In yesterday’s newsletter (February 7, 2012), we stated that “an undercut of the 20-day EMA could provide a possible buy entry point for IAU”. However, it appears that IAU may have completed the pullback with an undercut of the 10-day MA. As we have discussed in the past, if an ETF enters a strong trend, quite often the 10-day will serve as support for an extended period of time. Tuesday’s reversal in IAU has now provided us with a trigger to enter the trade. A move above the three day high of $17.07 may provide a buying opportunity in this ETF. We are placing IAU on the watchlist. Trade details are available to our clients in the watchlist section of the newsletter.