With an invalidation of the main hourly Elliott wave count below 1,276.10, the alternate hourly Elliott wave count now has confidence.
Upwards movement continues as expected. A downwards whipsaw breached the invalidation point on the hourly chart, which was too close.
A pullback was expected when price made a new low below 1,244.28, but it was expected to be a little deeper though: price fell $6 short of the first target at 1,238.
The overall trend remains up, which still fits the Elliott wave count.
A shallow consolidation was expected for Friday and Monday.
Monday completes a doji, which is essentially sideways movement, as expected.
Price has moved higher but today’s candlestick closed red.
There are still at least two hourly Elliott wave counts for the main daily Elliott wave count. The alternate Elliott wave count has reduced in probability.
A strong breach of the base channel on the main hourly Elliott wave count shifted probability from bullish to bearish. The alternate Elliott wave count was then preferred because it expected more downwards movement.
All three hourly Elliott wave charts yesterday expected some downwards movement to at least 1,240. Thereafter, the main wave count expected a resumption of upwards movement.
The low for the session was 1,237.18 and then from there price bounced to close green.
Gold is still range bound.
On Balance Volume today is giving a signal for the next direction for Gold.
Sideways movement continues but downwards movement was expected.
The session did close with a red daily candlestick, but a new low was not made.
Upwards movement invalidated the Elliott wave triangle leaving only a combination possible for the correction. With only one hourly Elliott wave count left, the structure is now clearer.
Downwards movement was expected for Monday, but this is not what happened.
Price moved mostly sideways, and a small inside day closed green.
I have three Elliott wave counts for you today.
Elliott wave is fractal, so the key to seeing what is most likely to happen next is how to fit the current wave count into the bigger picture.
Downwards movement unfolded exactly as expected.