Here is the real time snapshot:and most likely model. There are other possibilities as I will discuss for the zoom in below.
Sorry for the chicken scratching but here is what it means: either wave 3 of 5 is just finishing per the model above and then it will fall further into early Aug as shown OR it has bottomed already OR the recent bottom was 3 of 3 of 5 and so we have 5 cents more to fall to $1.25 before the final bottom is in. We are near the end of a multiyear trend here and the odds associated with this are something like a flickering candle. As the candle burns in real time it can sputter in unexpected ways but generally within a set of guidelines. Same here for the herd. It was a low risk call for an Elliotician to call DRD down in the above picture. Wave 1 broke into the channel, kissed the lower rail. Wave 2 kissed the upper rail from below. Wave 3 and even 3 of 3 broke down the lower rail. But accurately calling this going forward is getting more and more difficult. Perhaps it will give us a hint that one more wave is coming but for now, I'd buy this and set stops just 1 cent below the recent low.
By the way, for those who like stories and fairy tales, here are the so called fundamentals. I don't mean to say anyone is lying about have price to sales at a ridiculously low .32 or price to book of .43. These are true numbers. It's just that if they were so meaningful then they would never have gotten this distorted in the first place now, would they have?
Having said that, these are in extreme hate territory. Just a small increase in the price of gold will affect these numbers dramatically and catch the eye of those leaving the over bloated sectors of the market. This is a Great, Great depression in metals and miners folks and you are watching the bottoming process of this historic crash in process.
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