chart, page-3

yeh spot is so important atm because i think PRU is already priced @ a much higher spot price according to this chart.

ive been going on about this for a while but as spot moves approx 1% pru was will move 5% if you look at the spot Vs pru comparison, but as you see 5:1 is only a ruff avg and there are exceptions and this is one.

but im going to use the 5:1 for an example.

so now considering spots moved of a double bottom on the 31st Dec to today around approx 6% and pru has also move since 30th dec approx 50%, that would equate to a 8:1 relationship in pru vs spot.

which is by far the biggest ratio when you consider the up trends and down trends like i have.

if you assume the 5:1 rule in this case then as spot has moved only 6% then you need to assume a fair price is around (6x5=30) 30%.

if you then impose the 'fair' 30% value from the 30/31st dec on the pru chart you get .33 cents.

and whats interesting about the .33 cents on the pru chart is there is an open gap there which will act as a magnate.

.:. the need for a strong rally in gold is needed and is needed now as i feel pru is priced to far ahead and failing an upside pennant formation we may see the 33cent gap area as this pattern fails and price breaks down to full the gap.