Gold: bullish now

Elliott Wave Analysis: Gold

After updating the wave count on gold into a bullish mode, at least temporarily, the reason for a change is simple. Notice that the market has five waves up from a March low, which we know is a bullish structure. As such, it's important to observe what the market is doing, focus on an actual price move and not ignore the structure. With that in mind, our bias is bullish now based on the wave principle. We will expect more gains towards 1260 and even to 1280 in days or weeks ahead, but before that, we need to be aware of a three-wave retracement. We will pay a close attention to an upcoming A)-B)-C) pullback.

Gold, 1-hour

About the Author

Gregor Horvat, based in Slovenia, has been in the forex markets since 2003. He is a technical analyst and individual trader who has worked for Capital Forex Group and TheLFB.com. He also is founder of forex services on www.ew-forecast.com.