GAU/USD – Elliott Patterns 1-5 Completed + Price Gap/Fibonacci Indicators

Gold appears to have completed a strong Elliott pattern 1-5 advance, with prices currently holding near the top following wave (5). After this strong rise, the likelihood of a correction phase (ABC) increases.

Rebound indicators:

Wave (5) is exhausted after the completion of patterns 1-5.

The Relative Strength Index (RSI) has peaked.

Price gaps/imbalances are below this level, which attracts price reversion to the mean.

Fibonacci retracement areas correspond to previous demand levels (key areas to watch for any reaction).

As long as price fails to recover/stabilize above recent highs, a retracement to the Fibonacci area/price gap is likely before the next major move.

Good risk leads to good reward.

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