SCT Issue #248
Per my forecast charts I showed you for gold in prior issues, we should see a rally into mid-September.
That rally was conditional upon two other factors:
First, gold needed to come back and successfully hold support at the $1,120 level, which it did indeed do yesterday.
Second, my models for the stock market needed to show another decline is forthcoming, which indeed is the case. Though it may continue to bounce wildly, the stock market overall is headed for much lower prices.
That should boost gold in the short-term. Please don’t misunderstand, gold has NOT bottomed. After a brief rally into mid-September, gold should collapse to new lows heading into November.
That said, my indicators tell me the short-term rally I expect in gold is worth trading. Details in a moment.
For the stock market, I recommend holding your existing shares in DXD and SPXS, as well as UNG – with your protective sell stops, good till cancelled, in place at $22.39, $20.39 and $11.64, respectively.
Also, maintain your open order to purchase shares in ProShares Ultrashort FTSE Europe, symbol EPV, at $55.25 or better, placing a protective sell stop at $48.04, good till cancelled when filled on the order.
NEW MEMBERS: If you do not yet own DXD, SPXS or UNG – wait for my next signals. For EPV, please see instructions below …
For today …
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For ALL Members, For Each $25,000 You Are Trading: Buy 100 shares of VelocityShares 3X Long Gold ETN, symbol UGLD, at $9.27 or better, good till cancelled. When filled, place a good-till-cancelled protective sell stop at $8.22. If You Do Not Have An Open Order For EPV, Buy 50 shares of ProShares UltraShort FTSE Europe, symbol EPV, at $55.25 or better. This order is good-till-cancelled. When filled, place a good-till-cancelled protective sell stop at $48.04. |
Best wishes and stay tuned …
Larry
