Gold’s consolidation since July has been an ordeal for investors, but the good news is that bears will be ready to keel over dead when the time comes. They’ve struggled hard to push bullion lower, and even though their efforts have been helped occasionally by air pockets such as the 100-pointer we endured one day a couple of weeks ago, they know that we know these fright-mask tactics will not win in the end. For the time being, however, let’s stay focused on the 1809.60 target that has kept us from getting sucked in by head-fakes and distributive rallies. This Hidden Pivot is not of the highest quality because the impulse leg is illegitimate, but the futures can still be bottom-fished with a tightly constructed ‘rABC’ pattern on the lesser charts. Alternatively, it would take a print at 1983.90 to sound ‘taps’ for bears. _______ UPDATE (Nov 24, 6:03 p.m. ET): The way this brick has been plummeting, one might think traders are dumping gold to raise cash for bitcoin. The futures have crashed the 1809.60 target with ease, implying that whatever rally is coming, unless it exceeds 1898.00, will be a short sale.
GCZ20 – December Gold (Last:1806.40)