Gold appears to be experiencingGroundhog Day every day. Like the movie with Bill Murray, gold seems to berepeating the same action day after day. Sellers meet every rally, and evenwhen the rally appears strong, the sellers are ready.
Many are still calling the bottomin gold, which only indicates that there is room to the downside. The groundhogmay or may not see his shadow but as it looks now, there will be six more weeksof selling
The key levels to watch are $1,240on the upside and $1,180 on the downside. Until proven otherwise, gold shouldbe sold on every rally. There is no reason to buy until gold can close above$1,240. Gold will rally again and some day make new highs, but for now it's thesame day over and over again.
By Todd 'Bubba' HorwitzContributing tokitco.com
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