Getting us started. This should be quite a week.

Yep, right up off 9.25. But, will it set a new high for this move? I'm not sure, I'm thinking perhaps not.

And after a retest it explodes!

Now, will this be a bearish 'W2' ABCD?

I strongly doubt it, but it has to be considered.

Gold up about 34 since the announcement...


for gold traders

for savers

I know this statement is of no real use, but this is either a major breakout in gold, or a climax move into the key area posted before. If it's a breakout above the key area it may really move. This is big. Critical. What it does here, I mean. Again, just in my own opinion.

On the way up I am watching 16.50-17.00, and 19.25-21.00. These are the short-term levels. Look at the levels I posted previously, too.

First level hit.

First level blown out in a frenzy as they shoot for the new highs for the entire move.

One tick from the new highs...

rat, I'm not sure if I defined them in here or not, but the terms I use are in the AFTC book. I follow Miner's convention. I don't use 'extension' as a term at all. We all know what retracements are. 'Internal' means less than 100%, 'external' means greater than 100%. A price projection uses three points, like A, B, and C of an ABCD. It takes the move from points 1 and 2 and multiplies that by a Fib ratio and adds it to point 3, to get point 4. I also use expansion, which is a two point tool, and starts out like a price projection, using points 1 and 2, but after doing the ratio it adds it to point 2 instead of point 3. This is clearly explained in AFTC, with diagrams, so I refer you back to that book.

Originally posted by rat89

Jim, you once clarified the difference between projection and extension here....I can't find it, and I get mixed up in terms....could you point me to it again?