XAU:
FEARFUL SYMMETRY
by Steven M.
Swink
SMSC's Charts on StockCharts.com
February 13,
2005
This is a follow-up to my previous article:
XAU:
The Big Picture
http://www.gold-eagle.com/editorials_05/swink012405.html
Long Term Outlook:
Idealized Wave Structure and WAG Prognostication
Wave 3 (current wave) - bottom May 2004 - XAU 77 - 155 = 100% gain
Sept/Oct 2004 - XAU 105-115
Dec/Jan 2005 - XAU 85-93
Sept/Oct 2005 - XAU 150-160
Q1/Q2 2006 - XAU 105
Wave 4 - bottom Q1/Q2 2006 - XAU 105 - 210 (100% gain)
105-155 (Q3/Q4 2006) (lt grn)
155-120 (Q1/Q2 2007) (pnk)
120-210 (Q3/Q4 2007 (grn)
210 - 155 (Q1/Q2 2008) (rd)
Wave 5 - bottom Q3/Q4 2008 - XAU 155 - 310 (100% gain)
155-210 (Q1/Q2 2009) (lt grn)
210-175 (Q3/Q4 2009) (pnk)
175-310 (Q1/Q2 2010 (grn)
Intermediate Term Outlook:
Feb-Apr:
XAU 88 - 115
Apr-May: XAU 115 - 105
May-July: XAU 105 - 135
July-Aug: XAU 135 - 125
Short
Term Outlook:
Accumulate
XAU < 93
Buy XAU < 90
Strong Buy XAU < 87
XAU < 83 will have to reevaluate the entire scenario
As mentioned in the previous article, this is the big wave up where high-beta stocks will outperform – e.g. silvers, HUI stocks, CDE, GSS, BGO, EGO, juniors. Total spec junk will start flying in 1-3 months.
Will it all work out exactly the way I propose? Probably not, but close enough for us all to make a ton of money.
© 2005 Steven Swink
CONTACT
INFORMATION
Steven
Swink
Sunnyvale, CA USA
SMSC’s
Charts on StockCharts.com
The opinions of FSU contributors do not necessarily reflect those of Financial Sense.
