I believe the bottom in gold is in. It may spike to the weekly lower Gann target @ 1262, but I find this scenario less likely, but if market absolutely want this, be my guest. I set my SL @ 1261 + slippage of 0.5. Gold is set for reversal on oversold conditions and bearish sentiment raging.
On chart is 3 interesting levels in white. Other important levels marked in green. Observe how price behaves at these levels. It is finally time to bring in the two last bastards I have wanted to see this week; 1287 and 1303. The latter may have to wait until early next week, but 1287 is going to get captured this Friday, whether he wants it or not.
Your previous concerns became my concerns :) GDXJ did a deep failed cycle. GDX followed. EURUSD also printed a failed cycle. DXY has to take a breather after a long downhill and also has to confirm that this is already a new yearly cycle, which gives a minimum of 95.6 target and a maximum of 98.5-99. Why would Gold stay out of it? Of course the road is bumpy and mostly slow and nerve wrecking and anything is possible and the opposite :)
@viking83, I get concerned if it goes below the W2 :)
epalazzo
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@viking83, This time Gold is lagging big time if we compare it to GDXJ, so it is not necessary for GDXJ to breach W2.
UnknownUnicorn540299
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@epalazzo, We cannot automatically assume that XAUUSD should produce failed cycle just becuase GDXJ did so. GDXJ has a totally different wave pattern than XAU. So until the fat lady sings...! :)
epalazzo
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@viking83, I absolutely agree. I have not even looked at gdxj until you mentioned :) But GDX I know is more correlated with Gold. Ofc, unpatiently waiting the fat lady singing...! :)