By fits and starts, the futures appear to be making their way to the 1286.50 target shown. With gold moving inversely in lock-step with stock prices, it is probably mildly bearish that bullion couldn’t make more headway yesterday with the Dow down more than 300 points. However, going strictly by-the-numbers, a run-up to the target is still no worse than an odds-on bet, since the top of yesterday’s fleeting spike decisively exceeded the 1262.00 midpoint pivot. It also refreshed the bullish energy of the hourly chart, since the move exceeded the small ‘external’ peak at 1264.10 that I’ve labeled. For night owls, finding a low-risk entry spot will be tricky at best, but I’d suggest waiting for a signal on the hourly chart before zooming down to the lesser charts. The relevant pattern in this case uses Monday’s high (see inset) as point B.
