Last night on the “Off the Charts” newsletter, it was stated that SPDR Gold Trust (GLD) was looking like it was setting up for an interesting trade to the downside as it hovered by the accelerated downtrend. This morning, GLD gapped down and opened at $174.61, below yesterday’s low of $176.05. The break of the accelerated uptrend was targeted at $175/$174.50.
GLD is trading below the break of the uptrend line and is currently down about 2%. Support 1 in GLD is $171 and Support 2 is at the 50-day moving average of $167. Continue to stick with the trade, and the sell-off in GLD should breed more confidence in the equity market.