Silver A Bit Clearer Than GLD

At this time, the GLD is truly nothing short of a mess.  Although we topped in the region we expected, the downside completed in 3 waves.  While I can clearly come up with a (i) (ii), (1) (2) count, as you see on the 8 minute chart, I do not have a lot of confidence in this chart.  It is for this reason that I sent out a Wave Alert this morning noting that I am trying a short term long trade, with stops near today's lows.   But, I consider it more in the way of being hedged in this region.

As for the silver, until we are able to break down below 19.25, it can very well still see levels over 20 in the bigger yellow count I offered over the weekend.

In conclusion, for now, there really is no clear path the metals will take in the smaller time frames that is evident from the charts.  But, as I have said before, I still dont think the lows have been put in, so I will simply be looking for the appropriate set ups to take us there.

Avi Gilburt is founder of ElliottWaveTrader.net.