Gold/Silver Accelerating Lower
08/27/16 Weekly Re-Lay:
“Gold & Silver continued to drop from their early-July highs, a ‘c’ wave decline following secondary highs (‘b’ wave peaks) in early-August… when geometric cycles recurred.
That was projected to spur a drop into late-August, the latest phase of ~90-degree cycles that last timed the late-May lows… and previously timed intermediate lows (in either Gold, Silver or both) in late-Nov. ’15 & late-Feb. ’16.
Gold needs a daily – and weekly – close below 1314.8/GCZ to escalate this decline to a higher level and to project an ultimate drop to ~1260.0/GC… potentially by early-Oct.
On a 3–6 month basis, the most critical levels of support come into play around 1220.0/GC & 16.000–16.500/SI.
From a cyclic basis, the more likely scenario (based on the greatest synergy of related cycles & indicators) remains that Gold & Silver would drop intolate-August (which they have just done) and then bounce to a lower high inearly-Sept… before another drop (potentially lasting into early-October).
A 9–10 week low-low-high-high-(high) Cycle Progression in Silver corroborates that – projecting a secondary high for Sept. 6–16th.
The XAU has dropped sharply since signaling that an intermediate top is intact. This comes right after the XAU attacked its 2–3 month LLH objective.
The XAU has twice neutralized its weekly uptrend, pinpointing the coming week as a decisive one. It would take a weekly close below [reserved for subscribers only] to turn the weekly trend to down.
Ultimately, this drop could last into late-Sept. – the next phase of an ongoing ~4-month (16–19 week) high-high-low-low-low-(low) Cycle Progression. 3–6 month support is centered around 80.00/XAU.”
Gold & Silver accelerating lower, reinforcing Gold’s 2–3 month sell signal triggered from early-July. The intermediate outlook is still for another sharp drop – into early-October – after a brief bounce into early-September. 1260.0/GC = Primary downside target for Gold, by early-October. Ultimate downside price targets still significantly lower… and could wait until 4Q 2016to be tested. See publications for additional analysis & trading strategies.