Gold is now due for a corrective move. Its rallied 15 out of the last 17 days and is now moving into the timing band for a cycle low. My best guess was that gold might make it to around $1240 before that corrective move began. Today was pretty close.
If stocks have one more leg down before the final daily cycle bottom then a move down by gold at the same time does make for a tidy little theory.
Gold and stocks are both in the early part of weekly cycle, but stock market is close to daily cycle low and gold is starting to go down to cycle low. Is my understanding of your cycle analysis correct?
Gold is going down to cycle low, but couldnt the gold stocks LEAD gold out since the stock mkt is close to its daily low?? They are overbought, but pullback to 50 ma is near, and gold could pullback more while gold stocks follow general mkt? or is there disconnect.
Gold and stocks are both in the early part of weekly cycle, but stock market is close to daily cycle low and gold is starting to go down to cycle low. Is my understanding of your cycle analysis correct?
ReplyDeletecorrect
ReplyDeleteGold is going down to cycle low, but couldnt the gold stocks LEAD gold out since the stock mkt is close to its daily low?? They are overbought, but pullback to 50 ma is near, and gold could pullback more while gold stocks follow general mkt? or is there disconnect.
ReplyDeleteI expect stocks and gold to bottom together.
ReplyDelete