Thursday, October 1, 2009

Dec Gold Holding a Bid @ 999-1000

After an 11pt dip early, around midday we saw gold hold the 999/1000 level despite dollar strength and continued to hold it throughout early overnight trading. The past couple of days we've seen strong dip-buying in the face of dollar strength and if this can continue into a downward reversal in
USD we should get our breakout through the 1030 area. Of course if USD continues to bounce 999-1000 will give way... Also, the COT report tomorrow will tell us a lot - bulls should be hoping for a 20-30k contract drop in OI.