To alleviate the brutal tedium of gold’s dance just beneath my old target, I’ve created a new, slightly lower target at 1986.40 that has already been achieved. This will not affect the pattern’s promise to reward ‘mechanical’ buyers with relatively low-risk profits, since the tradeable implications of its powerful impulse leg cannot be easily subverted. It will also give us a good chance to catch a potentially tradeable top at D=2079.50 with a high degree of precision. This may take great patience, but the wait will be made more bearable by the knowledge that a nasty swoon would likely spell opportunity. _______ UPDATE (Apr 18, 9:24 a.m.): With just a day’s rest, buyers have blown through p=1986.40, all but guaranteeing more upside over the near term to at least p2=2032.90. _______ UPDATE (Apr 20, 12:56 p.m.): Yes, the pullback to x=1939.80 makes for an appealing ‘mechanical’ buy’. However, the implied risk of $18,000 risk on four contracts with a stop-loss at 1893.10 warrants doing the trade only if you are familiar with ‘camouflage’ triggers that could pare the theoretical risk down to around $1600. _______ UPDATE (Apr 20, 11:48 p.m.): The futures have rallied $20 off a 1941.00 low that missed the green line by a front-run 1.20. If you did the trade, take 25% off at a current 1953.30 and set a 1942.30 stop-loss for what remains. Our price objective for two of the three contracts still held is p=1986.40.
GCM22 – June Gold (Last:1953.30)
