observed that often times, the third wave in a motive wave runs 1.618 the price of wave 1. In this case, we find gold finding some support around the price level of 1.618, which is the distance travelled in GREEN “1”, projected off of GREEN “2”, using the fib extension tool.
also observed that wave types often times alternate. In green wave “2” we have a correction. With the alternation guideline, its common to see a sideways wave as wave “4” (i.e. a flat or a triangle).
I am going to be patient in gold for now. Once wave 4 unfolds, I will watch for the red Heiken-Ashi bar and perhaps take a paper position in a short gold for a final wave 5.
PS Thank you for the paper trading feature TradingView.