Buyers took the day off yesterday as gold gave back half of its modest gains for December. The $20 loss left last Friday’s bullish impulse leg intact, but it will take a push today exceeding 1079.50, the ‘p’ midpoint Hidden Pivot of the pattern shown (see inset), to put the futures back on track. If the pivot is exceeded decisively, meaning by at least $3 in this case, that would put the 1094.00 target in play. Once thus surpassed, any one of the levels indicated by, respectively, the green, red or purple line, could be used for a ‘mechanical’ bid, provided you are familiar with the tactic. (If not, stay tuned to the chat room for guidance in real time if the opportunity ripens.) Alternatively, if the point A low at 1059.20 is breached, a test of last week’s 1o45.40 bottom would become an odds-on bet.______UPDATE (December 8, 10:50 p.m. EST): Tuesday’s timid uptrend left the short-term picture unchanged. It fell $1.20 shy of our bullish benchmark, but buyers will have a second chance on Wednesday to get the job done.
