40 replies to this topic

[fib_1618]

--- as you watch gold crater under 1600....

Do you have a target number "IF" it closes weekly below 1629.50 ?

One idea I've been playing with for a couple of months now.

Fib

https://stockcharts.com/c-sc/sc?s=$GOLD&p=D&st=2011-04-30&en=(today)&i=p95416321194&a=287940869&r=1357307561600.png

[ogm]

you watch gold crater under 1600....

I don't think it will..but if it does I will just lap it up....Buffet style...

Buffet wouldn't be caught dead buying gold.

[SemiBizz]

--- as you watch gold crater under 1600....

Do you have a target number "IF" it closes weekly below 1629.50 ?

Thanks,
mss

Well, I wouldn't put anything conditional on a close today under 1629.50, this was a short holiday week.

Right here I see some hourly profit taking by the shorts...

Possible broadening top though.

Stay tuned, could get very interesting.

[ogm]

Lets see.... European crisis... did nothing for gold price. It was actually the top. Central banks all over the world going nuts last year... did nothing for gold price. And now any improvement in economy is BAD for gold price, because central banks may pull back. You get no income, no other internal growth. Limited industrial demand. Plenty of production. We can argue oil price going up or down, but oil at least is a widely used industrial commodity. Gold is .. bleh.. jewelry. So whats the attraction aside from some apocalyptic cult ?

Edited by ogm, 04 January 2013 - 09:13 AM.

[SemiBizz]

FWIW, I don't consider gold the primary instrument on this flight. It's the $Yen. That's the one you have to figure out. Everything else will fall in line.

[andiron]

shorts run run...for you have little time left

[fib_1618]

European crisis... did nothing for gold price.

Correct...as this monetary bypass was/is used to pump up balance sheets when emergencies take place - just like a savings account.

And now any improvement in economy is BAD for gold price

Correct again...as the monetary spigot is slowly turned off (rising interest rates) thereby reducing the flow into this same savings arena.

So whats the attraction aside from some apocalyptic cult ?

It's where money flows to when all other asset classes are fairly valued.

And why...it's an indicator of impending inflation as opposed to rising as inflation actually makes it appearance.

In other words, as gold moves lower, the monetary base is deflating.

Fib

[ogm]

So... improving economy = bad for gold. And if we get austerity, like adrion thinks, its deflationary = bad for gold. So whats good for gold ?

[RagingSpartan]

European crisis... did nothing for gold price.

Correct...as this monetary bypass was/is used to pump up balance sheets when emergencies take place - just like a savings account.

And now any improvement in economy is BAD for gold price

Correct again...as the monetary spigot is slowly turned off (rising interest rates) thereby reducing the flow into this same savings arena.

So whats the attraction aside from some apocalyptic cult ?

It's where money flows to when all other asset classes are fairly valued.

And why...it's an indicator of impending inflation as opposed to rising as inflation actually makes it appearance.

In other words, as gold moves lower, the monetary base is deflating.

Fib

I agree Fib. I've posted this chart before. The monetary base has been contracting even though we've had a QE3 and QE4 announcement. Gold is coming back to reality here.

http://research.stlo.../usfd/page3.pdf

[andiron]

Gold is not a US centric instrument...it is a global financial instrument, folks... we still have Draghi's OMT on the cards ....

Edited by andiron, 04 January 2013 - 09:36 AM.