-- Posted Wednesday, 9 May 2007 | Digg This Article
| Source: GoldSeek.com
Rick’s Picks
Wednesday, May 9, 2007
“Phenomenally accurate forecasts”
Finding ways to buy gold without risking much is proving to be more art than science, as yesterday’s experience demonstrated. In the Touts section of Tuesday’s newsletter, I’d put out a recommendation to buy the June Comex contract at 680.50 if it took a “nasty swoon.” But this is not what happened. Instead of swooning, the futures chopped and spasmed their way lower, acting not so much like a schoolgirl with the vapors as an acrobatic kite on a gusty day.
We were there to help break their fall nonetheless, buying a bottom that turned out to have been just two ticks off the intraday low, 684.10. Someone in the chat room had mentioned the lower target at 680.50 around then, perhaps hopeful of having a few contracts drop gently into his lap before they took off once again. “Looks like Rick’s 680.50 [target] is in the cards,” he noted. I replied, “I’m long gold from 684.30 as we speak. But I’m not thrilled with the first rally from that low.”
As indeed I was not. The futures had just failed, on their first, very minor thrust from the targeted low, to surpass any prior peaks even on the one-minute bar chart. But the low held, fortunately, and the June contract got in bullish gear shortly thereafter, reaching an intraday high at 689.00 that represented a rebound of nearly $5 from the bottom.
Broke No Rules
Those of you who have taken Hidden Pivots to heart may be interested to see how the 684.20 target was derived. I have reproduced it in Wednesday’s Touts section so that you can see for yourself not only that I broke no rules, but also that the visually misleading ABC coordinates I used to calculate the target would have been fairly easy to find, even for a relative novice, provided a visual rule that I stress above all others had been followed: Find BC first. The real trick, as I continue to emphasize at each Hidden Pivot seminar, is to look at charts not in the way one is “supposed” to look at them – i.e., with trendlines, channels and oscillators playing symphonically on one’s mind -- but rather as one might study a painting; for it is only then that the crucial elements of a tradable pattern will begin to stand out in sharp relief.
Incidentally, there is one other trick that is becoming increasingly important to the task of finding such patterns to trade on. We note in passing that the patterns that seem to be working best these days are coming from increasingly subtle ABC swing points. This shouldn’t discourage, not at all, since there is a simple way to identify them that I have explained in Wednesday’s tout for June Gold. It involves a visual principle that will receive greater emphasis at the May 19-20 seminar than I’ve given it before.
Gold’s Launching Pad?
Concerning Gold itself, with every opening trade we are inclined to hold onto more contracts than previously, since each new low could turn out to be the launching pad whence bullion thrusts meaningfully above $700. One gold bug that we hear from now and then, an old-timer, Dennis C., has been both an astute timer and a patient accumulator of Gold on weakness. He wrote me yesterday as follows: “I strongly believe gold is about to join the liquidity rush here. Every day that the stock market is down, a lot of put buyers show up. This market is not going down for a long while. The long triangle in the HUI and XAU is about to be resolved--on the upside. A lot of the smaller junior and exploration stocks that have excellent finds have been breaking out here.”
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May 19-20 Seminar
“While perusing some of your posts chronologically from months back, I'm truly struck by the remarkable prescience of many of your fearless calls. The results are uncannily accurate. Thanks again for this opportunity to profit from your usually directionally correct analyses. The subscription is worth every penny - and then some.”
-- Colin L. MacVeagh, a subscriber
Aloha Rick. I just want to thank you personally for all of your posts in Comex Gold and Silver. I have traded gold/silver futures for a decade and there is NO ONE who has identified prices as accurately as you do. FACT: Your New Year's Eve call of a high at 643.10 call was dead-on (even if floor traders ran it up a few days later to flush the momentum traders.) But your subsequent forecast of a pullback low at 603.00 was mind boggling! I Sold my longs at 643.10 and covered my shorts at 603.00 -- the exact bottom.
-- Mark Johnson, Hawaiian subscriber
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Want to learn exactly how I do it? Then click here for details concerning next month’s online Hidden Pivot Seminar on May 19-20 (Saturday/Sunday morning). Sign up now while there are still a few seats left. The goal of this course is nothing less than to teach traders and investors of all levels of experience how to forecast stocks and commodities at least as accurately and confidently as those who do it successfully for a living.
With just a cursory understanding of the material taught in the course, and a little bit of follow-up, you will never again have to ask an “expert” what he thinks about a particular stock or “the market.” That’s because you will be better equipped yourself to answer the question simply by looking at a few charts.
The course is not about technical analysis in the conventional sense, with its tired and overly scrutinized trendlines, its familiar oscillators, channels, volume indicators, and all the rest, Rather, it is a way of looking at charts with a fresh eye – to see charts as “art,” with emphasis on visual elements of harmony, symmetry, and, indeed, beauty. My annotated charts do not look even remotely like those of other technicians, and that is why the “buy” and “sell” signals that come from them rarely coincide with those favored and used by the herd.
Don’t Rely on ‘Experts’
The online class will be a particularly good opportunity for those who were unable to attend my classes last year in New York, Sydney, Vancouver, San Francisco and Denver. If you’ve visited the Rick’s Picks chat room and marveled at the forecasting skill of seminar grads, this course is designed to quickly bring you up to their level. While I cannot guarantee that the course will turn you into a fabulously rich trader, I can promise, as implied above, that with a little diligence and practice, your ability to precisely predict price reversals in stocks, indexes, options and commodities will be at least as good as anyone whose forecasts you have ever paid for.
Although the on-site course was offered for as much as $2,000, I am offering it online for $960, since many of the expenses incurred in holding “live” seminars – including hotel and travel costs, and the rental of conference facilities -- are not a factor. If you are seriously interested in attending, click here for more information, or go directly to the registration page by clicking here, then clicking the “UPCOMING” tab.
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Information and commentary contained herein comes from sources believed to be reliable, but this cannot be guaranteed. Past performance should not be construed as an indicator of future results, so let the buyer beware. Rick's Picks does not provide investment advice to individuals, nor act as an investment advisor, nor individually advocate the purchase or sale of any security or investment. From time to time, its editor may hold positions in issues referred to in this service, and he may alter or augment them at any time. Investments recommended herein should be made only after consulting with your investment advisor, and only after reviewing the prospectus or financial statements of the company. Rick's Picks reserves the right to use e-mail endorsements and/or profit claims from its subscribers for marketing purposes. All names will be kept anonymous and only subscribers’ initials will be used unless express written permission has been granted to the contrary. All Contents © 2006, Rick Ackerman. All Rights Reserved. www.rickackerman.com
-- Posted Wednesday, 9 May 2007 | Digg This Article | Source: GoldSeek.com
