Lake Districts, England
Dow continues to inch upwards supported by money printing, US$40 billion a month until unemployment falls. Not many people like this except the politicians and bankers.
This action by the Federal Reserve has kicked start the wave 5 for Gold. Last Friday closing of $1773/oz is well above its upper resistance line.
Base chart courtesy of goldprice.org
Looking at the 36 year chart below
The current wave is the wave 5 of major wave (III). If there is no failure and if wave 5 take the magnitude of wave 1, the minimum target for wave 5 can be US$2307/oz.
However, in term of percentage gained, wave 1 is +310% and wave 3 is +182%, if wave 5 were to gain a similar 182% as wave 3, wave 5 can have a upper ceiling of US$4300/oz. Sound crazy but possible if US$40 billion is being injected into the market every month until 2015.
Roses at Mt Pleasant Farmhouse, Cotswolds, England
Alsace wine route, France.
Schiltach, Black Forest, Germany.
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