Fed Does Nothing To Help Gold
Wednesday the Fed did itsimitation of the Three Blind Mice and stayed the course of clueless policy.Officials expressed concerns over trade, which is not an issue, and severalother things which allowed them to keep rates where they are.
Gold's reaction was to continuelower and show no signs that it will ever rally again. Of course, we all knowthat gold will find a level to bounce from; the only issue is what that levelis. We are still watching for $1,180 as a key support level and a possible spotto buy.
Gold is in a consolidationpattern and looking to break out one way or the other. All signs point to abreak to the downside. However, today gold is on support and a dead-cat bouncewould be no surprise. The bottom line is the pattern that gold is in is uglyand the metal should head lower. All rallies to resistance, which is $1,240,should be sold until further notice.
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