Major Upcycle's (since 5-16-05) Wave 4 Down Wave C

It looks like the Wave 4 Elliot Wave count in the 1 month NEM chart dated 2-10-06 is accurate and that Wave C began early last Thursday. See http://www.joefrocks.com/GoldStockCharts.html for the latest HUI/NEM/XAUcharts showing the Elliot Wave count for the major upcycle since 5-16-05 and for the major upcycle's Wave 4 down that began on 1-31-06. Combine Wave C with option expiration this Friday and this could be an apocalyptic week for gold/silver stocks that should be a great buying opportunity once a Wave 4 cycle low occurs. The major upcycle's (since 5-16-05) Wave 4 since 1-31 is doing an Elliot Wave A, B, C correction, with Wave C beginning early last Thursday. The Wave 4 correction may not even last 4 weeks the way it looks right now, with last Tuesday 2-7's huge declines probably speeding the process up dramatically. The major upcycle's (since 5-16-05) Elliot Wave 4 minor int term downcycle began on 1-31-06 for HUI/NEM/XAU and a 20-30% 1-2 month correction is probably underway. A Wave 3 2% sell signal occurred on Tuesday 2-7. See http://www.joefrocks.com/GoldStockCharts.html for the latest HUI/NEM/XAUcharts showing the Elliot Wave count. NEM's 1 year chart dated 2-3-06 has the clearest count for the major upcycle since 5-16-05. The XAU Put/Call Ratio fell to 1.38583 today from 1.43565 on Monday which portends some weakness today because it's a very sharp rise in complacency, and the Wave C parabolic/dramatic decline short term downcycle has begun, which is the dominant consideration (since cycles are the primary market timing consideration), so the XAU Put/Call Ratio portends more weakness than it normally would due to the parabolic Wave C down. XAU Implied Volatility rose +4.24% to 38.025 on Monday 2-13 from 36.480 on Friday 2-10 versus a -2.57% decline in the XAU on 2-13, which is a significant (0.50-1.99%) +1.67% rise in fear (+4.24% + -2.57% = +1.67%. The XAU wall of worry grew by +1.67%, therefore fear rose by +1.67%) that portends strength/an uptrend during part of Tuesday 2-14's session, but not much strength because the sharply declining Wave C down is in effect. The NEM Lead Indicator is a bullish +0.40% right now vs the XAU after being a very bullish +1.27% yesterday. Fed Credit in the week ending 2-8-06 fell -$5.235 Billion which portends weakness for the next few days to a week. The Fed lent a small $2.25 Billion 1 day Repo so far today to index fund traders after a below average $6 Billion 1 day Repo yesterday, see http://www.newyorkfed.org/markets/omo/dmm/temp.cfm , so the Fed didn't spike the index fund trader punch so far this week. HUI, NEM, and the XAU entered their major upcycle's (since 5-16-05) Elliot Wave 4 correction on 1-31-06 and are likely to decline -10-20% in the next week or two, similar to what occurred in 2003's Wave 4 when HUI fell -26.59% and the XAU fell -25.11% in 7 weeks. NEM has downside gaps to fill at 53.40 from 1-3, at 51.59 from 12-28, at 50.45 from 12-22, and at 48.75 from 12-7, and, the XAU has downside gaps at 135.39 from 1-6, at 128.03 from 1-3, at 124.36 from 12-28, and at 122.49 from 12-22. Often cycle highs or lows will occur shortly after gaps get filled, so one needs to track gaps closely. If gaps don't get filled that can be a bearish or bullish sign, as occurred recently when NEM twice closely approached (daily cycle lows at 48.88 and 48.89) but didn't fill it's downside gap at 48.75, then the recent explosive rally occurred. See http://www.joefrocks.com/TradetheCycles.html for the weekly update. Scroll down a few pages past the major averages work to see the gold/silver stock work. See http://www.joefrocks.com/GoldStockCharts.html for all the charts. My home page is http://www.JoeFRocks.com/ I hope you'll take the time to e mail your friends re this Blog and my site/work/system. This will help to keep my work free, because the more visitors I get the more advertising $ I make. I have a long way to go but have made significant progress in recent months. Thank you.