July 25, 2012

Gold futures trading just above the price wedge

8:30am EST

Gold futures trading just above the price wedge.  The price structure tells us to sell the
highs and buy the lows, and since we have broken to new highs, we will use the
biggest clue from the price wedge to tell us to be patient and sell the highs
overhead if price keeps rising (1610) or when the buyers run out of steam, the
sellers will grab hold and try to reverse this back into the price wedge we see
below (green triangle).  Our plan today
is to sell short when the buyers fail, and to sell short when the 1610.0 is
tested (price wedge highs).

    schooloftrade

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