Subject: Daly gold Blog

Today's COMEX Gold Closed $7.40 Lower ... ($1035.40).The day session was on the defensive once again as the U.S Dollar flexed its new found muscles keeping the Gold market trading negative. The Conference Board reported that U.S consumer had become more cautious... According to this it certainly appears to be some doubt about the economic recovery. The consumer price Index fell from 53.4 in September to 47.7 in October. The U.S Dollar rallied off the lack of consumer confidence as investors bought the greenback triggering a Gold sell-off. The Standard & Poor's/ Case-Shiller home price index of 20 major cities climbed 1%. China's economy grew 8.9% In the third quarter. The Chinese citizens are certainly increasing their wealth as well as their consumption of precious metals. The Government of China has been running advertisements on State owned Television encouraging their citizens to protect their new found wealth by purchasing Gold and silver as Hard Currency insurance policy. 50 years ago it was illegal for China's citizens to own Gold and punishable by jail time if found in their possession. What is even more amazing is the report from the WGC (World Gold Council) stating China may surpass India as the World's largest consumer of Gold.

REPORTS: 10/29/09

RETAIL SALES.............7:30 AM (CST)

GDP............................7:30 AM (CST)

JOBLESS CLAIMS.........7:30 AM (CST)

COMEX (DECEMBER GOLD) TRADED IN A $7.60 RANGE TODAY...

                           (MOSTLY DOWN)

THE FOLLOWING ARE MY SWING NUMBERS FOR 10/29

                           (DECEMBER GOLD)

RESISTANCE # 2...............$1047.00

RESISTANCE # 1...............$1039.00

PIVOT.............................. $1037.00

SUPPORT # 1..................  $1032.00

SUPPORT # 2..................  $1029.00

Mike Daly / Gold Specialist

PFG BEST