Today’s Gold market broke through the $1170.00 support level and traded its lowest level ($1156.90) on the Globex exchange since May 5th. The market lost early gains as U.S economic reports favored the U.S dollar and fueled the sell-off in the precious metals. Gold has lost over $100 per ounce since it made its all – time high of $1266.50 on June 21st ,2010. The volatility and resiliency have been truly amazing considering all of the Gold negative news released over the past few weeks…..

The Consumer Confidence Index declined further in July and now stands at 50.4. This indicates that consumers are growing less optimistic in regards to the economy primarily due to HIGH unemployment and foreclosure data. Also Home prices rose for the second straight month. Both of these reports favored the U.S Dollar over the Gold.

During this recent sell-off from $1266.50 the market has filled in almost all of its “technical pockets” and may actually be reaching oversold levels…. Time will tell..as they say “the market is always right”.

REPORTS: 7/28

Durable Goods…….7:30 am (CST) My Swing Numbers 7/28….AUGUST GOLD RESISTANCE # 2…………………$1196.00 RESISTANCE # 1…………………$1177.00 PIVOT ………………………………$1167.00 SUPPORT # 1…………………….$1148.00 SUPPORT # 2…………………….$1137.00

Mike Daly / Gold Specialist PFG BEST mdaly@pfgbest.com 877-294-4669 312-563-8029

*THERE IS EXTREME RISK TRADING FUTURES, OPTIONS, and FOREX*