GOLD HITS THE FINAL RETRACE POINT FOR THIS DOWN LEG, NOW TO TAKE OUT THE NEXT HIGH AND MOVE UP TO THE NEXT RETRACE POINT

GOLD MOVES BACK UP AS EURO RISES

GOLD DROPS A LITTLE LOWER WITH THE EURO, BUT BOTH TURN BACK UP

GOOD SHOULD MOVE HIGHER AROUND 11:00PM PST

AND MIDNIGHT WHEN MOST SUBSTANITAL MOVES

ARE MADE IN THE OVERNIGHT MARKET. THEN AGAIN

BETWEEN 2AM AND 4AM BIG MOVES OCCUR.

THEY DON'T LAST LONG AND CAN REVERSE QUICKLY

SO YOU HAVE TO WATCH THE MARKET ALL NIGHT LONG

15 MINUTE DECEMBER DOLLAR CHART (delayed prices)

GOLD IN A NARROW TRADING RANGE JUST UNDER THE TOP DOWNTREND CHANNEL WHITE LINE

GOLD APPEARS TO BE READY TO BREAK TO THE UPSIDE IN EARLY EVENING TRADING

THE TOP WHITE DOWNTREND CHANNEL KEEPS
BEING RAISED TO INCLUDE THE NEW HIGHS BEING
MADE UNTIL IT IS LEVEL WITH THE HIGH AT 1153.40
THE LOWER TREND CHANNEL LINE IS MERELY
A PARALLEL COPY OF THE TOP LINE FITTED TO
THE LOWEST LOW TO THE RIGHT OF THE HIGH (1153.40)
FROM WHICH THE TOP LINE IS DRAWN DOWN ALONG
SUCCEEDING LOWER HIGHS.
THE REVERSE PROCEDURE IS DONE FOR AN UPTREND
CHANNEL BY STARTING WITH THE LOWEST LOW AND DRAWING
A LINE THROUGH THE SUCCEEDING HIGHER LOWS AND
COPYING THAT TRENDLINE ALONG THE HIGHEST HIGH
IN THAT PERIOD OF TRADING

GOLD IS WALKING ALONG UNDER THE TOP WHITE DOWNTREND
CHANNEL LINE AND WILL BREAK UP AND OUT OF
THAT CHANNEL. THE FINAL RETRACE POINT FOR
THIS MOVE BACK UP THE BIG SELL OFF IS AT $1147.50.
GOLD COULD PULL BACK FROM THERE AND THEN
MOVE HIGHER ON ITS WAY TO MOVE TO NEW HIGHS.
THIS $24 PULL BACK FROM THE HIGH AT $1153.40 IS
SMALL COMPARED TO PULLBACKS IN PAST YEARS (SOME
WERE $50 TO $75 DEEP) JUST BEFORE THE END OF YEAR
RUN UP IN GOLD WHICH INDICATES THE STRENGTH OF THIS BULL
MARKET WHICH SHOULD ONLY GET STRONGER AND
RISE HIGHER AS ECONOMIC CONDITIONS GROW
WORSE FASTER AND FASTER EACH DAY

2:15 PM PST AFTERNOON GOLD CLOSE

GOLD SHOULD MOVE HIGHER AFTER IT REOPENS AT 3:00PM PST

GOLD HAS FORMED A LITTLE FLAT TOPPED TRIANGLE

WHERE IT IS CURRENTLY TRADING AND SHOULD

BREAK UP AND OUT OF IT WHEN GOLD REOPENS

NOT LIKELY TO BREAK OUT BEFORE THE CLOSE

OF THIS AFTERNOON SESSION

GOLD WILL PROBABLY NOT PULL BACK VERY DEEP ON EACH STEP BACK UP

GOLD MOVES CLOSER TO THE LAST RETRACE POINT

GOLD BREAKS HIGHER ON STRONG VOLUME

THE RED FLAG SHOULD RESOLVE HIGHER

GOLD IS TURNED BACK AT THE DOWNTREND LINE

5 MINUTE DECEMBER DOLLAR CHART (delayed prices)

GOLD BREAKS OUT OF THE RED DOWN FLAG

WHITE DOWNTREND LINE REDRAWN TO INCLUDE

THE NEW HIGH. MAY BECOME RESISTANCE

THE RED DOWN FLAG COULD RESOLVE UP, BUT GOLD MAY PULL BACK FURTHER BEFORE THE CRIMEX CLOSE

SO FAR, GOLD IS FINDING SUPPORT AROUND THE

TOP DOWNTREND CHANNEL LINE, BUT GOLD

TRADING HAS SLOWED DOWN AS IT NEARS THE

CLOSE BUT SHOULD PICK UP AGAIN IN THE LAST

FIVE MINUTES OF THE SESSION

UPWARD MOMENTUM SHOULD CONTINUE AFTER THE CRIMEX CLOSE

A PULL BACK INTO THE CLOSE SHOULD BE EXPECTED