Gold Positional / Near term trading Levels & Strategy – 04 Jul 2014

LONG TRADE		SHORT TRADE
BEST BUY LEVEL		BEST SHORT LEVEL
1306.0		1322
BUY TARGETS		SHORT TARGETS
T1 = 1372		T1 = 1256
T2 = 1388		T2 = 1240

Best Buy & sup @ 1306 (current resis) Actual Resistance & best sell level 1322 a break above 1338 upside capped @ 1372 – 1388 (we have completed this upside course in march) A crack below 1290 downside target @ 1256 – 1240 (which is yet to fill)

The above pattern is continuation of previous 1388 pattern 

“1388” Sell Pattern – hope some of you remember our sell call which hit pip of our best sell level 1388 from 1369 & collapsed to 1308??

The three month old established trend is likely to persist - continue and complete its course in near term @ 1240

Why??

Once a trend is established it tends to persist and to run it’s full course. - George Soros 

When a long-term trend loses it’s momentum, short-term volatility tends to rise. It is easy to see why that should be so: the trend-following crowd is disoriented.