It’s speculatively bullish that last week’s low failed by $4 to reach a clear downside target at 1608.80, but the rally would need to hit 1720.10 (!) before we could bank on the intermediate term (i.e., 3-5 weeks). In the meantime, June Gold has taken a promising leap Sunday night in response to Friday’s dour employment news. The rally has already triggered the 1642.40 entry signal for a leg to as high as 1659.20 over the very near-term. However, it won’t be until the 1648.00 midpoint resistance has been surpassed that the target will become an odds-on bet. Note that there is a small window to get long via camouflage on the hourly chart, predicated on a B-C pullback following an apparent double top at 1649.50. From our perspective, it wouldn’t be a double top at all, but rather a legitimate, bullish impulse leg.
