Happy New Years to all! The Cartel sent us a clear message this morning in the form of a double-barrelled wham slam dunk. The buggers must be scared stiff of renewed buying this week when the Gold Weekly MACD 12,26,9 crossed over to the positive side at the close of 2010. So surprise surprise guess who fired off a couple of coordinated bomb runs earlier this morning to temper the Bulls' sentiment?

Some minor technical damage has resulted which could easily be worked off in a matter of days as bargain hunters see the POG approach technical support levels. And speaking of support, here's a snapshot of Hourly GLD with key support/resistance trendlines in play. Here we have yet another incident which proves the Cartel does closely follow the technicals in order to gain advantage. Combining technicals with inside information on existing Stops, they knew full well where to begin saturate bombing (see thin purple line just above the red box) and the rest is history as Gold was taken down $30 in the space of a couple of hours.

As you can see there's still a bit of air below the current price but the good news is there is meaningful converging trendline support about $10 below current spot and this is where I expect a very healthy rebound will take hold. As gwr wisely points out, the jobs numbers must be really awful to come out fighting so early in the first round, all the more reason to stock up before prices rebound later in the week in response to another bead in a long string of bad employment reports.