The Monthly Bearish Reversal lies at 1152 and the drop previously was to 1151.40. A monthly closing beneath this 1152 area will open the door to a further decline. The technical support lines up also with the 1980 high area of $875. The first quarter here in 2014 looks choppy, but thereafter, get ready for the increase in volatility.
Even the oscillators show this ain’t over yet until the fat lady sings – as they say. Yet they never get tired of painting every sharp break as just another manipulation. I really do not understand if that is support to suggest that they are not wrong even though the price keeps pressing lower? To these diehards, it seems that gold has become a hedge against making money. Gold will have its day in the sun, but it is just not yet ready for prime time. It is still an off-Broadway show.
This peice was sent to us Armstrong Economics
In September 2011 the Gold Bugs index, the HUI stood at 630 as gold prices peaked, since then both have trended lower with the HUI losing about 65% of its value. The bottom has been called a number of times and after such a dramatic decline its difficult not to think that we are there now. However, as we all know the timing of any investment is crucial to its success and that is exactly what we are trying to do here, trying to pick advantageous entry and exit points. If you would like to know which stocks we are buying and selling please join us at ‘Stock Trader’ our premium investment service.
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