Gold/Silver Fulfill March ’15 Cycle Low.
03/07/15 Weekly Re-Lay: “Gold & Silver extended their declines into the final day of the ~4-month/16–17 week high-high-low-(low) Cycle Progression – that has been expected to time an intervening (intermediate) low between the early-Nov. 2014 low and an expected Major bottom in late-June/early-July 2015…
Friday’s action quickly validated that and prompted Gold to test – and break – its January low. The significance of that signal – and its timing – have been discussed for several weeks…By closing below1168.3/GCJ, Gold has turned its intra-year trend down – the latest signal necessary to confirm the Jan. 20–23rd cycle high & validate the outlook for a decline into mid-year.
At the same time, Silver is giving some contrasting signals…it has only neutralized its weekly uptrend… for the second time. That pinpoints the coming week as a decisive one… and a higher probability for a reversal higher. More than anything, these conflicting signals show that Gold & Silver remain in a wide range of congestion – entered about 4 months ago. It is apt to remain in force for several more weeks.
The action of the coming weeks could give some clarity on what to expect leading into major cycle lows in mid-2015…
The XAU is on track for a retest of its lows after failing to turn its weekly trend up in January (much like Gold). Cycles turned back down on March 3rd, after which the XAU accelerated lower. A drop intomid-March is expected.
…Gold & Silver resumed their declines after Gold set a secondary high on March 2nd, 1 day earlier than expected. That was expected to usher in a new 2–4 week drop, which has taken hold. The daily trend pattern corroborated that and projected a drop to new lows. Along with the intra-month downtrends, that could spur an overall decline into March 13/16th.”
Gold & Silver poised for low around March 16th; Subsequent rally into mid-April Possible.