I’ve been expecting a stock market correction for a few weeks now. It may or may not have begun on Friday. We will need to see some follow through this week before we can say for sure. At some point I expect a big whoosh down. It’s how these extreme momentum moves often end.

Gold also appears to be moving into a cycle low. When that big whoosh comes we should know whether gold is still in an A-wave or whether the B-wave has begun. There is even a possibility (although remote) that gold could still be consolidating before another leg up in the C-wave. That scenario is dependant on what the dollar does.

More in the weekend report.

Gold’s four wave structure:

18 thoughts on “A-B-OR C

  1. Anonymous

    Don’t you realize that your chart is too old? got gold bullions? or just …..Paper? C’mon….be ” Smart bullions not just paper..”

  2. Anonymous

    “That’s the sound of the boys at Goldman flushing all the evidence down the toilet…”-Marc

    LMAO! $3.5 billion in bonuses at the same time accused of fraud.

    Fraud=bonuses for the banksters. Ron Paul in 2012!

  3. Anonymous

    It seems when you know which wave it is-then you’ve already missed the best of the move anyway-unless you are trading very long term.
    What benefit is wave theory-except in hindsight.
    Think the ‘whooshing’sounds have more potential.!!

  4. Gary

    I think most of us are going to find that the only way to make real money is buy holding through a complete C-wave. Trying to trade anything else you are just asking to whittle away at your profits.

    I wasn’t kidding when I said in the article that the only way to lose money in a secular bull market is by trading. Do you really want to get tangeled up in the one strategy that can produce losses?

    The only reason I’m at all concerned with what wave it is is because if I think we are heading into a B-wave decline then I want to be buying long term holdings for the next C-wave.

    If I think this is an A-wave then I want to think about taking profits on any positions in the green at some point.

    That’s about the extent of how much I care what wave gold is in.

  5. Anonymous

    In tonight’s report Gary will reveal that he doesn’t know what will happen in the markets tomorrow, next week, next month, or next year.

  6. Gary

    LOL I got news for you no one does. The markets are just probabilities. That’s the best anyone can do until someone invents a working crystal ball.

  7. Anonymous

    Come on! If Gary knew, he’d be the richest man in the world. So you’re telling me you do?


  8. Anonymous

    That is HILARIOUS: it could be an A, B or C. Why for good measure, why not throw in a D, Eor F?!!!

  9. Anonymous

    Wouldn’t it end up being easier to just hold for the entire secular bull, being that trying to exit A waves, and buy back into B declines proves so difficult. Not only would we catch the whole move, but also have more free time!

    I think greed induces us to time the markets, myself included.

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