The NEM Lead Indicator Was a Very Bearish -1.56% Vs The XAU Today
The NEM Lead Indicator was a very bearish -1.56% versus the XAU today after being a bearish -0.65% versus the XAU on Friday. It looks like wave B up of the major correction since 9-6 for HUI/XAU (since 9-5 for reliable lead indicator NEM) began on Friday, but, given the very bearish NEM Lead Indicator right now and Wednesday's Fed FOMC meeting, there's no rush to go long, and, a test of Friday's potential wave A cycle lows is possible. Buying after a higher cycle low occurs, to make sure that wave B began early on Friday, makes sense.
The XAU has done an Elliot Wave 12345 upcycle since early Friday, (see http://finance.yahoo.com/q/ta?s=%5Exau&t=5d&l=off&z=l&q=c&p=&a=m26-12-9%2Cp12%2Cfs%2Cw14&c), and, Waves A and B appear to have occurred late today, which means that wave C down and a breakdown of the XAU's uptrending (potentially wave 1 of wave B) channel since early Friday appears likely early tomorrow, and, jives with the very bearish NEM Lead Indicator (was a very bearish -1.56% versus the XAU) today after being -0.65% versus the XAU on Friday.
The past thirteen weeks and one day the NEM Lead Indicator is a very bearish -13.80% versus the XAU. A vicious multi week decline, similar to the one that occurred from 5-11-06 until 6-13-06 for HUI/NEM/XAU, began on 9-6 for HUI/XAU and on 9-5 for reliable lead indicator NEM. Wave A of this major correction since 9-6 may still be in effect (may last a few more sessions). Wave B up of the major correction since 9-6 might last over a week, Wave B in the prior major correction from 5-11-06 until 6-13-06 did, then it's time for the final Wave C down and another brutal decline for HUI/XAU, in which Wave A of their Cyclical Bear Market since 5-11-06 bottoms, probably in the 100-110 range for the XAU. For recent action see http://finance.yahoo.com/q/ta?s=%5Exau&t=5d&l=off&z=l&q=b&p=&a=m26-12-9%2Cp12%2Cfs%2Cw14&c=. ....... http://www.JoeFRocks.com/
HUI NEM XAU Fed
The XAU has done an Elliot Wave 12345 upcycle since early Friday, (see http://finance.yahoo.com/q/ta?s=%5Exau&t=5d&l=off&z=l&q=c&p=&a=m26-12-9%2Cp12%2Cfs%2Cw14&c), and, Waves A and B appear to have occurred late today, which means that wave C down and a breakdown of the XAU's uptrending (potentially wave 1 of wave B) channel since early Friday appears likely early tomorrow, and, jives with the very bearish NEM Lead Indicator (was a very bearish -1.56% versus the XAU) today after being -0.65% versus the XAU on Friday.
The past thirteen weeks and one day the NEM Lead Indicator is a very bearish -13.80% versus the XAU. A vicious multi week decline, similar to the one that occurred from 5-11-06 until 6-13-06 for HUI/NEM/XAU, began on 9-6 for HUI/XAU and on 9-5 for reliable lead indicator NEM. Wave A of this major correction since 9-6 may still be in effect (may last a few more sessions). Wave B up of the major correction since 9-6 might last over a week, Wave B in the prior major correction from 5-11-06 until 6-13-06 did, then it's time for the final Wave C down and another brutal decline for HUI/XAU, in which Wave A of their Cyclical Bear Market since 5-11-06 bottoms, probably in the 100-110 range for the XAU. For recent action see http://finance.yahoo.com/q/ta?s=%5Exau&t=5d&l=off&z=l&q=b&p=&a=m26-12-9%2Cp12%2Cfs%2Cw14&c=. ....... http://www.JoeFRocks.com/
HUI NEM XAU Fed
posted by Joe Ferrazzano at
2:10 PM
