GOLD STILL PROJECTED HIGHER DESPITE RECENT PULLBACK 5/20/20
On a macro basis: I cautioned on 8/16/18 the break back above $1,179.7-$1,183.7 warned of renewed strength. We have seen $605.1 of this. The break above $1,347.0 projects this upward $80 minimum, $320 (+) maximum. We have attained $441.3 of this so far. We are likely in the later stage of the bull structure from $1,046.8 upward. On 4/2 we left a bullish reversal below that warned of continued strength. We have seen $167.6 so far.
On a shorter-term basis: The break above the $1,705.8 (-2.3 tics per/hour) line projects this upward $28 minimum. We attained $70 before rolling over. I said in the Post Market Synopsis that on the day this warns of short covering if we can’t take out $1,742.0 by $3.8. We failed to, and have traded $11.4 higher. If we trade below by $3.8, I would look for a run toward $1,727.5 (-). Decent trade below $1,725.8 (+2 tics per/hour starting at 8:20am) will project this downward $59 minimum, $175 maximum based off an ‘ok formed’ formation; but if we break below here decently and back above decently, look for decent short covering to come in.
NOTE: this is just a small portion of the market calls I provide my clients twice daily in the Gold and Energy complex. 'Decent penetrations' are specific amounts and provided to clients daily as well. If you are interested, please feel free to reach out.