Wednesday, November 4, 2009

Gold inflexion point at 1115



Last stop for impulse count out of triangle is 1115 where wave 3 could become the shortest of the 5 waves. This is a critical spot.

After that we would have to consider the move off $680 to be an impulse with a series of very bullish 1-2-1-2s and see then we should see much higher highs.

Although gold is looking extremely bullish right now, the divergence created by no new highs in gold miners (GDX) and silver (SLV) makes me worry that this is a blowoff top.