Silver Confirming Jan. 26 Sell Signal
Silver Confirming Jan. 26 Sell Signal;
Gold Stocks Reinforce Underlying Weakness…
Sharp Drop into March 5 – 9 Likely.
02/03/18 Weekly Re-Lay:
“Gold, Silver & the XAU validated the outlook for a multi-week corrective phase. Energy markets are also nearing a critical peak…
Gold & Silver reversed lower immediately after Gold reached its ~2-month upside target (1365.8/GCG, 1370.0/GCJ) & Silver turned its weekly 21 MAC down.
Combined with the weekly trend signal in Silver & a powerful convergence of weekly & monthly cycles in Gold (and with the XAU precisely fulfilling its January & 1 – 2 month upside target), the action of Jan. 25 & 26 was expected to trigger a 1 – 3 week correction.
That action completed the early-Dec. buy signals and ushered in the time for a… larger-degree correction. That could involve a 1 – 2 week low being set in the coming week, the latest phase of a ~60-degree/2-month high-high-low-low-low-(low) Cycle Progression in Silver.
More recent related lows – in Dec. & Jan. – could push that closer to Feb. 9, so price action will have to clarify this. One of the key price levels involves a significant convergence of intermediate support & 1 – 2 week downside targets in Gold…
Gold has this decisive range at 1309.3 – 1316.3/GCJ – a level that could be tested in the coming week. That range encompasses 2 of the latest 3 weekly HLS levels, the 2017 closing level, the weekly 21 High AMAC, the monthly Raw SPS & the levels of previous highs in April, June & October – multi-month resistance turned into support.
If Gold spikes down to this support [reserved for subscribers].
Silver, in contrast, continues to languish and remains in a more bearish configuration – reinforcing its weekly 21 MAC downtrend while neutralizing its weekly uptrend AND turning its intra-year trend down. It could easily see a spike down to its monthly HLS – at 16.295/SIH.
The XAU has dropped sharply after perfectly fulfilling its January (and 1 – 2 month) upside target at 92.87 – 93.06. That completed the projected surge from early-Dec. and attained the upside objective for this latest advance – providing ‘the ideal scenario for a multi-week top’.
It has already turned its weekly 21 MAC and its intra-year trends down while neutralizing its weekly uptrend. That should spur additional downside in the near term.
A drop to [reserved for subscribers].
Weekly cycles are projecting the next multi-week low in early-March, even as intervening daily cycles converge on Feb. 7 – 9 and could time an initial, 1 – 2 week low.
Early-March is the next phase of a 90-degree/3-month high-low-(low) Cycle Progression and a 360-degree move from the early-March 2017 bottom…
Gold & Silver reversed lower after Gold surged right to its Sept. 2017 peak – the 1 – 2 month upside target. Gold did that while Silver spiked to the upper ranges of intermediate resistance and turned its weekly 21 MAC down. That was expected to spur a 2 – 4 week correction, which has taken hold.”
Gold, Silver & Gold stocks (XAU) confirming Jan. 25 – 26 sell signals and projecting initial sell-off into Feb. 9, with an overall decline (at least in XAU) into March 5 – 9 expected. The potential for that to ‘coincide with at least one significant sell-off in the overall equity markets’ is already coming to fruition. A second stock market sell-off could be seen in early-March. On a 1 – 2 year basis, XAU remains much weaker than Gold and could dive back towards its ultimate downside target as it drops into early-March.
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