waiting for wave 3

I am not an Elliott Wave guy. I don't trade waves. BUT this time it is different. I check Daneric's wave count everyday. I read EWI's email everyday. Why? Because I strongly feel something wrong.

Here is a chart I find on ZH this morning. It perfectly illustrates what's in my mind.

In the 2 tinted boxes, I see the similarity. Market does not have memory but historically price patterns tend to repeat themselves. In coincidence (or not), the price behavior can be labeled as Wave 1 and 2 that meets Elliott Wave Principle perfectly. Wave 3 usually is the longest and most powerful one in the 5+3 structure of EW. If it played out, or the history in 2007 repeated, we would see blood in the street.

Not sure if it will play out. Not sure if it will happen. But I don't feel comfortable buying equity at this moment. As I mentioned, I am currently holding 20% Gld (Gold), 20% UUP (US Dollar) and 60% Bond products.


ADD:
Here is a research report from Goldman Sachs. I will read it in detail and revisit my gold investment later.
2012 - a Gold Oddysey