Price remains within the consolidation zone. While strong support holds, the preferred Elliott wave count will remain at a critical juncture.
Downwards movement this week fits both short-term outlooks. Classic analysis is used to determine the probability of each with clear price points for a breakout.
With the preferred Elliott wave count at a very important juncture, it is time to take a clean slate and see if a wave count which expects the opposite could be true. This video follows that process:
Closure of the last gap is an important signal. This analysis now slightly shifts away from yesterday’s neutral stance.
Price remains within the channel. At this stage, the analysis has now switched to neutral, awaiting technical indication of a trend change or a continuation of the existing trend.
A channel is used to indicate a trend change. While price remains within the channel, the upwards trend should be assumed to continue.
Two targets are provided: one using Elliott wave and the other a classic analysis target using the last gap.
I’ve videoed the process today of developing part of the Elliott wave count for Gold on the hourly chart. Some members may find this useful in learning Elliott wave and having a deeper understanding of the current Elliott wave structure and expectations for next week.