Posts
Stocks- Stocks declined last week into Thursday/Friday as forecast in last Sunday's post. Stocks have rallied off the low with the Dow up over 96 points on Friday. The market still appears on track for wave 5 of the ending diagonal pattern continuing into next Friday or the beginning of the following week. That period marks the top of the current minor time cycle and has confluence with the mid September major time cycle previously mentioned. Fibonacci resistance for a wave 5 top is at 1049 and 1063 on the S&P500.
Chart: SPY etf, 3 month chart (click to enlarge)
Gold- has been moving higher since wave E completed on 8/17(per the 8/18 blog entry) and had a strong rally last week. This upmove may last into the next minor time cycle that peaks next Tuesday/Wednesday, possibly around $1000/oz(100 on GLD). That would then be followed by a short term consolidation or correction before resuming the upmove.
