Sometimes, important technical patterns are easy to miss. A small bar near the extreme of a recent thrust (near the extreme means near the low of a downthrust or the high of an upthrust) can often function as a small consolidation. It is possible to initiate shorts on a breakdown out of this pattern, but such a move may take 2-3 days to develop. I have written about this potential short in Gold extensively, both in my research for Waverly Advisors and in a few notes on this blog. This is an example of a very small, tight consolidation that can provide a favorable entry into a move that is already underway. (Of course, consider the possibilities for pattern failure and plan accordingly.)
