The gold ETF’s (GLD) closed above its 50-day moving average for the first time in over a month after its 1.22 percent move on Friday. The chart below illustrates the 50-day has been key resistance since the correction from around $1,800 on cash gold began in early October.
The GLD was also able to close above ( just barely) a key Fibonacci level and paves the way to test its the 52-week high at $174.07 ($1,795.78 cash). The risk is that gold becomes a risk asset and sells off on fiscal cliff fears.
We like its chances, however. After all, Soros is buying.
Always with a stop.
(click here if chart is not observable)