Turning Goldman Sachs into Gold in Sacks

August 26, 2014 2:29 PM

Goldman Sachs has been called many things over the past 5 years. There has been a a lot of jealousy involved, but a lot of creativity as well. One of my favorites has been the Vampire Squid. But I have a new moniker for them. Gold in Sacks. And this Gold comes from the Dented Headed Cash Machine. A look at the chart of the stock price below may give you some clarity.


The price action since early 2010 has created an Inverse Head and Shoulders pattern. The Double Bottom at 90 created the Dented Head. The neckline, where the pattern triggers a buy, is the orange zone and a move over that carries a price objective to 270. That is a long way to go from a buy at 180. But there is also a smaller inverse head and shoulders pattern in the right shoulder of the bigger pattern. This one triggered on the break of 175 and carries a price objective to at least 197.50. That can keep you occupied in the short run as Goldman Sachs stock turns your money into a bunch of Gold in Sacks.

Get my book, Trading Options: Using Technical Analysis to Design Winning Options Trades.

Recommended for You