We’ve learned to look for rallies in gold whenever we start to feel a small twinge of despair. Lo, the April contract delivered right on schedule after I sounded this mildly despairing note in a tout sent out to you Monday evening: “Gold’s rallies have been so pathetic lately that the contrarian in me says it may be about to pop.” Gold did indeed pop, overshooting the 1331.90 target I’d flagged by a technically significant $1.50. Then the futures went on to exceed an ‘external’ peak I’d mentioned at 1334.80, refreshing the bullish energy of the hourly chart. The implication is that the futures are now on their way to at least 1349.30, the only significant resistance on the near horizon.If they can hurdle it, too, we’ll raise our sights to the 1370.50 peak recorded on January 25. _______ UPDATE (Feb 14, 10:36 a.m.): Gold has had a spectacular rally this morning — a $30 surge following a nasty shakedown on bearish CPI news. The high so far is 1350.40, putting the 1370.50 benchmark noted above within shooting distance.
