Sunday, November 15, 2009


Gold is the flavour of the month with Gold news being pervasive in the media, forums and by the analysts, hence a top may be at hand.

Back in February I posted a few charts on ASF on the GOLD thread and indicated that it appeared a wave (4) was unfolding, possibly as a flat.

This would mean one last push to new highs would complete 5 waves up.

Well, wave (4) has completed (as a triangle) and wave (5) is underway. The second chart below shows a narrow wave (4) triangle and a thrust upwards out. Under these conditions, caution is required for those buying into the GOLD hype that is evident in today's markets.

A push to US$1200 or a little over would make wave (5) equal to wave (1).