Gold’s rally flattened dismally last week, but it was never going to get very far to begin with. A glance at the chart shows the relentless weight of the downtrend, punctuated the entire way by pyrite rallies. This one would become an enticing short via an rABC set-up if it gets to around 1885.00. That’s right in the ‘discomfort’ groove, although we shouldn’t get our hopes too high that it will be reached. If the futures instead roll down this week after failing to surpass last weeks high at 1797.60, look to go long against the trend near 1718.60 with as tight a stop-loss as you can abide. _______ UPDATE (Aug 23, 11:02 p.m.): The new ‘C’ high at (so far) 1809.10 has raised our bottom-fishing bid to 1730.10. It will likely change, so here’s a chart to allow you to adjust it on-the-fly. If the futures rally above July’s peaks, you can cancel the bid at the red line.
GCZ21 – December Gold (Last:1805.60)
