I was hopeful gold would regain the $1,300 level and rally into October. Prices jumped to $1,317 yesterday but slipped immediately back below $1,300. Failing to retake $1,300 provided valuable clues regarding the current cycle count. If correct, metals and miners should decline for another week or two before reaching the next cycle low.
-GOLD CYCLE ANALYSIS- Prices have been turning approximately every 19-23 trading days. The tops/bottoms arrive between the 6th and 10th of each Month. Gold failed to regain the $1,300 level successfully. Consequently, the odds favor an extended decline into the October 6th – 10th timeframe. An ABC style correction establishes a target of approximately $1,250, which coincides with the rising 200-day MA.
