To pass the time productively during Wednesday’s tutorial session, we decided on shorting this dud ‘mechanically’ at 1114.50. As of around 9:00 p.m., the position had yet to rack up any gains, but the 1107.50 objective remains. If the futures should fall to that price, you could open a long position there, stop 1106.75. If they mildly surprise by going higher, the rally would have to hit 1123.90 to be worthy of our attention. You could get long via camouflage by buying a C-type pullback from just above that number. _______ UPDATE (3:29 a.m. EDT): The futures have bottomed precisely at 1107.50 early Friday morning, but you’ll be on your own if you went bottom-fishing there. If the support fails and another Hidden Pivot midpoint at 1106.75 is exceeded by more than 1.00 point, look for more slippage to the next, 1100.75; or to a worst-case D=1095.00. Here’s the relevant pattern on the 30-minute chart, and a rel work of art it is: A=1134.30 (9/29 at 10:00 a.m.): B=1110.80 (9/30 at 9:00 a.m.). ________ UPDATE (Sunday, 8:59 p.m.): Gold’s explosive rally on Friday was characteristically untradable, since it began and ended mostly in the space of a single price bar. The move was impulsive on the hourly charts, making any pullback Sunday night a theoretical ‘buy’.
