Over the Summer of 2019 Silver rallied a solid 37% in a third wave, a rally which the wave count called!
Of course after the rally,
people could only think of reasons why the rally would continue.
And as usual,
this was a perfect time to start looking for a large correction!
Silver had just broken 19.00 for the first time in 3 yrs.
It was time for the rally to take a break in a fourth wave correction,
and the wave count was calling for a decline to about 16.90 in wave [iv].
Heres what I said that night:
Wave [iii] has been a powerful ride off the May lows,
and now the market is totally bought in to a continued ride higher.
The correction in wave [iv] has not yet begun,
but it is coming our way soon, that is for sure!
Wave [iv] does not have to be a deep correction,
but it needs to be long enough to cool off the recent rally in wave [iii].
The focus this week is to watch for wave [iv] to begin.
Wave (a) of [iv] should be well underway by the end of the week.
This chart shows what happened next as wave [iv] took over!