Getting A Bit Deeper

As we progress in time in the metals complex, the structures are beginning to resemble more of a 2^nd wave pullback.  And, I am starting to get a bit more comfortable with the green count.  While we clearly still have a bit more to prove before I am willing to take an aggressive long position, the structure is filling in a bit better.

As you can see, both GLD and GDX are now retracing towards their ideal targets for a 2^nd wave, between the .382-.618 retracements of the prior rally.  That is a nice retracement for a 2^nd wave, with the metals more traditionally seeing the upper end as the target for their 2^nd waves.

So, at this point in time, we still need to see an impulsive 5-wave structure taking us to our next market pivot zone on all the charts.   Thereafter, we will need to see a corrective pullback, followed by a rally through the high of the next rally, and then we will likely have a 3^rd wave in progress in the metals.  

While the market is coming closer to our ideal targets for a 2^nd wave, we still need a bit more patience before we begin to get more aggressive in the complex.  For now, I am still just riding my standard long positions.