Gold Breach
Gold Breach
UPDATE 10:00am EST: Gold breached my line in the sand and I’m out.
Actually, I’m glad as my GLD puts had turned into a major theta burner.
UPDATE 10:12am EST: Two scenarios right here:
Blue: We complete an a-b-c to equality which would take us to 843.
Orange: This was it and we drop like a rock.
Watch the Yen – it’s trying to swing above its VWAP.
UPDATE 10:34am EST: We are NOT out of the woods just yet but this is a good start. I’ll feel better once we breach yesterday’s lows – that should open the flood gates. Remember however that we still need to breach 822 before we see a serious sell off. Yen is fighting to push above VWAP but there’s a strong seller there (the Japanese Fed interfering?) – I see a lot of loooong wicks on that thing – keeps pushing it down. Fortunately it doesn’t seem to take much to depress equities, and bear in mind that the Yen is oversold on a short term basis.
