It looks like Wave 4 has stretched out to be a multi-month correction. The breakout from the Jul 30th $300 low looks impulsive and the first small step toward $350+ in the weeks ahead. Once above $318, the breakout will be confirmed, with GLD tracing out five waves to $350+. GLD Alternatively, await the higher breakout level @ $318 and at that time, pay up for Sep calls, or if it takes very much longer, go out to October expiration. If this is bona fide breakout, it should only be a few days before GLD is in the $320's. Wave 5 initial target is $357, making the $320 strike over $25 in the money (8X-10X). Even if GLD only makes it to $330 by Sep 19th expiration, the $320C is close to a triple. Going out to October allows for more time for GLD to approach its Wave 5 target around $350, at which level the Oct $320C would be worth $30.00 (5X-6X). Aggressive traders can start now with the Sep $320 and then move up to October strikes after around Labor Day.
