Today's Gartman Letter

Regarding gold, we are long from earlier this week when spot gold traded upward through $940, and we came very, very close to buying another unit of gold yesterday when spot gold traded to and through $955. It did so only for a very few moments, however. We’ve learned in gold to use a price and a “time” stop; that is, we always want to see gold trade to and through our price for an hour or so to prove the merit of that price. Sometimes this costs us, but on balance it is proper trading technique. Certainly it was yesterday, for gold traded to $956, ut only for a moment or two before selling down. We’ll use that same technique today, for it has more merit now than it had yesterday for if gold does push upward through whoever was selling it at $955-$957 yesterday will have been sated.