I now count 5 waves up from the recent low and I am modeling this as wave 1 up. Then we had a rapid shakeout back to the 61.8% fib which shook out the weak hands. Now I think a massive 3rd wave up is likely. If I'm right, it will happen with power and gusto and include significant gaps up. The chart below is ultra silver (USLV) and it really shows the a-b-c retracement clearly. C was the strongest wave and contained a big gap, as it was expected to. But since my current wave model indicates silver has bottomed, I think it should find support at the 618% fib and then reverse upward again.
This is a very critical time for the metals. Either they break out now or they bounce down pretty hard and have to reestablish support from much lower levels. I think something is going to happen to justify a big break out. The market seems to already know what it is. Time will tell if I'm right about this. The story will be told in days, not weeks IMO.
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