Robert J. Cote, Jr.
Thirdeyeopentrades
www.thirdeyeopentrades.com
September 27, 2006
"Take #2"
The first take turned out to be a drag but the show isn't over until the Fat Person sings. Yesterday we had a sign of strength come into the gold market. It seems weeks ago that the trading day began without a gap and built solid price and volume action throughout the day and into the close. Today was that kind of day. We think it prudent to wait for the "Simultaneous Signal" but it's possible to ease in here with a tight stop, we think, for a small snack before the dinner bell rings. That would be left up to the individual trader and particular skill set. We always keep in mind that there's always the chance that a big bad wolf shows up at the door but that's what stops are for.
Here's what we have so far:
- Bull wedge
- Price went back to ice and bounced
- Oversold RSI
- 50% retracement (and at ice)
- + MACD histogram divergence
- Oversold MACD
- Ratio of PMPIX:$GOLD resistance defined
When the MACD and PMPIX:$GOLD Ratio both cross up and over simultaneously you might see fireworks!
Thirdeyeopentrades publishes a weekly newsletter and is offering the most recent edition at no charge for those that would like to sample it by e-mailing us at thirdeyeopentrades@gmail.com.
Thirdeyeopentrades wishes you Health, Wealth, Wisdom and Happiness!
