Swift Turn-Around in Gold. It Shall Melt

We see a clear counter-trend move down in a five-wave sequence. I strongly expect this move to be followed by a second wave going past the low in the same direction. However, this said move has been retraced by a three-wave zigzag moving up in the direction of the main trend.

We have to expect that this move going so close to the previous high has induced a lot of investors into jumping in on the move in expectation on the all-time high break. This is exactly the wrong psychology at the wrong moment, most will be caught by surprise once the price breaks aggressively down. Once we see it trade back below the upper end of the trend channel we can expect the start of the slide.

The all-time high should stand, we might come closer to it but everything as it is, we should see the move down start without threatening the high.