Gold - Elliott Wave Update

1. Gold was rising laboriously making overlapping wave structure. I am counting this structure as an ascending triangle, ending as shown on the chart.
2. Since the completion of the ascending triangle pattern, we have rallied in 5 waves in wave [1], and also seem to have completed a corrective flat pattern, in wave [2].
3. If our pattern identification is correct, we may see Gold rising in a probable wave [3].
4. Composite has formed a positive divergence with prices as well as RSI.

1. On the daily chart, we can see that we have ended the wave (c) with a possible triangle in wave {5} of (c) of [2].
2. Composite has formed positive divergence with prices as well as RSI.
3. At this point the Reward to Risk is quite favorable, and with a small risk we can enter a position with big potential for gain in near future. For a min wave [3] == [1], we get a target of 33900, and @ 161.8% of wave [1], the target for wave [3] comes at 35900 odd levels. SL should be kept below 30600. Yesterday's close was at 30888.