With a decisive push past the Hidden Pivot midpoint of the pattern shown, the Gold Bugs Index appears to be easily on its way to the 548.18 target of the pattern shown. The extended move has doubtless enticed too many bulls to yield good camouflage, but traders should note nonetheless that because the spike has yet to exceed the 532.87 ‘external’ peak from January 12, there exists the possibility of a B-C pullback on a lesser chart that would set-up a usable point ‘X’ entry. This advantage will be there only if the coordinates develop quickly, so be prepared to act. ______ UPDATE: (January 29): Bulls easily achieved the target — and now surpassed it with a so-far high at 551.36. The move has healthy implications, since it exceeded mid-December’s 549.79 peak, creating a new and bullish impulse leg on the hourly chart in the process. A legitimate B-C pullback has yet to occur, but it would need to be at least 0.618 of the k-A segment shown to recharge HUI for another leg up.
