Gold has not broken out yet because of the Federal Reserve's delayed but aggressive rate hikes, the large increase in real interest rates, and, most recently, the economy avoiding recession. However...
We are now working on the assumption that all our diagonal triangle formation is complete at the 1819.00 low, which completes waves $v$ and our second wave ^b^. We should now be starting to rally higher..
Most investors missed most of the gold and silver stock rally, they kept trying to pick the top and selling too early or too afraid to hit the buy trigger. The vast majority of traders do this, most want to buy after the rally has matured.
In our annual forecast printed in January, we tried to warn everyone that although the COMEX precious metals were set up for a very strong 2023, the first half of the year would include several false starts and fakeouts.
My fear is we see more issues with service sector employment as we enter the Spring time. This is a big problem for the Fed and inflation pressures. Gold nearing big support.
This brings me to the point of the title of the article. Should we break down below 3980SPX, that opens the door to a return to the 3700/3800SPX region.
