GCZ25 – December Gold (Last:4372.00)

After a cage fight with a ‘hidden’ resistance I’d flagged at 4178.00, the futures appear to be back on track for a rendezvous with 4128.10, an important target that has kept us confidently bullish for the last 300 hundred points of the rally. The 5020.20 target of an even larger pattern will be in play if 4178.10 is decisively exceeded, especially on first contact.  The chart shows a minor ‘reverse’ pattern with an outstanding target at 4076.50. Although this falls somewhat shy of 4128.00, it shows that buyers are on a smooth glide path that featured a stress-free ‘mechanical’ buy on Friday at the green line (x=3987.30. If you’ve wondered how to get aboard with gold taking only quick, shallow breathers, this chart shows the way. _______ UPDATE (Oct 13, 10:38 p.m.):  Bulls vaporized a 4128.00 target that had looked rock-solid last week, and now they appear to have a lock on a minimum 4196.10. Expect the target to be reached over the next 1-3 days. Beware of resistance at exactly 4168.20, the midpoint Hidden Pivot of A=3663.70, but once the December contract is above it, you can raise your expectations to at least 4273.30, or to 4378.40 if any higher. You can also use a pullback to 4063.00 to get long ‘mechanically’, stop 3957.00.  The bullish pattern from which these numbers were derived starts with A=3660.50 on the daily chart on 9/18. _______ UPDATE (Oct 17, 1:19 a.m. EDT):  The current upthrust overshot the 4378.40 target flagged above by just 0.3%, so it’s hardly crazy to infer that a top of at least middling importance might be in or very close. You can use a 94.50 trigger interval to get short to test this theory on paper, but trade it only if you were long for at least a $10,000-per-contract piece of the ride up.  The 5020.20 target remains in play, but only for subscribers who know 1) how to craft a ‘camo’ entry trigger that risks no more than $1200 on entry; and 2) how to calculate a dynamic trailing stop once you’re aboard.