The U.S. and China both released October “retail” numbers this morning. One nation reported 0.2% growth, the other 18.1%… we’ll let you guess which country consumed more.
Here’s a hint from Ian: “That number helps explain a 8% hike in Wal-Mart earnings… and a 6% boost in the stock yesterday.”
Gold prices, which sunk to $795 in New York trading yesterday, rebounded back above $800 overnight, settling in at $810 as we write. “There appears to be a floor above $785 at the moment,” writes Ed Bugos, watching the gold price from his perch in Vancouver, “and even more substantial support lying between $750-775 on the chart:
“The 50-day moving average lies at $758 today -- and it is both common and healthy for the market to retrace to this average a few times during an advance, as it did on three occasions during the 300-point 2005-2006 surge.
“But gold has only pulled further away from this average since breaking out in September. Given this fact, so close to a critical long-term resistance point, combined with the oversold forex value of the dollar (in the short term), we can’t rule out a fall back to the $750 area.”
Ed tells us such a correction could last a few months, but he still has a four-digit price target for the long term.
Here’s a hint from Ian: “That number helps explain a 8% hike in Wal-Mart earnings… and a 6% boost in the stock yesterday.”
Gold prices, which sunk to $795 in New York trading yesterday, rebounded back above $800 overnight, settling in at $810 as we write. “There appears to be a floor above $785 at the moment,” writes Ed Bugos, watching the gold price from his perch in Vancouver, “and even more substantial support lying between $750-775 on the chart:
“The 50-day moving average lies at $758 today -- and it is both common and healthy for the market to retrace to this average a few times during an advance, as it did on three occasions during the 300-point 2005-2006 surge.
“But gold has only pulled further away from this average since breaking out in September. Given this fact, so close to a critical long-term resistance point, combined with the oversold forex value of the dollar (in the short term), we can’t rule out a fall back to the $750 area.”
Ed tells us such a correction could last a few months, but he still has a four-digit price target for the long term.
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