moved sideways to lower in yesterday’s day session and that trend continued in the overnight session.  We reached a low of 1223.70.

 

Gold has since recovered most of those losses and is up nicely with the stock market on fire again!

 

On the intraday chart the drop from 1236.90 to 1123.70 looks like a completed 3 wave corrective pattern.If that observations is correct, we should now be heading back to the 1236.90 high… and above it.  

 

Within wave .iii. we are now working on our first impulsive sequence, as shown on our daily gold chart.  Within that first impulsive sequence we believe that we are working on a subdividing wave $iii$, which has an initial projected target of 1270.70.

 

We expect higher prices lie ahead. In the short term we have resistance at the 1238.30 level to overcome with a projected initial target of 1259.30 for wave !iii! of $iii$.

 

Longer term our first projection for the end of wave .iii. is:

 

.iii. = 1.618.i. = 1447.20.

 

We do have higher projections and expect wave .iii. will subdivide into a 5 wave impulsive sequence in its journey higher.

 

Trading Recommendation: Long gold. Use puts as stops. Stay focused on $1250 to $1260 as a place to add December expiry put options if you have none.

 

Active Positions: We are long, with puts as stops!

 

 

Silver:

Short Term Update:

 

Silver reached a high of 14.88 in yesterday’s day session, before moving lower. That trend lower continued in the overnight session as we reached a low of 14.62. We have since recovered some of those losses to currently be trading at the 14.70 level.                                                                                                           We continue to work on the assumption that all of wave ii is complete at the 13.96 low and that we started to rally in the initial phases of wave iii.

 

On the daily silver chart we have shown our initial wave count for the start of wave iii higher.   

 

We will provide our initial projections for the end of wave iii in the next couple of days.

 

Trading Recommendation: Long silver. Use a put as a stop.

 

Active Positions: We are long, with puts as stops!

 

 

SP500:

 

Short Term Update:

The SP500 was sharply higher in yesterday’s trading session, as we reached a high of 2813.46. In the overnight session the SP500 Futures were down about 11 points and it’s almost crashing again now.

 

If our current short term count is correct then all of wave *iv* is likely complete at the 2813.46 low, and if that is the case we should now be heading sharply lower in wave *v* of .iii..

On the daily SP500 chart, yesterday’s high has returned back to our major red trend line, which is the expected test of the breakdown of that line.

 

If our current analysis is correct, then the SP500 will NOT close above that line and instead will start to move sharply lower again.

 

Upon completion of wave *iv* we expect one more drop in wave *v* to complete all of wave .iii., which has a current projected endpoint of 2671.90.

 

We can now conclude that a major top in the SP500 was reached at the 2939.86 high and that we are now falling in the very initial stages of multi-decade correction.

 

Trading Recommendation: Stay short with a call option as a stop.

 

Active Positions: Very Short with a 2800.00 call as a stop.

 

Free Offer For Web Readers:  Please send me an Email to admin@captainewave.com and I’ll send you our free report on GDX (which includes the Captain’s 60 minute chart), and long term updates for the HUI index!

Thank-you!

Captain Ewave & Crew

Email: admin@captainewave.com

Website: www.captainewave.com

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