1. Gold Weekly

Following an all-time high in 2011, the subsequent decline has taken on a distinct impulsive appearance.  Supporting this view are the following observations:

1. The presumed third wave is much longer and sharper than the first wave; and
2. Following that decline we’ve seen consolidation which suggests only a fourth wave.

Until a fifth wave down is observed the expectation will be for additional downside one a forth wave complete.  As of now, the Voodoo Fireline just below 1034 seems like a reasonable target.

Looking further out, a completed five-wave decline would setup a countertrend rally which would need to complete before another leg down.