Quick Update - Market Analysis for Nov 4th, 2021

The bounce I was expecting in the metals complex may turn out to be a bit more than a bounce.  I have been tracking the potential that this rally off the low in GDX is developing as a 5 wave structure.  If we can continue to a higher move into the box above without breaking back below the pivot, then I have a reasonable 5 wave rally.  That means we may have a (i)(ii)ii-ii structure developing.  So, if the market completes 5 up, provides us with a corrective wave ii back, and then takes out the high of wave i, I will likely go aggressively long in the complex, and will provide stop parameters.  

However, if we fail, and turn back down below the pivot before that occurs, that is a bearish indication.  Time for bulls to step up if they are going to take us up sooner rather than later.

Avi Gilburt is founder of ElliottWaveTrader.net.