WaveTrack International

Elliott Wave Financial Price Forecasting

Platinum-Silver – Positive Correlation – Correction approaching Completion

by WaveTrack International| May 2, 2017 | No Comments

Platinum-Silver Positive Correlation

February’s Correction Approaching Completion

Silver has given back all of the March/April gains! This is somewhat surprising because this advance from $16.83 to $18.66 appears to have unfolded into a five wave expanding-impulse pattern. It neither confers the subsequent decline (as a correction to this preceding upswing now that it has traded below $16.83 to $16.80) – nor can this same five wave impulse be subsumed into the preceding upswing from last December’s low. At least not without bending a few Elliott Wave guidelines!

Yet, had the $16.83-$18.66 advance unfolded into a three wave pattern instead of a five, all would be revealed! The overall corrective pattern from the earlier February high of $18.55 would simply be labelled as an expanding flat (with downside targets towards min. $16.60+/-, $16.46+/- or max. $16.23). This has been derived by extending the initial decline into the March low of $16.83 by either of three fib-price-ratios, 14.58%, 23.6% or 38.2%. But is that the answer?

Platinum-Silver Positive Correlation

A comparative look at Platinum is useful because it holds a high-positive-correlation with silver – see fig #1.

Platinum vs. Silver Bullion - Correlation - Daily

Platinum vs. Silver Bullion – Correlation – Daily

Silver’s corrective decline does not conform to the required 3-3-5 subdivision of an expanding flat from February’s high (more akin to 3-5-5). Yet, platinum seems to offer an explanation! Because it is justifiably unfolding into a more simplified but corresponding zig zag pattern, i.e. 5-3-5 from February’s high. As a result basis fib-price-ratios, its zig zag has further downside potential before completion – see fig #2.

Platinum Bullion - Forecast! - 360 mins.

Platinum Bullion – Forecast! – 360 mins.

If in doubt – Think Pattern

However, this seems to indicate that silver has indeed unfolded into an equivalent expanding flat! Irrespective of subdivision irregularities, the expanding flat is geometrically accurate in its basic form. See fig #3.

Flat - Expanding - Corrective Pattern (c) WaveSearch

Flat – Expanding – Corrective Pattern (c) WaveSearch

How to apply Fibonacci-Price-Ratios?

Watch WaveTrack’s Fib-Price-Ratio videos on youtube to see how these measurements can be applied. These videos are gems of know-how for those who have eyes to see! WaveTrack’s first Elliott Wave Academy video

Keep tuned for more updates!

Ensure you’re tracking our forecasts – subscribe online for the EW-COMPASS REPORT.

Visit us @ www.wavetrack.com


About WTI

WaveTrack International is a financial price forecasting company dedicated to the Elliott Wave principle and work of the R.N. Elliott. Clients include Investment Banks, Pension Funds, Total/Absolute-Return/Hedge Funds, Sovereign Wealth Funds, Corporate and Market-Making/Trading institutions and informed individuals -- & just about anyone who is affected by directional price change.

Subscribe to our feed

WTI Links