Gold trades over $1,000 an oz. ... now what?
O.K. so the magical $1,000 and ounce for gold has been reached,the bulls are all cheering, so where do we go from here?
Is the party just beginning or it it almost over?
From a technical perspective the trend for gold remain firmly in the hands of the bulls.
The bull market for Gold is now seven years old and by most accounts that is pretty old as far as bull markets go.
Here are the levels we would watch on the upside: $1,050 and 1,100. That represent another 5 or possibly 10 percent move from current levels. The caveat has to be we are at all time highs in dollar terms and a great deal of the upward move in gold has come about because of the declining dollar.
Our last trend signal to be long gold based on our "Trade Triangle" signals was on 12/26/07 at $817.10. See Chart. This week we are protecting our long positions with a stop at $964.70. This stop is adjusted every day to meet market conditions.
Every success in the yellow metal.
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