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Monday, January 16, 2012

Gold - Starting to Shine

Gold has been steadily rising up from the low.  Some chop at this level is to be expected in January.  Overall a rise into early February is probable with a correction to follow.  That sets up for a very large leg up in Gold.

The Gold target remains at $2,050. 

Daily Chart

19 comments:

  1. http://www.numbersleuth.org/worlds-gold/

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    1. Thanks, SC. Would be correct to assume that your analysis is based on an ABC correction ending on Dec 29,2011, and we are now returning to trend up; your projection to ~168 in Feb is EW1, followed by retracement ending in March, to be followed by EW3 to ~ 200 in April?

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    2. That would be the way to describe it in EW terms. I'm confident that the Dec low holds.

      In April there may be another wave in there that I have not shown so that would make it EW5.

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  2. Really interesting SC, thanks.

    I was wrong last week by saying that the previous week should be bearish. Anyway, it was a risky bet.

    According to you, gold should go up this week, before to do some retracements, and then go up sharply. Tell me if I misinterpret your scenario...

    According to my model, gold should experience some retracement first, then go up really sharply.

    Let's see what happens and thanks again for your take on precious metals !

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  3. Generally, Gold should be in a sideways consolidation zone here for much of the rest of January. It may dip a little first, but I do expect a slight higher high soon. There is decent upside early Feb imo.

    Gold and particularly Silver do not "like" to trade in nice neat lines like this. So it is a simplification, but provides levels of support and resistance, and an idea of timing and price patterns. It's a plan, and we can fine tune in real time as things progress.

    I'm working on a similar chart for Silver.

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  4. Out of S&P longs 1302. My target is a little higher but a cautious approach makes sense to me here. Today is a turn date in the timing cycle as shown last week.

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  5. Hi SC

    That is awesome, you putting in your current position. Great direction for the starts of 2012.

    Thanks!

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  6. Oil is pointing down and may drag the rest of the metal complex down perhaps to lower lows. My targets sub 1500 gold and 75$/barrel or lower oil in the next 4-6 weeks. Lets see.

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  7. SC

    So silver is sell here? my daily chart is pointing to close to 31..

    Thank you

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  8. Much like Gold, Silver should be heading higher into early Feb. In Jan we can see a lot of chop and dips though. There may still be some upside this week from where it is right now.

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  9. Well IMO this market has got to be the best shorting opportunity in months.

    Oh congrats on the short term call SC. You got bigger you know what than me.I wouldn't have been long for love or money over the WE.

    But what would I know huh?

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  10. This week is my mid January cycle peak and I'm not expecting much of a pullback.
    I mentioned in December that January would surprise many. The mid March cycle is what I'm most interested in.

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  11. ZIGZag whats your downside target?

    SC whats your downside target?

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    1. Hi Sami.. I'm not sure price wise, but I doubt we break the Dec lows this year. Pattern has us going up all the way to October. If we do pullback, the next area I have is likely towards the end of this month. I'm patiently waiting to add more on my longs.

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  12. The timing cycle was due today, but I still don't think that we have seen the top quite yet. I want to see this play out some more.

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  13. the last bit of Jupiter energy passing through the Taurus sector that can hold up this market is up to around 29 Feb - 7 Mar 12. After which, nothing positive is in sight from the astro perspective to be able to hold back the repeat of the Aug 9-11's Uranus square Pluto energy due 24 Jun 12.

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  14. SPX weekly chart showing possible mid January peak.

    http://tinyurl.com/844yc4j

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