...............The COT Data Is Bearish/Mixed

The COT data (see http://www.cftc.gov/dea/options/deacmxsof.htm) brings some modest good news with the gold Commercial traders only engaging in very modest long liquidation but still shorting fairly aggressively, therefore trading net short which is bearish, while the most positive news short term is the unusually large degree of short covering by the gold Speculators, who traded net long which is bearish from a big picture standpoint. Another day or two of downside appears likely before a monthly cycle low occurs.

The Monthly Downcycle's (since 7-12) Wave C is probably in effect and might bottom early this week, so, a monthly upcycle that will probably fill the XAU's upside gap at 159.41 from 5-15 should soon begin. Wave B was a very brief one sessionish upcycle from Tuesday until Wednesday, see http://finance.yahoo.com/q/ta?t=5d&l=off&z=m&q=l&p=&a=m26-12-9%2Cp12%2Cfs%2Cw14&c=&s=%5Exau. ....... http://www.JoeFRocks.com/