10:25 AM PDST COMING INTO THE CLOSE

gold has labored all session to break up and out of the down trend channel (blue lines) on light up volume, but has encountered selling pressure of moderate to strong volume thus pusing gold down to 88050 for the low, which took out the previous major low by two ticks. gold is on the lower edge of the intermediate down trend channel (purple lines on Big Picture Chart coming later) and has pushed the lower line of that channel a pinch lower. Apparently the shorts are taking full advantage of the myth of "seasonality" where August is where gold bottoms before taking off for the rest of the year... Get enough people to believe a thing, and they act accordingly, and it comes true... gold is now selling off rapidly into the close and has fallen completely out of the short term up trend channel (white lines) and is in the middle of the short term down channel (blue lines) Gold will probably rise all afternoon again and over night, only to repeat this process until some exogenous event or report triggers enough fear of the dollar that everyone will run to gold and drive it up. more later as appropriate.... NEW BLOG CHARTS COMING