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Gold: Time To Watch For New Buy Signal?

  • Written by Syndicated Publisher No Comments Comments
    December 11, 2012

    Our intermediate-term technical indicators (not shown) remain on our October 16 sell signal, but gold’s decline is getting close to our initial downside target at its important intermediate-term 30-week m.a., which is currently at $1,671 an ounce.

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    The short-term indicators also remain negative, but with potential trendline support just below at approximately the same level as our initial downside target.

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    That support appears to be solid and gold does tend to be positive in the first few months of a new year (but not always).

    However, at the same time we have to be aware that gold has been in a very long-term secular bull market. And they do tend to end when no one is expecting anything more than another pullback that presents a buying opportunity.

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    So we won’t jump the gun on our intermediate-term indicators.

    To read my weekend newspaper column click here: Will Fiscal Cliff Defeat Market’s Favorable Seasonality-

    Subscribers to Street Smart Report: There is an in-depth ‘Markets Signals and Recommendations’ update from Wednesday in your secure area of the Street Smart Report website. And an in-depth ‘Gold, Bonds, Dollar, Commodities’ update from Monday.

    The next issue of the newsletter will be out next Wednesday.

    Images: Flickr (licence attribution)

    About The Author

    Sy Harding publishes the financial website www.StreetSmartReport.com and a free daily Internet blog at www.SyHardingblog.com. In 1999 he authored Riding The Bear – How To Prosper In the Coming Bear Market. His latest book is Beat the Market the Easy Way! – Proven Seasonal Strategies Double Market’s Performance!

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