I still like this spot here for a turn

Building off the counts from the last couple of days: Updated Count and Current Count. I still like this spot for a turn. I think the move can be counted as done in a number of ways.




ES also looks very unimpressed. The Acc/Dis at the bottom is *pathetic*.

Update on Short Term Gold Count

Refer to my last large update on Gold here: binve's Gold Foil Hat Zone: More Thoughts on Gold's Massive Bull Market, and in particular, here is my update to this chart.

From my last chart I was targeting 1230 as an inverse H&S target which we basically reached and then moving up to ~1300-1350 to the upper channel line before putting in another correction.

How much will gold correct? Again, I think quite honestly gold is in a massive bull market. This war is about the confidence in sovereign debt and the integrity of fiat currencies. It is about real money vs. fiat money. Nothing in this crisis has made the Dollar any stronger fundamentally. So the Euro vs. the Dollar, while interesting, is a sideshow. Gold is at or near all time highs in nearly every major fiat currency. So the correction may not be that dramatic. Wave 2 pullbacks within extensions (and my position is that gold is in a massive Wave 3 extension right now that started since 2000) are usually only 38%. Not advice. But I also bought gold at much cheaper prices so I can afford to be patient and pick up oversold entries whenever they occur.



May 14, adding Gold/Equity Correlation chart

Updated Count

From my count yesterday: Current Count, I was projecting one more move up to 1170 on negative divergence. We just got that. I like this spot for a turn. We will see what happens.

Lets look at some more Accumulation / Distribution (emphasis on the latter)

There was a reason why I said yesterday looked more like a reaction rather than a new impulsive spike up: What type of markets do 4% up days happen in?.

Look at the Volume based Acc/Dis on the ES (bottom line)..... go bulls.

Current Count

I don't love this count ... but I don't hate it earlier.

I do find the super-spike to be a 3 with a highly truncated 5th to be a compelling explanation. I put some fibs together and I like here for a consolidation target with a stab up to 1170 on negative divergence to the next fib confluence as the end of 2.