Gold on 10-Jan-2011

Those who followed Ayumi the Novice Trader blog would have know that we are only going to short Gold when it when it travels to 1382-85 for shorts, in other words, if market never touch this level, we do nothing.

It is good that we stayed sideline, the price action is a volatile and the consolidation is simply going to drive your blood pressure to new high, or new low.
Without creating much pressure, and stress, stay out is the best position.

Gold

After a serious rally on Gold since Jan-2010, Gold market is due for a correction before this uptrend continues.
Current high of 1430 and 1423 formed a nice H/S pattern.
The low on Last Friday 1352, is this already the low that Gold can go?
Ayumi say no... correction has not finished.
However, the reversal sign on day chart, signals a possible retracement to 1382-85, even up to 1391-1400 resistance.
Only pick shorts at good resistance level like what we mentioned.
1st downside target stays at 1350, followed by 1330, 1315.

Related: Gold on 7-Jan-11

Silver

Spotted inner wave down on 3-Jan-2011, and hit 3L Double bottom 28.296.
Market likely to continue south, suggest to pick short on retracement level near 29.300, or 29.800 region.
Downside target 27.600 region.