As you can see, gold has found its way back to my entry. I honestly did not expect such a deep correction of the inner wave 2. However, that does not mean that a 90% correction of wave 2 is not possible. As we have not made a new low, I am confident that we will hit new highs above the 1767 level in the coming week. Why am I sticking to my bullish count?
1. The Double-Zig-Zag WXY consists of three waves each. 2. Wave Y corresponds to an 1.618 extension. From this point on, sell orders were triggered. C can extend a maximum of 1,618. 3. Wave 5 of C corresponds to an extension of 2,618.
All of these points only let me infer the bullish count. I think Monday should tell us whether I'm right or not. If my SL will be hit, my count is due anyway and we are definitely in wave 4 or already in wave 5 of C, which would invalidate my analysis. If this is the case, I will provide you with a new analysis that will reflect the optimal entry point for wave 1. I wish you all the best for the coming week. If you have any questions, feel free to write us a DM. We are happy to answer them.
This is not financial advice. RL from RT_Trading
Trade closed: stop reached
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Sadly, SL wasn't placed well. Anyway: I reentered at a price of 1753 because I think we achieved the bottom of wave 5 1742. I will upload a new Idea in the coming days, after I see PA building up.