Sideways movement continues as the preferred Elliott wave count expects.
For the short term, the two preferred Elliott wave counts (combination and triangle) expected downwards movement to begin the new trading week. So far that is what is happening.
GDX and Gold both continued lower for the week as expected.
With Gold now having developed an extreme downwards trend, candlestick reversal patterns may be used as warnings that the trend may either end or be interrupted by a consolidation to relieve extreme conditions.
Downwards movement remains above the invalidation point on the hourly Elliott wave count.
Three short term Elliott wave counts are presented today.
Some downwards movement for the short term was expected for Tuesday’s session, which is exactly what has happened.
With New York closed for Memorial Day, a quiet session saw price move a little lower but remain above the invalidation point on the hourly chart.
Downwards movement continues now as expected and shows an increase in downwards momentum, which was also expected. The target remains the same and looks reasonable.
A bounce was expected to begin the new week, and this is exactly what has happened.
A breach of the channel on the hourly chart indicated more downwards movement was then expected.
The target has been adjusted, which is now within a strong support zone.
A short term bounce was expected to continue for Friday. Price made a higher high and a higher low fitting the definition of upwards movement. The Elliott wave counts for this week nicely predicted price action.
Upwards movement overall continues towards the target. Today the invalidation point on the hourly Elliott wave chart was invalidated by 1.05 before price turned upwards again.