Gold bears trying hard – by Todd Horwitz, Bubba Trading.

 

Monday, after an early rally the gold bears showed up and tried to force the yellow metal lower, they were successful for a couple of hours. But by the end of the day Gold had rallied back to close slightly higher for the day. This morning the sellers are back again, the bulls are holding them off.

Often, we talk about patterns and footprints that markets leave and once again gold is setting up in a bullish formation. The first thing to look at is the tightening range in price which has tightened everyday for the past two weeks. Secondly, we look at the price action gold continues to make higher lows which is also very bullish.

As we remind you of two things, markets never announce themselves, price action leaves clues and footprints which put the probabilities in your favor if you are patient enough to wait for them. The current footprint suggest gold is ready to breakout to the upside and make a run, if it can get through 1450, 1500 won’t be far behind.

Todd Horwitz
Chief Strategist
BubbaTrading.com

Financial Markets and Political Commentary
 

Tags

, , , , , , , , , , ,

Related Posts

About the author

Todd Horwitz - Author of “Average Joe Options“. Todd began his trading career in 1980 at the CBOE. He was one of the original traders in the OEX & helped start the SPX. He is a member the CME where he trades S&P futures as well as foreign currencies & is a regular contributor to CNBC, Bloomberg, BNN, Fox & many other major news networks.