Metals Still Do Not Have Me Convinced – But, I Am NOT Bearish

Yes, I know the metals have been rallying over the last few days.  And, while we MAY be able to count a leading diagonal off the recent low in gold, GDX is still a rather clear 3-waves up.   Moreover, silver still looks like it counts best as a wider wave [iv] as opposed to what could also be counted as a 1-2, i-ii in a micro structure off the low.  Moreover, there are many issues with that more immediate bullish count in silver for me to really consider it strongly, at least as long as we remain below 23.60/23.70.  

So, I am going to keep this rather simple right now.  Unless I see further upside evidence to the contrary, I am still leaving the door wide open for one more lower low before we really begin the next rally in earnest.

But, I still have to continue to highlight the extreme divergences we are seeing across all time frames right now.   Keep in mind that the more divergences that develop, the more power the market is building for the next move higher.  Oftentimes, the reversal will be quite strong once we do get that final low in place.  That remains my expectation in the near term, with an expectation for the last half of 2023 to be a potentially strong one for metals.