Now that gold has broken the $1210 low quite convincingly, we can now look at some targets for the final bottom. We are within a whisker of the $1179 June low so I will confidently predict the short sellers will run those stops. Once they do gold will fall quickly.
Some targets to look out for:
Gold has strong support in the $1050 area, which is the top before the GFC plunge.
Silver has strong support at the $16 level
The HUI has strong support at the 150 level, which is a massive double bottom.
And the gold/ dow ratio hits resistance at 15.
I am in cash until these targets come up. Wouldn’t it be nice if they all came in together!!!