Gold Yearly Support Resistance (minor support resistance is at ML's - see chart)
Gold bounced off its minor resistance at 1392, making its high for the year. It needs to build subwaves to complete this correction and the triangle it needs to break out of is the M123ML as resistance and the Y ML which is support which means golds trading range for this year has its high and the year will end on a low spiking no lower than 110 with a close around 1162. Then next year will make a high on the M123ML and a low on the M123MLL around 1015.
I want to start to add yearly charts so starting with Gold. To Put wave development into context over extended time we look at log scale.
Above I have added in bull and bear periods showing % change as well as duration from tops / bottoms. So we have had a 9 year bull market, followed by a 19 year bear market followed by a 12 year bull market and are currently in the 3rd year of the bear market.
Also shown are the expected normal and extreme wave corrections which can be better seen below in the non log chart.
You can see 2013 closed below the Q012ML, however prices have not hit the Q123ML, so it is very unlikely that this correction is over, which is evident when you go into smaller time frames. The expected high close for 2014 is $1271, and prices are expected to fall to the Q123ML around $1260 which is the minimum possible correction. If the Q123ML is broken then prices are expected to drop to the Q012MLL around $700, where I expect the minimum correction to complete before the bull market resumes. However as prices overshot the Q012MLU, it is highly likely that they will equally overshoot the Q012MLU and stop at the Q123MLL around $400 sometime mid to late 2015.