May 2, 2024 - (Gold Market Wire) - Did you "chase strength in anything Gold"?, as the Trading Master who passed away recently would regularly ask? If you did and you are leveraged, you are fried. It's as simple as that. When the weak length is forced to disgorge their position, we will settle down and resume the rally. Today we had another head-fake...peeking over the power downtrend to trap a few more suckers in. (Do they not know in these market environments to buy on the close?)

And so the market metes out the pain. If you aren't on margin, you are likely to be fine. Non-Pigs don't get slaughtered. Because they aren't greedy.

Our $2350 pivot point, which has been our focus for weeks now has worked out well. As we start to approach maximum pain, the more professional/experienced traders can start to buy. With enough ammo in reserve to take a ride down all the way to $1800. The chances we will get there are small. But that is how the length must be measured. The reality remains that this is a small pullback. Nothing drastic at all. If we zoom out, we get a clearer picture:

We won't put a first buy in, until our power downtrend gets cleared for two sessions in a row...and better yet, a end of week close. Our reversal looks negated as of now, so that early head-fake today looks so obvious a child could figure it out. Really, COT - - you could have done a better job at painting the tape !