Previously I assumed a rule break the spike low, and incorrectly scaled a pivot!! Also I have found yearly pivots 0, 1 and 2 which confirms that last Septmbers high is Q3.
The recent action has highlighted that the user is wrong – me, and this was not a rule break and the revised count is shown below base on the MAP Wave Analysis rules!
Essentially we need another high a minimum of 1795.84 and maximum 1802.92 before gold can continue forming a base for when confidence in the governments ability to deal with the sovereign debt crisis reaches its tipping point (pivot) Q5 on Y3. The timing is pointing to as early as next year to as late as March 2015.
My previous user rule break assumption from last report.
I am changing yet again the report format so that you can see the wave formation on the wave scales that I use so starting with yearly pivots.
We clearly have not had a a bubble finish yet! You will also see the incorrectly scaled pivots which give the final target area of Q4.
On a monthly pivot scale.
You can see the final “bubble top” of wave 5 following the yearly ML test, retest break and support followed by the monthly MLU test, retest and support before breaking clear to the yearly MLU!
On a weekly pivot scale
Here you can again see the test, and retest of the Q123ML, which will be followed by the break and retest, all of which is typical price behaviour around these cycle forks!
Zooming in on the daily pivot scale
As I stated in the introduction, we need to complete M-4. The window is tight and to stay within MAP Wave Analysis rules this means a final high between 1795.84 and 1802.92, before the break of the M123ML can succeed. This is projected to occur in December, and once D3 is in then a better time frame can be given, and once D4 is in then it can be further refined. This is unlikely to be a spike, but a roll over top.
In the immediate future below is what MAP WAVE Analysis is projecting.
Due to a lack of understanding of the fact that support and resistance ARE NOT horizontal, but time related and depending on the fractal wave scale you are trading that there is NO MAGIC time and price target. This fundamental simplicity just does not exist! MAP WAVE Analysis gives clear validity criteria, as shown above on the 4H scale. These can be applied to what ever your trading pivot scale is.