Gold Update 2/28/10

Gold looks to be completing the right shoulder of a head and shoulders bottom. That will be confirmed with a move above the February high. The February 5th low of 102.28 is within the range of the 102-103 target given February 4th. The 2/19 post called for an 1-3 week correction and while the price low may have been made on 2/25, the full correction may last longer timewise.

The initial price targets for this up move are 113 and 116 on GLD. These targets are shown as white horizontal lines on the chart below.

Nine month chart of GLD, click to enlarge