...........Wave 4's Wave B Short Term Upcycle

And massive Fed Punch Spiking ($18.75 Billion in Repos last Thursday and Fed Credit rose by over $6 Billion the week ending 2-15-06) are the two most important factors right now. Wave B may have peaked very early yesterday. NEM filled yesterday's downside gap early today then filled it's upside gap created today as did the XAU. For the third straight session HUI, NEM, and the XAU spiked very early then declined. The downcycle since early yesterday's spike move appears to be the major upcycle (since 5-16-05) Wave 4's Wave C short term downcycle beginning relatively flat, which means that the next week or two may be a substantial decline.

recent massive punch spiking: http://www.newyorkfed.org/markets/omo/dmm/temp.cfm?SHOWMORE=TRUE XAU Implied Volatility rose to 35.185 yesterday from 34.115 vs a +1.23% rise in the XAU yesterday which is a very sharp (3-6)% rise in fear that correctly portended some strength today. The XAU Put/Call Ratio continues to collapse, falling to 0.93441 today from 0.96608 yesterday which is a very sharp rise in complacency that portends some weakness today. The expired February XAU Put/Call Ratio was at 1.30761 on Friday, so the collapse in the XAU Put/Call Ratio is a sign of an impending substantial decline in the XAU which jives with the parabolic Wave C short term downcycle having begun or soon beginning. I suspect that Wave C started early yesterday. 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.