Was Gold's Rally Another One-Day Wonder?

Now that sucked, didn’t it? We ended the week thinking, ah, at long last, a decent rally in Gold! After yesterday’s nasty slide, however, which took back two-thirds of the gain, it’s starting to looks like the rally was just a one-day wonder.  From a technical standpoint, the very major Hidden Pivot support at 1137.50 flagged well ahead of the low is holding; however, it cannot be presumed inviolate. We’ll have to let Mr. Market tell us what is on his evil mind, so it’ll be wait and see for now. I cannot predict the outcome, but if a bear-market pivot that took 15 months to reach is smashed decisively after holding for just a few days, that would be dreadful news for bulls.

More immediately, the futures would trip a minor buy signal at 1158.90. The relevant pattern is shown in the chart, and although I can feel in my bones that an entry at that price will get you at least to the midpoint pivot at 1171.00, I’d strongly suggest nailing down a partial profit there so that you can still be holding a small long position without much risk.  That’s what bottom-fishing in a presumptive bear market entails, and we should come to the task with neither hope nor sentimental longing in our hearts. Take a free trial subscription that will allow you to access not only the touts, bulletins, updates and impromptu trading webinars during market hours, but a 24/7 chat room that draws veteran traders from around the world.