Saturday, August 27, 2011

Gold Time To Short

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Looks like a perfect short on gold.
These bernoulli channels bring gold movements into perspective.

8 comments:

  1. Hey, Steve!

    Sure glad I do not trade the stuff. Normal retracement in an up trend until proven otherwise.

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  2. i calculated gold S1 was 1692-1701 a few days ago , if it goes back down from here, i don't know where the new s1 is ...

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  3. here's a KGC chart. i thought KGC would get to 19. it might still get there.
    http://zstock7.com/wp-content/uploads/2011/08/kgc-8-22mm.jpg

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  4. Agreed, don't trade physical.    It is now at the 61 retrace, and market seems to love to pop the 78 Fibo retrace, which on a linear chart pegs at the 50% channel line, which is a big one.   I think so many JoeSixpack on the gold thing that market will want to pummel them some more.   

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  5. qqq raising S1 to 51.8. i think we are in a bottom fishing rally. they tend to last a couple of weeks.
     http://zstock7.com/wp-content/uploads/2011/08/QQQ-8-26AA.jpg

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  6. That would sure mess with the bears heads and accounts.

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  7. SD if this gold move mimics silver shouldn't we expect a slightly higher high before the trip to the abyss gets underway? I'm still reading a lot of extreme and almost defiant bullishness in gold with all sorts of contrived and positive justifications for the, ahem, little hiccup in price.  A top over the Labor Day weekend (and a bottom in the Dollar) would rhyme nicely with the oil-Dollar relationship three years ago (just a different long weekend and a different much less useful commodity).

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  8. Silver did a double top, solidly popping the 78 Fibo.   It didn't hit a higher high though.
    You got a good observation, just not sure that gold and silver are the same type animal or that history will rhyme this time.

    Totally agree with 3 day weekend....plus I can guarantee you massive market moves whenever I take a vacation, 100% accuracy on that.   LOL, indeed been expecting serious shenanigans over labor day.

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Insightful and Useful Comment!