A view of gold after its all too normal reversal in-day yesterday. The upside tail on yesterday’s candle was a scout for future activity, but for now gold is back below the gateway and believe me, if you are a well grounded gold bug you do not want it running, running, running upward in the face of war, terror or much of anything other than the monetary shenanigans backing the macro (when the effects start to fail).
It could hold here and renew its bull move since it offloaded the flashpoint knee-jerk hype yesterday but it would be normal for it to continue to grind with important support at the area that the SMA 50 is rising to at 1828. Before that there is a chunk of support at 1870 (Nov. high). In my opinion, the more grinding it does before its presumed next upside move, the better.
The worst of the bugs may see yesterday as a coordinated central bank rug pull, but I ask you then, did they pull Palladium? Platinum? Oil? The machines know a contrary play when they see one. Best not to personalize anything right now. Emotions are hot but we should be cool.
