I remember when Crude Oil was about to hit '200'...it was 'sure thing' too.
Who's looking to Short GOLD???
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I remember when Crude Oil was about to hit '200'...it was 'sure thing' too.
Technically Fundamental
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Did it hit $200?
The situation with gold is almost identical to oil last year.
Gold has been rising due to an inflation hedge, yet there is no inflation yet. It should come in a few years but now the momentum players have jumped on the bandwagon and the media have taken a hold. This is the point where all the retail players get involved and eventually get smoked.
China recently stated that they are diversifying into gold, but they have to do so carefully because they push up price. This has supported price but it depends how much they want.
Another ridiculous marker to be wary of is that the seventh largest holder of gold in the world, ahead of China and Switzerland is GLD! An ETF fund that is only 5 years old. This reeks of LTCM and the Hunt Brothers to me.
Anyone who wants to get short should take a look gold on its run to $147. It may help you decide on strategy.
Gold has been rising due to an inflation hedge, yet there is no inflation yet. It should come in a few years but now the momentum players have jumped on the bandwagon and the media have taken a hold. This is the point where all the retail players get involved and eventually get smoked.
China recently stated that they are diversifying into gold, but they have to do so carefully because they push up price. This has supported price but it depends how much they want.
Another ridiculous marker to be wary of is that the seventh largest holder of gold in the world, ahead of China and Switzerland is GLD! An ETF fund that is only 5 years old. This reeks of LTCM and the Hunt Brothers to me.
Anyone who wants to get short should take a look gold on its run to $147. It may help you decide on strategy.
The banker eyes are full of dollar signs as they spy the next opportunity to create a bubble, from which they can generate huge amounts of commission, whilst leading retail investors' portfolios to an untimely death! They will also task their investment arms with shorting the top. Business as usual in the grand casino!
Atilla
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Gold is highly speculative and who knows which way the wind will blow.
Recent incident with the Israelis hijacking a Russian shipment to Iran of suspected misile technology I reckon explains a large part of gold rising from 940 to 1000 in the couple of weeks the story unfolded.
Some of gold demand can be explained by consumer and production demand but nothing else can move gold like geopolitical tension...
I'd say just simply trade the technicals charts. Forget anything else as by the time you hear it - its hearsay...
Both countries tried to deny this originally. Interesting.
Israel admits Binyamin Netanyahu's secret trip to Moscow - Times Online
justtradin
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Now I am shorting gold...via puts
I expect a pullback here as the long gold boat seems awfully onesided
I expect a pullback here as the long gold boat seems awfully onesided
Atilla
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Gold is likely to test 1040-50 soon and if that level is breached next target level is 1200 according to my calculations ie 161% extension of previous rise from $700 to $1000.
On a FA perspective, the economy is responding to massive levels of liquidity injected into the economy. However, the real economy is not really producing anything as yet. Thus, inflationary pressures building up.
Because recovery is still very fragile political will to raise interest rates is likely to remain weak. In the absence of a response to inflationary pressures gold will surge ahead.
In the short time frames there will be pull backs but gold is on another bull run.
justtradin
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wage deflation pressure will help collapse gold...within 5 weeks
trader_dante
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When Natural Gas was on its way down from almost $14 it was due a "pullback" at $10.
It was definetly oversold at $9.
It was a surely a cinch at $7 after it had 50% of its value wiped out.
It looked very onesided when it was down at $6.
Even more so when it got down to $5.
Really overdone at $4
Surely the easiest buy in the world at $3?
Any takers down at $2.50?
trader_dante
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Markets can stay irrational far longer than you can stay solvent.
If you don't have many years experience trading, shorting Gold will give you a quick, valuable lesson.
In that regard, I highly advise shorting it.
justtradin
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My target in January was $2.50...so Iwill send out an alert when I go long Natty Gas.
trader_dante
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Nice one. Make sure you give us your stop too.
justtradin
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Fortunately, I have many years of experience.
justtradin
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You can count on me too.
montmorencyt2w
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FWIW, my very first highly unsuccessful trade was in gold! (In that case it happened to be volatility that wiped me out rather than direction, although the latter would probably have got me later). I've treated it with more respect ever since.
justtradin
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I like to prepare for volatility. I treat all with respect to begin with. It seems to lead to more and more rich experiences.
justtradin
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You are right about that downward movement should gold reverse its course. The most money I have made has come from being on the edge of death.Funny how that usually seems to be the case eh ?
