I'm still sitting in cash since selling longs a little early at $1294.
Regular readers will see lots of my targets are being approached, as here:
and look here:
I like that rule about seeking strong trends and not sweating the first or last 10% (or 5%, or whatever) of any potentially major rally. As of yet, what's going on in gold (and silver) is still just a short term correction to a long, painful, and, as of yet, ongoing, bear cycle (I am, as you, gentle reader, may have guessed, long commas).
Case in point: I want to see one more red bar on these old weekly bellwether charts to be convinced this reversal might have more legs than the last 3. Didn't happen this week.
But, don't get me wrong -- while I've been extremely skeptical of the "the bull market is back!" perma-bottom-callers all year, this time I can see things going either way. The 20-30 day moving average ribbon (on the weekly chart below) has been emphatically breached, and it seems to be flattening out and turning up. But since commodities are so overbought right now (see last chart), I'd like to see a test of that ribbon as support.
Hope to have some cool monthly charts for you as Feb comes to a close! Till then,