Prechter will stay with whatever count backs his deflationary stance until it is impossible. Then he will label it as an advance and start labeling the next decline he sees in his mind. The man was wrong on stocks from 2002 -2007 and wrong on gold from 2003 - today. He is like the stubborn man who won't ask directions. Something like conceit gets in the way of rational judgment.

Check on jsmineset the graphs by CIGA Eric (now while they are stii there). That vertical line you see to $5000 is the fifth wave. We are still in the 3rd of 3. That will top out around 1225-1250 and have a (likely) flat correction then the 5th of three will take us to 1650 in the late spring.

Next comes another flat correction (but it won't seem like a flat due to volatility). As the 1650 number, or whatever the 3rd wave high was is surpassed the public will come in from all over the world and drive the price to $5000. THEH AND ONLY THEN it will be over. And according to Sinclair gold will then adopt a monetary role and will not drop an extreme amount from the ultimate high. Some, yes, but not like the 80's.

Whether we have inflation or deflation (and I'm sure people know where I stand on that) we are/will have a monetary and financial crisis. Gold always does well in that environment as it is the only true safe haven. Paper either falls, fails, or is inflated to valuelessness so hang in there and ignore the traders whose time horizon is so short they will get caught out and miss it.

P.