The major gold target of 1879 was reached

With the mere gold forecasts of last week’s issue all our Gold Traders and many readers of the free GUNNER24 Forecasts shall have earned a mint, in the full sense of the word.

The 1879 were really reached on Friday. The high in the actual gold future was marked at 1881.4.

We covered all our existing monthly long positions in gold at the high, precisely at 1880, because the lower line of the 4th double arc in the actual GUNNER24 Monthly Setup had been reached.

Whenever a market reaches an important monthly GUNNER24 Target – as gold did in this case – all the warning lamps have to light up dark red to us, because thereby the pre-conditions for a long-term change in trend are present. Especially commodities like to change their respective trends at the 4th double arc. Also the Friday reaction to the major gold target was obvious. Within a little more than four hours the market immediately went downwards by more than 40$ from the all-time high. Just theoretically gold might have triggered the starting signal for a several week correction on Friday. But in practice gold may rise even higher: It may either dive in between the lines of the 4th double arc or turn at 1905, the upper square limit, or maybe at about 1912, the upper line of the 4th. And, of course, it may pass through the 4th double arc as if it were butter just “ignoring” the natural resistance of the 4th.

And moreover there are signs for that supposition, there are symptoms indicating that gold will still rise higher:

The actual weekly setup was generating an unambiguous buy signal. In one step, the 3rd double arc was broken together with the 2*1 Gann Angle. According to the GUNNER24 Systematics that’s a double buy candle because it overcomes two important resistances by one candle. Especially the break upwards through an important Gann Angle is always a sign that a trend is accelerating and intensifying. And above all it indicates the inevitable continuation of the trend in the medium term

„Medium term“ is the magic word and the determinant factor. Indeed, in mediumterm it may come to a correction now because not only some important monthly resistances were reached but also weekly ones – to be seen in the weekly setup above between 1888 and 1853. But the weekly setup above puts out the 2000 as to be the target until the end of the year. A couple of important supports for entries on daily basis are lying at 1825 (a very strong Gann Angle support) and at 1810, respectively.

Successful trading always depends a little bit on our investment rate and the durability of the positions. GUNNER24 always assumes that for us automatically. In the long term, in monthly sight GUNNER24 is flat now being covered both long term monthly long positions. We took along the long term ascent making safe money.

Therewith GUNNER24 is telling us implicitly that now such a phase is on the agenda when it might become jolty and risky, when the trend might turn at any moment. That’s why GUNNER24 is withdrawing both long positions out of the market yet investing one long position in the medium term on weekly basis.

Well, in the face of the current trend force “medium term” seems to be a little bit exaggerated. It would take just another week like last to reach the 2009$ in 5 trading days only…

The entry on daily basis and thereby another long position – with more risk and less durability – into the run to the 2009 (if it really happens) is provided to us by the daily 13 Candle GUNNER24 Up Setup:

A new long entry will have to occur at a daily closing price of more than 1881. As said already, target would be the 2009 in that case. But also on daily basis we can see that now at least a recess in the upwards trend is threatening or a pretty long correction, because the 3rd double arc released a visible reaction. The Friday candle is showing a long upper wick. A break of the 1823 support and the rally Gann Angle above all would make the 2nd double arc become the target (about 1760).

Silber vs. Gold

The very strong and extraordinary rally silver set up after the major gold target had been reached was what I was extremely astonished about on Friday. Whereas gold corrected from 1881 to 1840 closing at 1855 silver continually hurried from its important intraday low at 41.45 upwards by more than 1.50$. Did the Big Boys decide by any chance to switch from gold to silver??

Very unusual are the silver closing prices of the Indian market where they use to trade on Saturdays, too, you know. They suggest that silver is expected to start with a big gap into next week. According to my interpretation of the Rupee/USD-conversion story a high at 44$ and more in the first trading hour is possible…

But let’s go at first to the status quo and our well known Ugly Monster Setup:

For the time being, here the 5th double arc being the long term resistance was reached. The week closed within the 5th. It’s the first indication it will be broken, with target new year high! That silver end-rally on Friday after the gold major target had been reached prepares unequivocally the break of this double arc I think and above all of the long term resistance Gann Angle. For more than a year this Angle has been a very important resistance which in weekly sight resulted in clear retracements as often as 5 times (green/red marks). In March silver closed above it and this closing price was the reason why silver – once detached from all its chains – succeeded in setting up the phenomenal rally up to the 50$. So, if next week the 5th double arc breaks upwards or even the resistance Gann Angle breaks upwards… hallelujah, in that case here we go again!

If all that Friday rally into the closewas just a great fake in order to drive the last idiots into silver, well, in that case silver s can’t rise above 43.23 on Monday being forced to retrace then or to correct downwards violently and following the 5th double arc downwards during the coming weeks. But let’s go now to the Indian silver prices: If silver really gaps with 50 cents AND closes above 44 on Monday it will be expected to run straightly upwards the whole week.

The „normal“ GUNNER24 Up Setups on daily basis are not much use here – that’s why I was tinkering about over the weekend, simply thinking different, trying to find a new perspective:

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