The gold price continues to move gradually higher toward short-term targets ranging up to 1733.60. The best-looking patterns give us “D” targets at 1720.90 and 1728.30, and a larger and less obvious pattern gives us a midpoint pivot at 1733.60 which we should not overlook. More than a third of the recent $129 decline has been retraced by the gradual uptrend since Tuesday’s 1663.40 low, and an imminent high could become the “C” point to go with the recent impulse down. The 1733.60 midpoint is based on A=1652.20 on January 25. This pattern’s large 92% pullback might be an omen of price weakness to come, perhaps at the midpoint pivot. Traders should not have orders entered at 8:30am when the Non-Farm Payrolls report comes out but should be ready to respond to the news. (Posted by Doug “harry” McLagan)
