Gold & Silver Fulfill Myriad of Cycles & Price Targets on Feb. 20; Project Overall Correction into April 2019. Primary Downside Gold Target = ~1270/GC.
Gold & Silver Fulfill Myriad of Cycles & Price Targets on Feb. 20; Project Overall Correction into April 2019. Primary Downside Gold Target = ~1270/GC.
03/02/19 Weekly Re-Lay:
Gold & Silver powerfully validated the long-awaited cycle convergence when a multi-month peak was expected. They should see additional downside in March…
Gold & Silver peaked on Feb. 20, fulfilling a myriad of related cycles (55 – 59 week, 27 – 29 week, 13 – 14 week & 6 – 7 week), the largest of which have been in focus for over a year.
Validating those cycles (timing indicator), Gold peaked after surging to dual weekly LHR levels (extreme upside targets) at 1344.5 – 1345.2/GCJwhile testing the monthly Raw SPR (1350.0/GCJ; the projected high for Feb. 2019) and overall monthly resistance at 1350.5 – 1363.4/GCJ – a textbook combination of timing and price projections for a multi-week (multi-month?) peak.
At the same time, Silver retested its high (16.20/SIH) while twice neutralizing its daily downtrend. More significantly (and more negatively), Silver was unable to turn its weekly trend up while spiking into Feb. 20 cycles and then quickly re-entered its year-opening trading range (a negative factor).
As emphasized at the time, that was as high as Silver should rally if it was going to fulfill expectations for a plunge back to 15.000/SIH:
As explained then, and reiterated on Feb. 23, the 3 – 6 month buy signals, from about 1190/GC (late-Aug. – late-Sept. ’18) & 14.40/SI (late-Nov. ’18), had run their course which is why the Feb. 20 INSIIDE Track Report recommended exiting a majority of them.
That ushered in a time for a proportional correction (related to the overall advances from Aug. & Nov. ’18) before a new 3 – 6 month advance becomes more likely. Silver corroborated that by fulfilling the potential for a monthly 2 Close Reversal lower – that projected downside follow-through…
Gold & Silver peaked during the latest phase of their 6 – 7 week low-low-low-low-high-(high) AND 13 – 14 week low-low-low-low-high-(high) Cycle Progressions – allowing Silver to retest its recent high and set a double top.
Silver’s daily trend pattern triggered a new sell signal at that time, which was quickly corroborated by its intra-month trend and daily 21 MACaction.
On Feb. 25, Gold & Silver entered a pivotal time – extending until March 4 – when their inversely-correlated daily 21 MARCs would surge… exerting a negative influence on the daily 21 MACs and on evolving price action.
On Feb. 27, Silver validated that by closing below its daily 21 Low MAC while turning the direction of that channel down and re-entering its daily downtrend.
That confirmed the cycle peak and increased the potential for a sharp drop that is still likely to take Gold down toward 1270.0/GCJ (1281.6/GCJ = first decisive support/target) and Silver below 15.000/SI in the near-term.
On Feb. 27 – 28, Gold followed suit – triggering bearish daily trend, daily 21 MAC, and intra-month trend signals and confirming a breakdown…
The XAU has also dropped sharply after attacking its monthly projected high/resistance (and descending monthly 21 High MAC) at 80.42 – 82.56. Its Feb. 20 high fulfilled similar weekly cycles as well as the latest phase of a 21 – 22 day low-high-high-high-(high) Cycle Progression.
That also fulfilled a primary wave objective, completing the third consecutive advance (since Sept. ’18) of 11 – 12.00 points (wave equivalence). That peak was/is expected to spur a sharp correction into mid-March – the next phase of a ~2-month/~9-week high-low-low-low-(low) Cycle Progression.
Initial support (and the minimum downside target) comes into play at 72.22 – 72.85 with more significant support at ~68.00/XAU. The XAU did close lower on the month, increasing the potential for a drop to March’s HLS – at xx.xx.”
Gold & Silver are powerfully confirming the multi-month peaks forecast for Feb. 19 – 22 (and initially validating corresponding projections for an overall correction into mid-April). The Feb. 20 peaks fulfilled multi-month, multi-week & multi-day cycle highs AND attacked extreme upside price targets – creating highs that should hold for at least 2 – 3 months. They have entered a dangerous period and corroborated that with their Feb. 28 closing levels. This action reinforces analysis for a ~2-month correction into April 2019.
What could trigger Gold to drop to ~1270/GC? When is that most likely??
Refer to latest Weekly Re-Lay & INSIIDE Track publications for additional details and/or related trading strategies.