Loading ...Friday Night Re Flection Point
It’s 8:20 PM EDT ….the slowest time of the week here at the Tent.
But there are still a few regulars and irregulars who check in .
Check your camels at the door and bare your souls.
How has this week’s action in The Gold Family affect you ?
It’s not a poll….just answer in a comment.
Re Cap
Week Started at 1210
Dropped $50 to 1160
Closed off the Low at 1184 (half of the max loss recovered …quietly)
$26 down or 2% ( HUH …a mere 2% drop in gold feels like the end of the world ?)
It didn’t even drop at all in a lot of currencies and actually went Viral in Turkey this week .
How many there think Gold is a Barberic Relic tonight ?
Anhyow
Are we still holding the line ? Could be ! 1180 same spot we were at the crash bottom in 2013
Or was this just a low volume bounce in a train wreck similar to 2013 ?
One thing for sure…The Summer Doldrums are OVER
……………….
What about the HUI ( My Favorite index because it is actually Subtitled “Gold Bugs Index” …it’s OURS
Started at 160 and fell to 140 ( 20 points straight down)….thats 13%…and some components were off 20% or more)
IF you are just holding Phys or even GLD in a stock account …thats all you need to do to hedge against a Turkey in your neighborhood…put XX % of your net liquid wealth into a Gold instrument
Phy for the whackos ( like me)
GLD for the stock guys
Maybe one of those gold storage companies where you buy the phys and the actually allocate it to you.
Buy NO…we have to play the hotest speculative market sector …Mining Stocks…and even that isn’t enough JUICE for many of us we need a derivative of the miners which moves 3X faster and harder than the underling …so Those in NUGT and JNUG lost about 40% this week.
All this on a 25 Dollar drop in gold to strong support !
………………………….
Or is it ?
PS…while you are here vote at the poll
For me. Annoying as I haven’t had more Money in nother assets
My general stock investments ok. All in bonds as of last week
Gold. Me thinks the screaming piece of data is historic cot positions
Don’t know when. Or how far it will go But when the. Cover we will see
Move. I hope it’s a historic one. But not holding any expectations
Just sitting and waiting
Also can’t imagone rocks gold by down much more. So just waiting
Shaken but not stirred….yet
Fully…an instant poll:
What do you see from here to 6 months/1 year
1) A double bottom or an even lower low
2) The completation of the inverse H&S to a target at around 1600
I vote 1
Me too
When weighing the probabilities of what the future holds for Gold we should take a few minutes to review Rambus’ post, “Impulse moves in Currencies.”
Here it is as it appeared in the Market Oracle:
http://www.marketoracle.co.uk/Article62911.html
It means a soaring $USD. No question. So yeah, expect a lower low (in $USD) for gold. $900 is not an unreasonable guestimate. IMO your chart is a good depiction of what now has a high probability of unfolding.
Thanks for your thoughts Fully. Those historic COT positions will provide fuel for the rocket to propel PMs much higher. The question is when ? Your chart is clearly a possibility if there are enough sellers at this level. I’m not sure there are, but time (as always) will tell. Here in England the gold price chart still looks pretty good. I’m just holding my nerve at this point, but mentally prepared for $900 gold. It would be the buy of a lifetime at that price, but silver at $10 or less could be life changing within a few years. Every cloud has a silver lining 😉