In recent months, Gold has been carving out 6-7 week double topping patterns. The most recent double top was Nov 9 to Jan 3. The one prior to that was May 14 to Jun 28.

This year, Gold bottomed on Jan 28 (2 days after the fomc meeting) and topped on the May 2 ISM & bin Laden reports. Note how after each initial high in May and Nov 2010, the 34 day average saved gold from a larger decline. Note also how a minor swing low set on Jun 13 this year. The June 13 low looks like the Dec 16 low ~ both minor pullbacks were again saved by the 34 day average. Note also the minor swing low on Jun 11 2010 that led to the June 28 2010 double top.

Each double top pulled back to the 144 day intermediate trend support. A double top that recurs around the end of June or onset of July will likely result in a flush back to the 144 day average sloping into 1440-ish by the end of July or early August.

Gold has been much loved into yr end, no one was willing to sell until the new year on Jan 3 (tax related). Gold has also been much loved in the 1st half of this year. However, the initial trade in the 1st month of the second half of the year could be calamitous. Note the end of month lows set on July 29 10 and Jan 28 2011. July 2011 could be a be a bad month for gold investors.

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