Gold News: Bounce Confirming New Support Level
Mike Hammer of The Gold Enthusiast - InsideFutures.com - Tue Feb 12, 9:41AM CST
gold chart
Gold bugs hope that gold’s recent run means it’s back above 1300 to stay.  But how can we tell?  Well in trading you can never be sure, everything is probabilistic rather than deterministic – meaning uncertain rather than “for sure.”  So what we do is watch for things that have proven more-reliable-than-not in the past to start piling up.  One such thing is a start, 5 such things means, “pretty darn sure.”
So the big thing we’ve been watching for is gold bouncing off 1300.  Since gold went up through resistance at 1285 it didn’t really stop for long at 1300 – only one NY close in fact.  So technicians really wanted to see a bounce off 1300 to confirm that 1300 is at least offering some support.
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