Longtime Turdites understand the significance of an "Outside Reversal" or "Engulfing" pattern. On the daily chart, an ORD has proven to be a very reliable indicator of a change of trend and momentum. When you get one on a weekly chart...
First, for the uninitiated, here's a definition from Investopedia:
As you might imagine, I have a good reason for bringing this to your attention. After all the dust settled yesterday, we are left with ORDs onboth the gold and silver weekly charts. Taken by itself, of course, this is just one indicator of potential gains to come. Throw in the dynamic fundamentals as we close 2012 and head into 2013, and we've got plenty of reason to be excited. If you haven't yet bought this recent dip, you should probably consider doing so in the very near future.
And it's not just the weekly charts that look compelling, check out these daily charts:
As we break it down further, check out how pretty these 8-hour charts are. The sellstop-running plunges of 11/2, followed by the quick reversals and now the breakouts bode very well for next week and beyond.
And even the 2-hour charts look pretty salty. Let's see how long these short-term trends can continue next week:
All-in-all, confidence is extremely high that the month-long pullback in the metals is over. I expect a rally from here through the end of 2012 and I am anticipating an exciting, unprecedented and historic 2013.
From a news standpoint, I trust that most of you have already seen this. Just in case, though, here's a link. Add another log to the fire regarding the
leased, hypothecated, gone for good German tungsten gold.
Lastly, we wrapped up our 2nd Anniversary Hat Contest yesterday and the winners are:
The Dec 12 settled at $1730.70 and "worldend666" edged out "mapleleaf" by a whopping 18 cents! Worldend guessed $1730.00 and Mapleleaf had $1731.58. WOW!!!
Here Mapleleaf got his/her revenge with a guess of $32.67. The actual close was $32.62. Very impressive!!
Crude settled at $86.07 and the winner, with a guess of $86.00, was "delric". Good job!
Congratulations to all three winners. Please email me your shipping information at tfmetalsreport at gmail dot com and I'll ship you your very own autographed, genuine and authentic Turd Hat.
I hope that everyone has a safe and restful weekend. Get ready for an exciting week next and a very fun end of the year!