Gold went all nitwitty at week’s end on tariff news that threatened to disrupt the placid and predictable ho-hummery of the last four months. On the daily chart, the move looks like just another peak to add to a series of three highs that have contained rallies since May. However, a closer inspection reveals that the new peak slightly exceeded the others. This means that gold has broken out, and although we shouldn’t be surprised if it slips back into its accustomed wallow, we should treat a pullback as a corrective set-up for another leg up. Let’s be ready to bottom-fish at 3410.70 just in case, since that is a midpoint Hidden Pivot support (a=3478.50 on 7/23) where a turn-up would be most likely to occur. A reverse-pattern trigger is preferable for entry, but you shouldn’t need a stop-loss wider than 1.50 points. ________ UPDATE (11:13 p.m. EDT): A 1.50-point stop-loss would have gotten tagged shortly after sellers hit the red line, but a reverse-pattern trigger generated an entry signal at 3407.40 and a profitable exit on half at 3412.20 (60m, a=3418.00 on 8/8/). You’re on your own if you’re still in the trade, but don’t be greedy, since the decisive breach of p was bearish. ______ UPDATE (Aug 12, 10:26 a.m.): Gold is being made to look like garbage by sovereign buyers and bullion bankers who want it most. Most immediately, expect this manufactured plunge to hit 3317.70, a well-masked Hidden Pivot that can be bottom-fished with a tight reverse trigger.
GCV25 – October Gold (Last:)
