THE RALLY HAS BEEN TOO SMALL

If you look at a long term chart of gold you will see that most C-waves tend to rally about as far as the previous consolidation. The bigger and longer the consolidation, the bigger the C-wave tends to be.

This consolidation was huge. Roughly the same duration as the last one at a year and a half. That consolidation spawned a rally from $650 to over $1000.

The current rally has just been too small compared to the size of the consolidation for this C-wave to be finished yet.

As I pointed out in my last post we still haven't seen the signs of rampant speculation in the miners and silver that occur at C-wave tops either.

I continue to believe we've only experienced the first phase of this C-wave and the best part of the rally is yet to come.