GOLD BREAKS OUT!!

We had huge moves today in all of the gold stocks. I talked about this trade yesterday. We broke out above the triangle pattern today...in a big way. The volume was high which confirms the strength of the breakout. I think there is still time to profit from the move in gold. A lot of price projections suggest the move today is just the beginning. Many gold stocks could move up another $5 to $15. With the strength of the move today, it is possible that we might get a bit of a pull back in the next few days. Then again...we might just keep going. The price action of the S&P 500 was almost a perfect set up for another move down. We chopped sideways for most of the day before dropping a bit at the close. There is a possibility that we could rally up a bit and test the 1007-1012 area as resistance. The downside target would be about 980-982 initially, but it's looking more and more like we will test that 950 support area within the next few weeks.