So far, the predictable indicator for Gold's direction seems to be USDJPY.
Please refer to the chart on the right for USDJPY.
USDJPY has not yet come down to near the monthly demand zone where the monthly correction process can be completed. So, until USDJPY reaches the monthly demand zone, the dollar will sell, and conversely, Gold will continue to rise.
If USDJPY is the first to hit the monthly demand zone, there will be a rebound.
The first case could turn into a monthly uptrend if this rebound is very strong or sustains an impulse pattern. A big upside could come as it completes the A-B-C correction of the daily bearish pattern and rebounds. Conversely, Gold is very likely to experience a monthly downtrend.
The second case is that if the first rebound is a correction pattern, then the daily downtrend continues. Then we will renew the floor again. Then, since it becomes a downward impulse, if there is a rebound, it will be a weekly correction, and a weekly downward wave may come out again. That is, it is the A-B-C correction process of the weekly bearish pattern.
Then Gold will have another strong weekly up rally. (This year will end with a rise.)
Please refer to the chart on the right for USDJPY.
USDJPY has not yet come down to near the monthly demand zone where the monthly correction process can be completed. So, until USDJPY reaches the monthly demand zone, the dollar will sell, and conversely, Gold will continue to rise.
If USDJPY is the first to hit the monthly demand zone, there will be a rebound.
The first case could turn into a monthly uptrend if this rebound is very strong or sustains an impulse pattern. A big upside could come as it completes the A-B-C correction of the daily bearish pattern and rebounds. Conversely, Gold is very likely to experience a monthly downtrend.
The second case is that if the first rebound is a correction pattern, then the daily downtrend continues. Then we will renew the floor again. Then, since it becomes a downward impulse, if there is a rebound, it will be a weekly correction, and a weekly downward wave may come out again. That is, it is the A-B-C correction process of the weekly bearish pattern.
Then Gold will have another strong weekly up rally. (This year will end with a rise.)