Subscribers are short a single contract with an 1176.00 basis and an 1146.50 price objective. The suggested stop-loss has been adjusted downward over the month I’ve tracked the position and currently sits at 1093.70. It is most unusual that there have been no significant rallies during this time — not even the usual short-squeezes that occur when a trading vehicle gets as oversold as this one has been. Our 1146.50 bid to cover the short is 2.00 points above a major Hidden Pivot support at 1044.50 that you can bottom-fish with a stop-loss as tight as $2. There are ways to reduce the initial risk even more, so stay tuned to the chat room for guidance in real time if and when the futures fall below 1050.00. If there is reason for optimism over the near term, it lies in the failure so far of the downtrend to reach the minor target at 1060.70 that is shown in the chart. This would become more significant — and more bullish — if a rally were to hit our stop at 1093.70 without 1060.70 having been reached. My long-term target for the bear market remains 814.50, basis the December contract. _______ UPDATE (November 27, 10:53 a.m. ET): I AM RECOMMENDING THAT THE SHORT IN GOLD BE COVERED HERE, at around 1056.50, since the December Comex contract has fallen today to within less the $7 of our longstanding target. If we’d been using a ‘dynamic’ trailing stop, we’d have covered around 1053. This is warranted because I view 1044.50 as a high-probability spot for a strong and potentially trend-changing bounce. The theoretical gain on the position would have been $12,000 per contract for subscribers who followed my initial guidance.
