CMP 1225
Based on my Weekly Chart, we are in last move on the downside targeting minimum of 1060. Normally, ABC correction will take support at wave 4 of the same degree. The span of Wave 4 lies between 1032-680. I expect Gold will take support at this region.
As long as 1308 resists, I expect to see another down move towards 1060$.
As you can see in the chart, wave 3 ended at 1131.43. Wave 4 at 1307.36. And we have started wave 5 from 1307 level. As per my analysis, we are in 3 wave moves to complete this wave 5 as triangle. Wave 'a' ended at 1142.74 and started wave 'b'.
As long as 1142 supports, I expect to see 1225 (completed), 1244, 1258, 1268-1272.
More closer look of Wave B of Wave 5.
Waves a and b of Wave "B" completed as per my view.
Wave a of wave B at 1224.14, and
Wave b of wave B at 1170.25.
Wave c started from 1170.25. As you know, wave c will have 5 waves.
As long as Gold supported by 1170, I expect to see 1251, 1270.
So, as per the above view, upside targets are: 1225 (completed), 1244, 1251, 1258, 1268-1272.
Wave 3 of Wave c of wave B.
As you can see in the above chart, Wave 3 has done 261.8% and completed at 1218.92.
Started wave 4 correction, made new high at 1227 and dropped to 1210.90.
As per the waves guidelines
Wave 5 is often computed by taking either a 38.2% measure or a 61.8% measure of the distance traveled from the start of wave 1 to the end of wave 3.
If Wave 3 had extended, then there is a high chance for wave 5 to be equal to wave 1.
If you see in the chart, wave 5 made high at 1226.20 exactly 100% of wave 1 but it has not yet taken out the recent high 1227.25.
Trade Ideas:
1. As long as Gold supported by 1178, Buy on Dips can be initiated for 1244, 1251, 1258, 1268-1272.
2. Sell on Rise can be initiated between 1245-1275 with max sl 1308 for 1131, 1070 n more... (Long Term Positional View)
Small Trades:
1. Buy between 1218-1214 or Buy above 1227.5 with max sl 1210 for
1230, 1233, 1235.
