We broke through the blue trendline, and attacking now the daily candle's lows of April at 1224$.
I suggest patience here. All who covered some of the short positions should hold the rest of the short positions we might get one more drawdown this week to the to the 100 (1219$) , maybe today , maybe Friday at the GDP.
The 3rd wave will start when we break significantly below the 100 . The end of the 3rd wave is the16.02. DCL .
I think the daily cycle low will be at the 100 or at the 16.02. DCL - this week - and we will have some bounce from there(5-6 days) before we start to attack the 200 and the 16.02. DCL. When we break through that level - most probably 2nd week of June - the panic selling will start. I would like to be in full short positions again there.
Summary: Again I suggest patience. If you are short you can hold it a little more, we might come down this week to 1207 ( 3rd level - end of 3rd wave) . I tried to scalp on my account yesterday after market close with a small long position but the bounce was only 4$ . Gold is very weak I don't think it's a good idea go long here because there is still a lot of room to the downside and who knows how strong is the 3rd and 4th level... Also a bit late for starting shorts now as we will print the DCL in 2-3 days. When we have the bounce (green line) there is a possibility to go short again and make some nice gains during the panic selling stage
Because of yesterday's decline I moved the 200 to the 4th level (end of 4th wave)
Price has bounced from the 100 EMA. Now we should have a few days bounce as the dollar loosing its strength for a few days . Approximately 4-5 days of weak bounce. Maybe the testback of the 50 EMA at 1240-45$. It's almost impossible to tell how far it can go but it should be a weak bounce.
The dollar will be leading gold now.