Jan 29 Gold, Silver, & Gold Stocks: Modest Pain captainewave 321gold :
"Within wave *v*, all of wave $i$ ended at the spike high of 1613.30, and we are now falling in wave $ii$.
Our retracement levels for all of wave $ii$ remain at:
50% = 1529.80;
61.8% = 1510.00.
The current low of 1536.40 is still a bit short of our 50% retracement level of 1529.80, so we probably should expect a little more weakness before all of wave $ii$ ends.
Wave $ii$ in gold may be forming a 3 wave pattern with wave ^a^ ending at 1536.40, which we have now shown on our Daily Gold Chart as our alternate count.
In this count we could rallying in wave ^b^, which maybe now already be complete at the 1588.40 high!
After wave ^b^ ends we should expect one more drop in wave ^c^, below the 1536.40 low, to complete all of wave $ii$.
Silver and the GDX have all dropped within their retracement levels for their respective corrections, however, so there is an outside chance that wave $ii$ in gold could be complete at the 1536.40 low.
Once wave $ii$ ends we expect a very sharp rally in higher in wave $iii$.
One current projection for the end of wave *v* and wave .iii. is:
.iii. = 1.618.i. = 1704.40.
Trading Recommendation: Long gold. Use puts as stops.
Active Positions: We are long, with puts as stops!"
Modest pain ...
Grüße