Silver & XAU Signal 3 – 5 Day Pullback
Silver & XAU Signal 3 – 5 Day Pullback;
Higher Targets Remain in Place.
Daily Trend Pattern = Key!
01/17/18 Weekly Re-Lay Alert:
“2018 has begun with Currency Wars flaring back up as Gold, Silver & Gold stocks fulfill their expected surges (from cycle lows on Dec. 4 – 15 into cycle highs in mid-Jan – early-Feb) – following early-Dec. buy signals in metals & metals stocks.
Gold reached the lower end of its 6 – 12 month buying range (1247.0/GCG – see Dec. 2017 INSIIDE Track) on Dec. 7 – 12 at the same time the XAU was reaching extreme downside targets, fulfilling weekly, monthly & yearly cycle lows and generating a corresponding buy signal on Dec. 11 – 12.
That projected a surge into at least Jan. 12 – 26, 2018 and potentially into Feb. 2018.
At the same time, Bitcoin fulfilled multiple cycles & wave analyses – peaking on Dec. 16/17 (the completion of the 4th consecutive advance of precisely 5 months each) and dropping sharply into cycle lows on Jan. 16 – 20, 2018…
The XAU.surged to test monthly & weekly resistance (90.44 – 91.17 & 90.82 – 91.38, respectively) during mid-month & mid-week, producing the potential for an initial (3 – 5 day, possibly 1 – 2 week) peak If it gives a daily close below 88.26, the XAU would validate that scenario and usher in consolidation.
The daily trend pattern would then need to clarify when and where a pullback low is more likely.
Intermediate (2 – 4 week & 1 – 3 month) traders could have entered Gold stocks or related instruments before mid-Dec. and be holding these longs.” TRADING INVOLVES SUBSTANTIAL RISK!
Gold & the XAU remain on track for an overall advance to decisive upside targets (1377.0/GC & ~93.00/XAU) but validated the likelihood for a 1 – 2 week peak and 3 – 5 day pullback in the near-term.
See Weekly Re-Lay & INSIIDE Track for additional analysis and/or trading strategies.