EagleTrader: 5 Down, then ABC, the (i) & now (ii) of the next 5. The ABC and the (i), (ii) often looks like a triangle (a traingle starting after the 5 down). Implications are similar, going down
Aye, Eagletrader. Corrective waves are, IMO, more of a pain in the butt, and my problem with the abc from the February low is the comparitively long time it took. It does happen that way, sometimes, and I wouldn't bet against the pattern on that basis alone -- it's likely just the market "keeping things interesting."
If it is indeed abc and (i) and (ii) since that Feb. low, then we're getting the triangle-like look you mentioned. With the further London trouble and the Chinese currency issues, for the market to make a head-fake higher here would be no surprise, very much like the "E" wave of a true triangle often is -- a thrust, many times a sharp thrust. Whipsaw City.
Gold is considered a good charting market, lots of volume, wide participation, etc. But I'm still wondering what trick is up its sleeve this time; could be something that's not been discussed, even by a bigmouth like me.
An ongoing tradeable bounce looks like the deal, and there were some good calls made by those who bought in the last week, at least those who are fairly nimble. Thus far the gold futures look like ABC or 123 up to me, from the July low.
Best,
Doug