Jan 8: Gold strength, double top or a new high-flyer metal

Discussion in 'Metal Futures' started by gugu, Jan 8, 2006.

  1. gugu

    gugu

    Jan 8: Gold strength, double top or a new high-flyer metal.

    With the rally of the past weeks the Gold deserves a closer look: After hitting 544 on the mini-sized Gold continuous contract early in December we are ready to approach that level again after a close @ 541.20 on CBOT trading, so, the 45 (!) points rally from December bottom at 492 is in good shape or we are ready to reverse setting up a double top?.
    __________
    _ That’s the question at this point at is pretty hard to figure out the answer: If we think that we are talking about the Gold, a well known laggard elephant, pretty slow to make any trending move is hard to think in a product going and going to unknown prices, but, due to recent strength we have to be carefully, at least, due to unexpected trending moves and a daily chart that reminds the most powerful high-flyers of long ago.
    ___
    ________ With this situation I think the best way to find out what will happen is watch out for the key level around 544-5 and take a position in favor of what happen around the resistance level, because a major break could lead us to 552-55 or even levels around 560 if the metal continuous showing such strength
    ___
    ________ Otherwise a market topping out near 544 could give us a rangebound trading in about 20 points (pretty nice to trade in that case) with 524-5 as new support level and 544-45 as main resistance.
    ____
    _______ Thinking in waves we may in a V wave now after a IV wave ending on 492, the point, then, is if we are in the middle of the V wave and ready to set a high around 552-560 or at the end of the wave and ready to top at 541 or 544, so, this kind of analysis didn’t help much either to clarify the situation, the best is to wait until the resistance level holds or fall


    Diego M Rolando,
    Jan-8-2005




    [​IMG]

    [​IMG]
     
  2. mhashe

    mhashe

    Expect a short correction from these levels and Consolidation between 500 and 540 as goldbugs watch equities to see where stocks are headed. Gold traders are some of the smartest traders around, they won't be buying above 540 if equities rally next week.
     
  3. Gold_Ric

    Gold_Ric

    SPOT MARKET IS OPEN
    closes in 2 hrs. 31 mins.
    Jan 09, 2006 11:00 NY Time
    Bid/Ask 541.30 - 542.10
    Low/High 534.90 - 544.20


    I think the Metal hits 1000 per oz..
     
  4. Gold rocking hard. The gold stocks are on fire. I'm looking for some timely plays.
     
  5. Hi,

    I have posted it several times in the past; gold tells you that:
    a.) the $ is worthless
    b.) the Government stories are lies
    c.) the economy is dangerously weak
    d.) the stock market is heavily overvalued and extremely risky
    e.) a collapse in people's confidence is imminent

    Conclusion: expect a stock market crash this year!