-- Posted Wednesday, 9 January 2008 | Digg This Article
| Source: GoldSeek.com
Rick’s Picks
Wednesday, January 9, 2008
“Phenomenally accurate forecasts”
Now that’s more like it: Gold up, stocks down! Felt right as rain, didn’t it? And to make things even sweeter, we had both sides of the trade nailed, naked-shorting Diamond January 130 calls on Monday’s close (as announced in the Rick’s Picks chat room in real time), then jumping on Comex Gold futures that same night, just before they really took off. Here’s the advice that went out Monday night with February Gold futures trading around $860:
“We'd back up the truck to buy a print down at 851.90, a compelling Hidden Pivot support, but the futures are not likely to be so accommodating. In fact, they've been building a bullish flag for a presumptive run-up to 902.10 -- a target first broached here a while back -- giving up precious little ground in the process. It will be risky to try and call the breakout from a consolidation pattern that has now gone on for several days, but my hunch is that a print at 869.10 would do the trick. It looks like it would be subtle enough to allow one to get aboard with a buy-stop and not have to fear the kind of whiplash likely to follow the inevitable push above 871.80.”
As for what ensued, all went pretty much according to plan -- right down to the un-buyable surge that kicked in when the futures first encountered open sky above 871.80. Here’s a chart that show it all:
Several subscribers who caught the rally stopped by the chat room Tuesday morning with the good news, and they were able to climb on board for another ride when Gold got second wind later in the morning. The final pushing hit an intraday high at 884.00, a down payment on the 902.10 target we’ve been using lately as a minimum upside objective. Check the Touts section of Rick’s Picks if you want to know what to do when Gold gets there. Which it will shortly.
###
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 © 2008, Rick Ackerman. All Rights Reserved. www.rickackerman.com
-- Posted Wednesday, 9 January 2008 | Digg This Article | Source: GoldSeek.com
