Gold has stopped its slide over recent weeks, but its direction remains undecided. This post will provide an overall wave analysis for Gold for the short and medium term.
Bearish Impulse Probably Still Incomplete
The bearish impulse which started in early 2018 is probably still incomplete, despite the potential for a further short-term recovery in Gold prices.
The chart above shows the scenario of the fifth wave of Minuette degree yet to unfold after some more days of corrective trading during Minuette 4, which could still either take the form of a triangle (sideways extension) or a sharper recovery via a zigzag. Price could therefore remain within the range of 1180 and 1240 for quite some more time.
This makes trading Gold on a medium-term basis still an unattractive option right now.
The bigger picture (see chart below) further suggests that more congestion could lie ahead in the coming months as Gold may be tracing out a triangle within a much larger-scale correction.