The bounce was expected to be over with one slight new high or at Monday’s high. A downwards swing was expected to continue this week, which is what is happening.
Another test of support about 1,310 to 1,305 was expected. This is what has happened.
To start the new trading week upwards movement was expected. A higher high and a higher low fits expectations for Monday’s session.
Gold continues to be range bound exactly as expected.
A little upwards movement fits the second Elliott wave count again quite nicely. This preferred wave count expects some more sideways movement, and then a breakout from the range Gold has been contained in now for some weeks.
All three hourly Elliott wave counts expected upwards movement, which is what happened on Friday.
Volume will be relied upon strongly today to judge the next most likely direction for Gold.
Downwards movement remains above the invalidation points on the daily charts. Price remains within the consolidation zone which it entered back on the 27th of September.
Price does not move in straight lines within consolidations, and Friday’s strong downwards movement is evidence of this fact.
Upwards movement continues as expected for this analysis.
On Balance Volume today gives an important signal that will be given reasonable weight in this analysis.
Upwards movement was expected for both Elliott wave counts. A higher high and a higher low with a green daily candlestick for the session fits expectations.
Price continued lower changing the Elliott wave count for the short term. Hourly charts today will show all movement from the last swing high on the 16th of October.