Summer-long tedium should have exhausted our patience by now, but we shouldn’t lose sight of the fact that immediate prospects are bullish based on the 1652.80 target shown in the chart. Dueling impulse legs on the hourly chart have made getting long an ordeal, but that’s where I’d suggest looking if you want to get aboard via camouflage. As of around 6:30 p.m. EDT, the futures were hovering just above a 1618.25 entry signal tripped on Friday, bound for a 1623.20 midpoint resistance. (60m, A=1603.30 on 8/16 at 9 a.m.; B=1623.00 on 8/16 at noon; and C=1613.30 on 8:17 at 11 a.m.). To establish an entry point belatedly, I’d suggesting using abc patterns from the five-minute chart or less. ______ UPDATE (August 21, 3:21 a.m. EDT): It would take only a small rally to break December Gold out of the wedge that has held the stock in check since June. Specifically, a $15 thrust from current levels would push the futures past no fewer than four prior, internal peaks on the daily chart. Granted, it would take four times that to surpass the first true ‘external’ peak on the daily chart at 1687.40, clinching the bullish case into autumn. But first things first: Let’s see how buyers handle the wedge before drawing any further inferences. _______ FURTHER UPDATE (August 23, 4:45 a.m.): Long-term bulls should be pleased to see that buyers handled the wedge splendidly. It would now appear that the 1687.40 resistance is a dead duck.
