Once again the streetTRACKS Gold Shares (GLD) has attempted an early session rally, but appears to have failed below key near-term resistance at 88.00. It has since reversed below 87.00 and now finds itself in an ominous near-term position. As far as my pattern and momentum work is concerned, the GLD still has unfinished business to the downside prior to the completion of the correction that started at the January 15 high of 90.34. The optimal target zone for the current down-leg is below 85.50.



Mike Paulenoff is a 26-year veteran of the financial markets and author of MPTrader.com, a real-time diary of his technical chart analysis and trading alerts on all major markets. For more of Mike Paulenoff, sign up for a free 15-Day trial to his MPTrader Diary by clicking here.