Shifting to the December contract yields a 1515.60 target equivalent to one at 1504.00 we’d been using for the June. The rally has been labored, implying there can be no guarantees the target will be reached. Regardless, the ‘mechanical’ buy signal from two weeks ago, and then again last Wednesday, was valid, even if only a handful of Rick’s Picks subscribers reported getting aboard. Yet another pullback to the green line would offer a third opportunity to profit, but I won’t recommend the trade because it is taking the futures too long to complete the big pattern’s C-D leg. Prospects for a successful belated entry would improve, however, if the futures were to pull back from the secondary pivot (shown in the chart as a pink line at 1486.00). Stay tuned to the chat room if you care. _______ UPDATE (Aug 5, 8:59 p.m.): Bulls have got the futures up nearly $10 tonight. This usually sets up gold for a smackdown before the regular-session opening. But if something has indeed changed, don’t be surprised if the good guys hold onto tonight’s gains and even add a little. _______ UPDATE (Aug 6, 10:15 p.m.): The smackdown did happen — around 1:00 a.m. — but bulls recouped the loss intraday and are bludgeoning the bad guys Tuesday night with a so-far 18-point gain. The rally targets a minimum 1506.00, or 1511.80 if any higher. Let’s hope the bad guys get bloodied badly enough that they’ll stop disrespecting gold at hours of the day when they imagine it defenseless.
GCZ19 – December Gold (Last:1497.30)