GCJ14 – April Gold (Last:1341.20)

The rally pattern shown should warm bulls’ cockles, the moreso because of the touch-and-go landing Monday morning on the midpoint pivot. The ensuing rally has turned resistance to support, affirming the likelihood of a further run-up to D=1353.30 in the process.  The 10-minute chart on which I have displayed this does not show the immediate opportunity very clearly, but if you squint you’ll see that camouflage set-ups abound. Night owls looking to get long with as little as 3-4 ticks of theoretical risk should take a look at this one, taking shape as of 8:16 p.m. EST: A= 1335.50 (8:10 p.m.); tentative B=1338.40 (8:20 p.m.). _______ UPDATE (10:24 p.m. EST): The futures obviously weren’t ready earlier this evening to make their move.  At the moment, the 3-minute chart suggests the selling could come down to 1331.00 before buyers find traction. _______ UPDATE (10:32 a.m.): The 1331.20 target missed the overnight low by just two ticks. Those who were able to climb aboard have enjoyed a $10 rally since. The 1353.30 target still obtains. _______ UPDATE (February 26, 12:25 a.m.): Bulls showed some pluck yesterday in the early going, but they appeared to have lost their mojo Tuesday night. Don’t be surprised if the futures meander overnight, or perhaps for a bit longer, before fresh inspiration strikes. Notice how Tuesday night’s so-far high has merely tied the external peak recorded earlier in the day. The rally leg is impulsive nonetheless, raising the possibility of a camouflage entry signal similar to the one shown (see inset).