Gold saw a top in wave 3 in early August 2020 and has since corrected lower to a low of 1,677 in wave 4. However, the decline now looks complete and we are now looking for a break above minor resistance at 1,765 as a good indication that wave 5 higher has taken over.
Longer term a clear break above the peak of wave 3 at 2,075 should be expected with a minimum target seen at 2,704 and likely even a lot higher, but for now we should keep our focus of minor resistance at 1,765 and a break above here will indicate wave 4 is complete and wave higher has taken over.
Trading recommendation:
Buy a break above 1,765 and place you stop at 1,675
