The very bearish target at 926.00 given here earlier is still valid and will remain so unless 1078.00 is exceeded to the upside, but yesterday's wild hysterics make it seem somewhat less compelling. Unless you're capable of following the turns today on a minute-by-minute basis, I'd suggest backing away. Please note that it would take nothing less than a rally to 1096.00(!) to turn the hourly chart unambiguously bullish.
Thursday, October 9, 2008
December Gold (909.10)
– Posted in: Current Touts Free Rick's PicksNo change. The uptrend has renewed itself once again by pushing past no fewer than two prior peaks on the hourly chart. The futures will have their work cut out for them today because getting past the requisite pair of highs, at least one of them external, will require a push above resistance peaks that have contained Gold since late July. Specifically, a look-to-the-left high at 934.50 (see chart) will be the number to beat for today.
C Citigroup (14.64)
– Posted in: Current Touts Free Rick's PicksWe are offering four Nov 15-20 put spreads for 4.00 that we purchased for 0.35 by legging into them. The position could have been exited yesterday for as much as 3.50, but Citi will probably need to fall below 14.80 to get us filled within the next week or so. We are also naked-short a November 12.50 put @ 1.20 for good measure. It effectively reduces our premium exposure to zero.
