The information contained herein is derived from sources believed to be reliable, but of which we have not independently verified. CenturyFinancial Brokers L.L.C. (CFB) assumes no responsibility for errors, inaccuracies or commissions in these materials, nor shall it be liable for damages arising out of any person's reliance upon this information. DISCLAIMER: This overview can be used only for informational purposes. CFB is not responsible for any losses arising from any investment based on any recommendation, forecast or other information herein contained.

Current Market Price 1323

Target 1 1275

Target 2 1255

Recommendation Sell Below 1380

Gold

October 8, 2013

Outlook and Performance

Gold

The information contained herein is derived from sources believed to be reliable, but of which we have not independently verified. CenturyFinancial Brokers L.L.C. (CFB) assumes no responsibility for errors, inaccuracies or commissions in these materials, nor shall it be liable for damages arising out of any person's reliance upon this information. DISCLAIMER: This overview can be used only for informational purposes. CFB is not responsible for any losses arising from any investment based on any recommendation, forecast or other information herein contained.

Performance & Outlook

Gold plunged on the last day of the month to trade at 1293.80 after the US government was closed due to political antics.

US lawmakers were unable to come to terms on the debt ceiling or the budget which forced government agencies to

begin closing at midnight Oct 1, 2013. Gold sank nearly 3 percent to its lowest level in almost two months as an unusually

large trade in the New York futures market rattled investors already edgy over a partial shutdown of the U.S.

government. Bullion fell abruptly in early U.S. trading as a massive Comex sell order appeared to overwhelm the market,

sending prices $25 an ounce lower and triggering further technical stop-loss selling below $1,300.

The decline appeared to be specific to gold, with the dollar little changed and U.S. equities rising almost 1 percent in a

show of some resilience amid the government shutdown. Bullion posted a 7.6 percent gain for the third quarter, the first

quarterly rise in a year, rebounding from a record 23 percent plunge in the second quarter. It is still down some 23

percent on the year after a two-day $225 drop in April.

Some investors had anticipated gold prices would rally further on uncertainty related to the government shutdown, as a

prolonged closure could derail the U.S. economy’s tentative recovery.

Gold spent the month bouncing around on Fed decisions and speeches and on safe haven traders with Syria pushing the

US to war. All of these issues are behind the markets and the US shutdown will remain the controlling factor which should

be resolved this week and then markets will closely look at FOMC minutes due next week.

Technical Analysis

After a two month surge from $1179.80 to $1434.00, nearby gold futures weakened in September, setting up the market

for further downside action this month. The market also posted an inside move, indicating impending volatility. Based on

the previously mentioned short-term range, traders should look for a test of a pivot price at $1280.

This price is likely to control the short-term direction of the market throughout the month. Since the market closed near

its low, look for an immediate test of this pivot price to set the tone for the market early in the month.