We briefly grabbed the weasel by the tail last week for a profitable ride, but it became harder to tell as the days wore on who was winning, bulls or bears. The small breach of an 1864.50 midpoint support on Wednesday was not sufficient to suggest the downtrend would continue to D=1838.00, nor even to warrant a presumption of further weakness. Instead, we were left with a faintly encouraging chart that will become still moreso on a two-day close above 1891.00. That is the Hidden Pivot midpoint resistance of a pattern projecting to as high s 1922.80 over the near term. You can find it on the 30-minute chart, where A=1848.20 on 12/16. This pattern has the potential to signal a buying opportunity, so stay tuned. _______ UPDATE (Dec 30, 7:16 p.m. EST): A second-day close above 1891.00 on the final trading day of the year would put a little heat on the bad guys, especially if the new year begins with elevated perceptions of the evolving fraudulent-election crisis. We’ll have to wait and see, but my short-term bias in bullion remains moderately bullish.
GCG21 – February Gold (Last:1899.50)