Friday, July 23, 2010


Gold has hit the 61.8 fib retrace of the drop from last week and I am adding to my short here.  It is also the round 1200 number and a bearish gartley pattern which means we should retest the lows.

I am waiting for the post-stress-test-euphoria-rally to buy EUR!!

Gold short 1201 stop 1206 PT 1175 - addition
EURAUD short 1.4460 stop 1.4510 PT 1.4260 (50fib retrace)
CABLE long 1.5355 stop 1.5320 PT 1.5630 (off 50fib retrace)
EURAUD closed 1.4410 post stress tests (+1R)
CABLE closed 1.425 (+2R) don't want to hold on weekend.

Open Positions:
GOLD short 1203 stop 1209 - 1/2
GOLD short 1201 stop 1206


  1. Nic,

    I like the idea of the gold short as well.

    any thoughts on the silver?

  2. Silver is not so enticing to me. Those two monthly doji candles say it all. 17.222 is the 50fib and support, I could see a drop to there but if you think the dollar has more downside correction to come then its a tough short.

  3. Having looked at it some more it probably is a good swing short today to see if it can break 17.222, because below there sets up some nice downside targets.

  4. Nic,

    thanks, I've stopped trading it, I had some success with it last year but mostly just getting chewed up in there this year.