Saturday, September 29, 2012

Little Patterns Hold Key

– Posted in: Tutorials

A 14969 DJIA projection in Rick’s Picks seems so preposterous that we took time to verify it on charts both big and small. The lesser charts will work best at this point, since we need a finely nuanced indicator to warn of even a hint of weakness. We also pondered December Gold’s recent failure on the weekly chart to surpass two important peaks made late last year and in early 2012. This could mean imply that on a breakout above $1800, gold futures will not be sufficiently energized to continue to $2000 without taking a few breathers. As always, the key to getting the forecast right lies in correctly interpreting the lesser charts.