1. Gold trading is not for the fainted hearts – the top around 1900 kicked in and we lost from the top 150 Dollars in 2 days – that is back to weekly Bollingers in a week 8 after another daily 13 count (TDM Combo). That says we are going into a period of volatile consolidation / correction before the journey to and over 2000 resumes. It also says that no big announcement from Bernanke is due as expected in Jackson Hole.
2. The rise yesterday in stocks was after all a typical count 5 week ( most of the time counter direction) and after the death cross also reached the Nasdaq which typically triggers a counter move. Looks like we are already in bigger wave 4 after those double bottom patterns and astrology is very bullish for next week as explained yesterday – remember just a little spike to the 1200 region before heading to the 1000-50 area.
3. Some sentiment indicators are extremely bearish – hence short term bullish as the one below
Rydex Nova/Ursa Ratio
|Date||NAV Adjusted N/U Ratio|