Gold Forecast

No predictions this week. I don't see a top. What can I say. Looks like everyone sold on Friday. I couldn't believe even Kern traded out. That surprised me to no end.

This is what gold is doing as shown by the GLD (ETF that tracks gold). Each time we get a break up of what appears to be the top of a channel, it is doing something very bullish. Have a look at silver. The same thing is happening. So how far is too high here? I have no bloody idea.

Remember one thing. This is 3rd wave stuff in precious metals, a sector which is probably one of the most, if not THE most volatile trading market around.

cheers,

john



Here are some P&F charts in other currencies. It looks like gold and silver are going up a lot relative to just about everything.

Euro Gold - Euro 1 x 3 Point and Figure chart



$US Gold - $US 1 x 3 Point and Figure chart



Yen Gold - Yen 100 x 3 Point and Figure chart



$A Gold - $Australian 2 x 3 Point and Figure chart



$US Gold 5 x 3 Point and Figure chart - since 1981



$US Gold semi-log bar chart - monthly - since 1974



$US Gold semi-log Bar chart - weekly - since 1998



Some nice charts here.

PM charts

Yep, I was shocked to see he sold. I thought I was being smart. Looks like we are going to have to be ready to be patient or just jump in and watch them correct after we pay higher prices.

Hi S! I didn't do anything but sit on my hands Friday. I have no idea whether that will be right or wrong. But as far as an EW count for gold, I speculated some days ago that we were in wave 3-3 from $455 which now appears likely. We should enter wave 3-4 in the coming days next. No idea when, but maybe then the miners will give us more clues. The interesting thing will be where the POG finds ST support. cheers, john

Good and smart to sit still. That is always the hardest thing to do. I have 40 % of my positions still open and 2 of the names I like really caved in on Friday after I sold them so I am going to rebuy them this morning probably where I sold them. The heavy hitters are all at their highs. RGLD, NEW, GG. It is only the small speculative companies that seem reasonable buys to me. MNG,PMU,NXG.

Hi S! We are going to do a 4th wave now (probably 3-4 of this set) today & tomorrow in gold? Fed meets tomorrow right? cheers, john

That is what i thought. Not sure about the FED though.

What is that gap between the green and blue channel lines. Could that be filled?

S! There are gaps all over the place in GLD since the mid-Nov. bottom. cheers, john

the good news for me is everything i sold friday can still be bought cheaper today. and the stock that i held -- drooy -- is up 10% on big volume . i'm not sure what to do now tho........... ed rader

I am in the same boat. Lots and lots of dry powder. Do not want to shoot my foot off here. Dipped in and bought some PMU cheaper than i sold Fri. Have not rebought the others yet. This looks a little exhaustive. The price of GLD 51.00 gap. I am watching that.