Gold collapsed signification in the past week, after breaking 1700 mark. We can see a very sharp price action, similar ot wave we saw in wave (A9 from 1920 peak. We know that those sharp and long moves in relatively short period of time are impulsive waves. As such, we believe that impulsive wave (C) is underway, which should reach 1400 region; equality of wave (A) measured from wave (B) 1800 top.

Trend from the past week clearly remains down, and should continue while 1760 holds.

S&P500 reversed higher few weeks back and it seems that prices will test higher resistance in the coming days, after only 3-waves of a retrace into 1160 region. As such, we suspect that this was only wave B) pull-back, second leg of a zig-zag in wave (2). Under this scenario wave C) will test 1300 region!

Forex Analysis by Gregor Horvat at ForexPros. com