|
-- Posted Sunday, 4 November 2007 | Digg This Article | Source: GoldSeek.com
Rick’s Picks “Phenomenally accurate forecasts” Comex Gold blew past $800 with such winning ease on Friday that perhaps it’s not too early to start thinking of the supposed barrier as support rather than resistance. We wouldn’t want any cockiness on our part to jinx the next thrust, to an expected $907, but gold bugs have reason to be optimistic that this threshold will soon be reached for the first time in history.
From a technical standpoint, a rally to at least 907.30 became an odds-on bet when the Comex December contract pushed past 768.90 in mid-October. We had written as follows, with Gold trading in the mid-$700s: “[768.90 is our minimum objective] for the next two weeks, but an even more important target at 907.30 would come into play if it is easily breached.”
As it happened, the Decembers pushed decisively past 768.90 a mere week after first encountering it. From a Hidden Pivot perspective, this not only clinched the push to at least 907.30, it also hinted that that number will be reached relatively quickly. Of course, Friday’s dramatic leap will have done little to dispel the notion that $900 is going to be a piece of cake.
Path to $10,000?
Now, among gold bugs there are some bull’s bulls for whom $900 is just a weight station on the way to $10,000. Regardless, we prefer to take the rallies one leg at time, since there is always the chance, at any point along the way, that bullion will correct with a viciousness capable of turning all but the die-hards into doubters. Besides, there are benefits to trading around a core long position, provided you can nail the swing highs and lows fairly precisely.
In that regard, Friday’s close above a Hidden Pivot resistance at 804.70 all but guarantees the continuation of the uptrend to the next Hidden Pivot, a number divulged in the Touts section of Monday’s newsletter. Check it out if you are scaling out longs with the intention of replacing the shares on pullbacks, or if you wish to short tradable peaks so that you are better cushioned when bottom-fishing subsequent corrections.
***
Kudlow-Watch 
Readers have responded enthusiastically to our call the other day for examples of the wit and wisdom of economist Larry Kudlow, currently the shrillest shill on Wall Street. We are especially grateful for your vigilance because it saves us the annoyance of having to listen to Kudlow ourselves. Following is a smattering of the responses we’ve received so far. If you would like to contribute your own impressions, simply click here and drop us a line. Here’s what Rick’s Picks readers are saying: I have to take an anti-emetic whenever he is “talking.” When 75-80 % of Americans say they are fed up with Bush/Cheney, it is incredible to hear his whistling in the dark and cheerleading for them. Jim E. He is just unbearable. I heard him start to say he is still optimistic about Apple and Google and just turned him off. He is helping to deceive the public. Tar and feather him! Maureen M. Knowing his great renown, I took his advice and shorted the dollar and went long gold after the Fed eased. Right on, Larry, you genius! The dollar is falling like lead and gold is in a moon shot.. Now, ever the clairvoyant, he’s saying gold is a bubble about to burst. I will act on this by loading up on gold. I love this guy -- a great barometer! Paul W. He said that Goldilocks lives! And he is buying financials for the long-term, touting them as a great buy! He also touted the 3.9% GDP number as the greatest story never told! I guess when you use the lowest chain deflator in 50 years it’s easy to have strong growth. If they would have used the chain deflator from the previous quarter, the GDP number would have been 2.1%! Wade B. My favorite Kudlow quote: “Buy! Buy! Buy!” as he whacks away at some red button. Oops, that’s Cramer. Sorry, I get them confused. Jason S. Socialism for the rich, capitalism for the poor. Sarah H.
***
SEMINAR SOLD OUT, BUT…
Seats for this weekend’s online Hidden Pivot seminar are sold out, but if you are interested in attending the class at a later date, click here and I’ll let you know when the next session is scheduled -- probably in December or January. If you would prefer to attend an on-site class, possible venues in 2008 include Vancouver, Boca Raton and San Francisco. Please let me know if you’d be likely to come to the seminar if it were held in one of those cities ###
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 © 2007, Rick Ackerman. All Rights Reserved. www.rickackerman.com
-- Posted Sunday, 4 November 2007 | Digg This Article | Source: GoldSeek.com
Previous Articles by Rick Ackerman
|
