Gold

wondering if the Cyprus situation may have an affect here?

www.forbes.com/sites/karlwhelan/2013/03/...the-end-of-the-euro/

The folly of fiat currency eh?

Gold has to be the only "thing" (commodity or a CfD) that I've never had any qualms about going long on, regardless of the (reasonable) declines. Sweeping statement I know, but its a personal view and one from personal experiences.

O/T

This latest sorry situation, involving Cyprus this time, is disgraceful really. I'm surprised that prior to this announcement, their Govt didn't have The Godfather or Sopranos theme playing in the background, or at least have Denzil Washington's character from the film Training Day make the announcement about "taxing a little".

I wonder, is this yet another wake up call, or will it go the same apathetic route as other calls. (I suspect it will be the latter!)

p.s. sorry, no chart with this post

I've revised my wave count on gold and reverted to a possible 5 wave move down from the 1796 high on 5/10/12. When we look at the initial drop from 1796 to 1672 (wave 1 on the following chart) and project that from the wave 2 high at 1754 we can see that the most recent low on 21 Feb at 1554 was almost exactly at the 161.8% extension we'd expect for a wave 3:



dl.dropbox.com/u/20815047/Golddaily24_03_13.gif

If that's the case and we're in a wave 4 up from 1554, we ought to expect it to get to 1629 which would be the 38% Fib of the wave 3 drop (this is also where the 100% extension lies as shown on the chart). Interestingly, there should be resistance from the previous support at 1625 where a large hammer formed on 4 Jan so that's 2 levels of resistance close by.

Conclusion: I'll look to go short at 1625 with a stop above 1629 to target the 1525 area we've previously discussed.

Thanks for the update Jackozy, you have been busy with the charts today.

Agree with your count and have been waiting for a break of 1620 to start shorting.

Wave 5 - what could we expect action wise?
Probably not as dramatic as the wave 3.

watch the monthly candle on this, maybe an inside month .... Key is 1617 my magic number for gold - a close abv then up it goes will look in detail over the weekend & will post chart a bit later....

i've close all shorts on gold.

Im planning on going long on a first attempt basis at 1522 with a tight stop.
This area has been good support in the past so hoping for a bounce on first attempt.
The support starts from 1531 to 1522 so it will depend on your risk level to determine where abouts you would enter long for a quick trade. The main trend for gold is sideways(since 2011) and a finish below 1522 could signal the down trend.Then you would have to look at the fibs for supports.