Many of the gold stocks related ETFs that I write about, do have slightly different wave patterns. Some of the odd patterns break all my bullish outlook, while others look much better. Since the early August 2016, double top, gold stocks have been grinding out a correction, which may have completed with the December 2016 bottom. It looks like a potential 1-2 wave count start, but then it starts to fall apart as we start up the anticipated wave 3.
When the start of wave 3 started acting, “funny”, I knew a diagonal wave count would make a better fit. It would still be part of a bigger “C” wave bull market. “C” waves can stay depressed for long periods of time, but then get up and go in a wild move that nobody was expecting.
The US dollar spent over two years around that $79 price level before it turned and soared in a massive move to the upside.
To help confirm that a bigger bullish phase is still alive, two peaks should get retraced. This would be wave 1 in Minute degree at $10.50 and then the big top of $12 should also get retraced.
Higher lows are still being played out so my bet is that gold stocks will see a new record high before it will ever see a new record low!
Any bullish opinion on my part should not be used as a “buy” signal or investment advice, besides investors with low 6 figure trading accounts, are much better served with a newsletter subscription from Steven Jon Kaplan, “The True Contrarian”.