Downwards movement was expected to end within a very few hours after last analysis was published and thereafter to be followed by an upwards breakout. Today price has closed above the upper edge of the pennant pattern, but a lack of support from volume so far is suspicious.
A small range day remains within the trend lines of the pennant pattern. The target remains the same. The breakout is expected within the next one to two sessions.
All three Elliott wave counts remain valid and two short-term scenarios are considered for members today on hourly charts. Overall, all three Elliott wave counts expect the same direction next but targets differ.
Today Gold may be in the process of a classic upwards breakout from a multi-year consolidation. If this session closes above 1,374.91 (the July 2016 high) on an upwards day with support from volume, then have confidence in the breakout.
Today I have three Elliott wave counts, all of which are bullish.
An upwards breakout fits the alternate Elliott wave count.
Price continues to move sideways. The short-term structure fits the main hourly Elliott wave count best.
Downwards movement was expected for Thursday’s session. An inside day sees price remain above identified support and below the Elliott wave invalidation point.
The bounce was expected to continue for Tuesday’s session, which is what has happened.
Price continues to move lower as all three Elliott wave counts expect. Targets remain the same.
This analysis overall expects a downwards trend, which is how the new trading week has begun.
For the short term, a little more upwards movement was expected to unfold as a zigzag. Price remains within the channel on the daily chart.
A bounce on Friday remains below the short-term invalidation point for the hourly Elliott wave count. The mid and long-term targets remain the same.