Gold's Groundhog Day
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.
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Bubba@bubbatrading.com www.bubbatrading.com/ Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.