Gold up another $10 on the day
This week started with a rout in gold on a major liquidation in Asia. It sent gold down to $1680 but since then it has steadily climbed back and is now higher on the week at $1763.
There’s still plenty of work to do but it’s above the July low, which turned into resistance. There’s also the potential triple bottom at $1680.
Another line to watch is the fibonacci retracement of the latest swoon. You can draw that from $1830 or $1815, which I would prefer. The latter has just been broken, along with that minor period of consolidation from last Friday.
If you draw it from $1830, the line is at $1773.
What I find most interesting about gold is how hated it is suddenly. There are no bulls left, it seems. TD was out this week with a note saying it will be under pressure for months. That kind of tilted sentiment can market a bottom, something I wrote about Monday in our premium group.
