Long Long Term Gold Chart - Friday, August 12, 2011
Monthly spot gold.
Going back to a pattern that held true from a base formed in 2006 and a Fibonacci target hit in the March of 2008. The top that month was 30 cents shy of the theoretical 2.618 extension. Then a big sell off ending in October of 2008. Then the parabolic will it ever end move we have all come to enjoy.
The 6.854 Fibonacci extension (and what could be more expressive of a parabola than phi raised to the fourth power) would target a price around 1825, very close to the highs made this week.