Gold's bottom on summer 2016

Gold remains in a well establish bear market since early 2013. Looking at the big picture we believe that currently Gold is running the C leg of an ABC correction that started back in 2012.Specifically gold will probably soon complete the 3rd wave of C and then bounce temporarily before a final leg (5th wave of C) and a bottom at green zone at around 930$ during the 2Q or 3Q of 2016

 We believe that gold will bottom out on summer 2016 along with other major commodities and then a strong upleg will ensue.Hopefully this upleg will not coincide with WW3...

Energy stocks (XLE) about to bounce and head south

Energy stocks (XLE) recently showed some strength.Since its lows around 59-60$ (as we correctly predicted on early August Oil at crossroads )  on late August and and late September XLE is moving north. Currently XLE is approaching multiple resistance lines.

If we zoom out a bit and focus on the big picture we believe that XLE will move again towards its lows or even lower, finally reaching a bottom around 55$ on summer 2016.