A wise man once said to me "tou bara kamchor insan hai" - I can only be bothered to look at a 3m chart - anything else is WAY too much work!
On a 3m chart it's as easy to see as ABC. We are heading for a straightforward 50% retracement of an A wave that began, well let's get to that.
The 50% retracement comes in at... I don't even want to say it... ~$1013. But wait, it gets worse. The nearest support above that level is at $1034 but that just seems like a very flimsy level to end such an historic event. The nearest 'serious' level below that is at at $988, which is where I drew the end of the B wave to on the diagram... and we could/should end the conversation right there.
But I couldn't leave it there... I love a good 'make the facts fit the theory' session. The $988 level again, does not seem like a fitting place to end a 5y wave either. There's not a lot of price action going on there. The only level which catches your attention on the A wave when you first look at it, is a level below the $988, which is, the level at which the A wave first thought about heading back (maybe it should have), in fact it consolidated there for an entire year! The level ladies and gents is $930-$893!!! Now guess where the 50% retracement comes in if you start the A wave from the Bretton Woods fixing of $35? yep, you guessed it... or you put 2+2 and realized I didn't put a dotted yellow line on the chart for no reason. The facts now fit this terrrible theory. Just goes to show.
Anyway, I am not a bear or a bull. I'm obviously bear on the B wave but once we've seen historic lows, the type of lows no one will ever see ever again, I will be bull.
A note for both camps.
A) Gold is NOT a hedge against governments. There is no hedge against a TANK parked on your front lawn! See executive order 6102. Either way, if enough people think it's a hedge against aliens landing, then guess what?
B) For those hedging against inflation, yes the price of gold will exceed 2k and will skyrocket in the future... but guess what happens when it reaches 4 or 5 or 10k or 2kk ???? See A). Fed/Rotshchild will come into your basement and personally rid you of your treasure. Sorry.
On a 3m chart it's as easy to see as ABC. We are heading for a straightforward 50% retracement of an A wave that began, well let's get to that.
The 50% retracement comes in at... I don't even want to say it... ~$1013. But wait, it gets worse. The nearest support above that level is at $1034 but that just seems like a very flimsy level to end such an historic event. The nearest 'serious' level below that is at at $988, which is where I drew the end of the B wave to on the diagram... and we could/should end the conversation right there.
But I couldn't leave it there... I love a good 'make the facts fit the theory' session. The $988 level again, does not seem like a fitting place to end a 5y wave either. There's not a lot of price action going on there. The only level which catches your attention on the A wave when you first look at it, is a level below the $988, which is, the level at which the A wave first thought about heading back (maybe it should have), in fact it consolidated there for an entire year! The level ladies and gents is $930-$893!!! Now guess where the 50% retracement comes in if you start the A wave from the Bretton Woods fixing of $35? yep, you guessed it... or you put 2+2 and realized I didn't put a dotted yellow line on the chart for no reason. The facts now fit this terrrible theory. Just goes to show.
Anyway, I am not a bear or a bull. I'm obviously bear on the B wave but once we've seen historic lows, the type of lows no one will ever see ever again, I will be bull.
A note for both camps.
A) Gold is NOT a hedge against governments. There is no hedge against a TANK parked on your front lawn! See executive order 6102. Either way, if enough people think it's a hedge against aliens landing, then guess what?
B) For those hedging against inflation, yes the price of gold will exceed 2k and will skyrocket in the future... but guess what happens when it reaches 4 or 5 or 10k or 2kk ???? See A). Fed/Rotshchild will come into your basement and personally rid you of your treasure. Sorry.