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      Gold Price Weigh’s In Heavy [Elliott Wave]

      Published: just now

      Gold Price Weigh’s In Heavy [Elliott Wave]

      Executive Summary

      • -Trend Bias: Gold is declining in a corrective wave.
         
      • -Current Action: A decline to $3,220 - $3,244 and possibly lower levels appears as the higher probability trend.
         
      • -Key Level: A print above $3,393 suggests the decline is likely over.
         

      Current Elliott Wave Analysis

      Visual content

      The current Elliott wave chart of Gold shows an incomplete downward flat pattern. A flat subdivides as 3-3-5 waves and is labeled ((a))-((b))-((c)).

       

      The decline from mid-June appears to be wave ((c)). 

       

      We know from our Elliott wave studies that C-waves in flats are motive patterns that subdivide into five waves. The current decline appears to be in the early stages of wave (iii) of the five-wave decline.

       

      Wave (iii) reaches the 1.618 Fibonacci extension of wave (i)…a common relationship…if gold decline to around $3,218.  Even further declines to $3,120 are possible under the flat pattern that began in April.

       

      If gold were to rally above the wave (ii) high of $3,393, then we’ll be forced to reconsider this wave count.

       

      There is an alternate count under consideration.

      Visual content

       

      This would suggest the rally from May to June was a leading diagonal. The decline from early June is wave (ii). Wave (ii) could decline to $3,189 - $3,244. Those two figures are a result of the 61% and 78% Fibonacci retracement of wave (i).

       

      Bottom Line

       

      Gold appears to be in the early stages of a small degree 3rd wave lower. If this wave pattern is correct, then gold would decline to $3,220 and possibly to $3,120 while a rally above $3,393 negates the bearish count.

       

      In the alternate scenario, a decline to $3,189 - $3,244 is higher probability. You’ll notice these two counts overlap on forecasting a decline to $3,220 - $3,244.

       

      You might also be interested in: 

      https://alchemymarkets.com/education/market-insights/elliott-wave/usd-cad-relief-rally-underway/

      Alchemy Markets is a multi-asset brokerage providing retail traders with the same elite trading conditions, tools, and transparency typically reserved for institutions.

      This content may have been written by a third party. LiquidityFinder makes no representation or warranty and assumes no liability as to the accuracy or completeness of the information provided, nor any loss arising from any investment based on a recommendation, forecast or other information supplies by any third-party. This content is information only, and does not constitute financial, investment or other advice on which you can rely.
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