Gold Elliott Wave Projection

8/11/2019 Gold Elliott Wave Projection

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Gold Elliott Wave Projection Since 1970

The market movement unfolds in waves which reflects human nature that doesnot change. The Elliott Wave Principle is made of motive and corrective waves.

Waves 1, 3 and 5 are impulse waves as they move with the trend, Waves and !are corrective waves as they partially retrace the previous impulse move. "complete se#uence is made of $ waves% a 5&wave motive phase '1, , 3, !, 5( and a)asic 3&wave corrective phase '", *, +(.


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rom -anuary 1/0 until now we can see that old had 3 impulsive waves whichwere separated )y distinct countertrend corrective waves. 2n high scale degrees prefer to use percentage scales.

Wave '(% 435 '-anuary 1/0( to 41/.50 '"pril 3rd, 1/!( 6!137

Wave '(% 41/.50 '"pril 3rd, 1/!( to 4101 '"ugust 5, 1/8( &!37

Wave '(% 4101 '"ugust 5, 1/8( to 4/ '9eptem)er 3,1$0( 6817

Wave ':(% 4/ '9eptem)er 3, 1$0( to 45.50 '"ugust 5 1( &857

Wave ':(% 45.50 '"ugust 5, 1( to ; tended 'the e>tended wave is

often the same num)er as the parent wave(. think that old ended a Wave '1( of

':( on 9eptem)er 8, 011 at 410.$0, Wave '( ended on -une $, 01! at

411/.!0 and old is currently forming a Wave '3( of ':(.

There are three main reasons why think that Wave ':( could )e an e>tended

wave%

irstly, the e>tended wave is often the fifth wave in the +ommodity )ull market.

9econdly, a non e>tended Wave ':( has usually gains in i)onacci proportion to

Wave '( from 0.81$ to 1. n that case Wave ':( performance should )e

)etween 557 '0.81$ > !137( and !137 )ut it is already up 8807 which

corresponds to Wave '( multiplied )y the olden ?um)er '!137 @ 1.81$ A

8807(.

Thirdly, think that 9eptem)er 8, 011 was not the top as the old market did

not yet have a mass phenomena nor herd )ehavior connected to all speculative


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)u))lesB the vast maCority of people do not have an idea of the current old price

and do not look for )uying old Detal at the moment.

Doreover, the corrective move since 9eptem)er 011 high looks rather like a well

organied structure corrective move than a )u))le crash. n addition to technical

reasons there are also many fundamental reasons for old to resume the )ull

market that did not mention as there are already a lot of talks on the su)Cect

'devaluation of the dollar, ero rates policy, systemic pu)lic de)t a)ove 100

percent of FP etc.(

Wave '( of ':( from 410.$0 to 411/.!0 represents a correction of 3$.87 at

the moment. t is less than Wave '( '&!37( and Wave ':( '&857( which are

corrective waves of higher degrees. t is another clue that lets me think that Wave

':( su)divides into five smaller waves.

proCected the e>tended Wave ':( with two different methods. The first one is an

e>tended Wave ':( related )y the i)onacci ratio to length of Wave '( through

Wave '( '1.81$ or .81$(. The performance from the )ottom of Wave '( to the

top of Wave '( was 61$37, therefore the proCection with the olden Gatio

1.81$ has a target of 4$35 and 413880 with .81$.


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The second method takes into account the fact that Wave ':( usually divides animpulse wave into the olden 9ection 'it can )e whether from the start or the endof Wave ':((. 2n the following chart you can see the two possi)ilities, the )lacke>ample 'the olden 9ection starts at the end of Wave ':(( and the )lue e>ample'the olden 9ection starts at the )eginning of Wave ':((.


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The )lack e>ample shows that 0.3$ )egins from the )ottom of Wave '( to the

end of Wave ':( 'from 435 to 45.50( which represents a performance of

6817. 0.81$ )egins from the end of Wave ':( to the end of Wave ':( which

represents a performance of 6100!7. This proCection gives a target of 4/$/ forWave ':(.

The )lue e>ample shows that 0.3$ )egins from the )ottom of Wave '( to the

start of Wave ':( 'from 435 to 4/( which represents a performance of

61$7. 0.81$ )egins from the start of Wave ':( to the end of Wave ':(


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which represents a performance of 63087. n this case the target for Wave ':(

is 4!100.

Whatever the case may )e and according to the Elliott Wave Principle, think

that old is in an e>tended Wave ':( which has a lot of upside potential. Elliott

Wave Principle helps to )etter understand the nature of the market movement

and completed with other tools it can forecast the market progress and define

important turning points with a high degree of accuracy.


7/15

Gold Projection by the Golden Ratio

This article shows how old has )een following the olden Gatio which predicted

all the maCor turning points with a high degree of accuracy for the past thirty

years, and reveals the ne>t possi)le maCor turning points. The olden Gatio1.81$03!; 'also called the olden ?um)er, the olden 9ection or the olden

Dean( can )e found everywhere around us from mathematics to architecture,

from nature to our own anatomy. *ut as you can see in the following analysis, it

can also )e found in the old Detal +harts.

The first chart presents the 9ecular *ear Darket from 1$0 to 1 and the

+yclical *ull Darket from 1 to 011 and shows how they are connected to the

olden Gatio 1.81$. irstly, you can see that the three most important turningpoints '1$0 top H 1 low H 011 top( had a time duration which is accurately

connected to the olden Gatio. t is also interesting to note that the olden Gatio

has an inverse correlation with the previous turning point 'high&low&high(.

9econdly, the first leg up of the +yclical *ull Darket from the low on "ugust 5,

1 to the top of Darch 1/, 00$ predicted e>actly the low on -une $, 013.

Iere again, the olden Gatio has an inverse correlation with the previous turning

point 'low&high&low(.

Thirdly, the second leg up of the +yclical *ull Darket H from the low on 2cto)er

!, 00$, to the top on 9eptem)er 8, 011 H pinpointed also the low on -une $,

013 and once again, the correlation is inverted 'low&high&low(.


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The ne>t chart shows the +yclical *ear Darket from the 011 top to the 013 low.

" look at the time duration of the tops and lows of this )ear market reveals that ithas an inverse correlation with the olden Gatio. +ontrary to the )ull market, the)ear market follows the 0.8 ratio which is the inverse of the olden Gatio'1J1.81$A0.8(. We can also notice that the alternate relation )etween highs andlows is )roken 'high&low&low(.


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"s we can see, every turning point has )een predicted )y the olden Gatio for thelast thirty years. The charts are showing that these turning points did not happen

)y coincidence )ut followed a precise olden Gatio road map. This ratio can

therefore also )e used to proCect the ne>t important market turning points.


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2n the following charts you can see a proCection upon studying the tops and lows

of the previous )ull and )ear markets. The entire leg up of the +yclical *ull

Darket from the low on "ugust 5, 1 to the top on 9eptem)er 8, 011, is

pinpointing an important market turn date during the last week of -anuary 01.

"s history has shown, the olden ?um)er had an inverse correlation with the

previous tops or lows, so odds favor that the last week of -anuary 01 could )e a

maCor low which will )e reversed )y the 9eptem)er 8, 011 high.


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"s for the +yclical *ear Darket from the 011 high to the 013 low, two possi)le

turning points could )e forecast, since also take into account the nverse olden

Gatio which pinpointed the highs and lows of the previous )ear market.

We can see that the first turning point could happen during the first week of

"ugust 01! 'olden Gatio( and the second one during the third week of Day

018 'nverse olden Gatio(. *ased on the olden Gatio study, the first week of

"ugust 01! could )e a top, as the olden Gatio se#uence has usually an inverse

correlation with the previous turning point 'the low on -une $, 013(.

"s for the third week of Day 018, history has shown that the nverse olden

Gatio 0.8 keeps the same characteristic of the previous turning point. n that

case the third week of Day 018 could )e a low, as the previous turning point on

$ -une, 013 was a low.


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Iowever, it is important to note that the history also reveals that turning point

se#uences can )e )roken whether we are in a cyclical )ull or a cyclical )ear

market. Therefore think that the most important is to watch how the price

action will approach these turning points 'in an uptrend or in a downtrend( and

)e prepared for a trend change.

f the olden Gatio has an important role for the time period, my analyses on

old prices also reveals that prices of )oth legs up of the +yclical *ull Darket and


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of )oth legs down of the +yclical *ear Darket are connected to the olden Gatio

1.81$.

The +orrelation of Price is a little less accurate than the one for Time Furation

)ut it is still very relevant. " measure move with round num)ers of the first leg

up and the second leg up of the +yclical *ull Darket presents that )oth legs up

have a price ratio of 1.5 which is very close to 1.81$. The two legs down of the

)ear market are also very close to the olden Gatio '/ points less than 1.8(.


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"s far as old prices are holding a)ove the 9ymmetry uideline and 9ilver holds

a)ove its thirty years *ase Pattern ?eckline 'as shown on the two charts )elow,

also pu)lished in K2014 The Year o !o""oditie#K(, the 9ecular *ull

Darket is still intact. n that case we could e>pect another leg up with a measure

move )etween 'the olden ?um)er( @ 'measure move of the +yclical *ull

Darket( and 'the nverse olden ?um)er( @ 'measure move of the +yclical *ull

Darket(%

1.81$ @ '11&5( A /00

0.8 @ '11&5( A 1035

This leg up could therefore send prices to a range )etween 415 and 43$$0 from

the low at 411$0. or the moment we need to see further development in the

price action to confirm a new leg up.
http://tradermc.com/2014-year-commodities/http://tradermc.com/2014-year-commodities/


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Gold Elliott Wave Projection

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