excellent price to add more shorts in fact it bounced of daily high today witch was 1185
Predicted Daily price Range for Gold :
high:1185.47
Low :1158.19
Lots of action today!!!
Wow! Was not expecting this! This is nuts!
When No Reason Finds Real Reasons
The bulls took command today, as the moment of truth about the direction of gold came to hand after a long, slow holiday in the U.S. Part of the bullish momentum was provided by a faltering equities market, although those recovered somewhat in the late-afternoon.
NASDAQ was the biggest loser, but strangely, given the rise in gold, the DOW is only down a third of a percent and the S&P down only by 0.75%.
Additionally, the dollar is softer, but only by a very slim margin against the euro. Throwing us into further confounding waters, the 10-year bond yield, which had been down to 2.15%, has recovered modestly.
The simplest way to describe the action in gold is to say there was strong short covering, but that isnât quite enough. We feel the market had been oversold earlier in November only modestly, but by the monthâs end â especially because of the conflicting messages thrown off by the Swiss gold referendum, which failed â the price of the yellow metal became truly depressed, and, although it seems funny to say, traders became depressed, too.
Finally, low levels were reached that triggered automatic contract buying. And it worked.
There were a couple of other pieces of news affecting gold today, some of serious longer-term import.
Moodyâs cut Japanâs bond rating and that sent money scurrying into safe havens. This occurred while we are all still uncertain of Europeâs economic growth status, headed by the core three, Germany, France and Italy. As they go, so goes the euro-zone. The news today in Europe said those three economies contracted last month.
On top of that, two key manufacturing growth gauges in China were very weak, although expansion did continue. Those readings were disappointing to markets.
Black Friday sales were off 11% from last year, which also had an effect on stocks and haven demand. However, that effect will be short lived. Black Friday has slowly been turning into Black November, a whole month of sales, promotions and nattering from your favorite media source. In other words, the specific day â Friday â is no longer as important in consumersâ approach to finding bargains.
Finally, Citibank issued an assessment today that said they expect the average price of gold in 2015 to be $1220. We touched that average today and are trading only $7 to $8 off it.
Wishing you as always, good trading,
About Face
Gold pulled back today in the face of stronger equities, a solid rise in the dollar and new weakness in oil. It is a good time to remind ourselves, though, that gold is up 2-1/4% in the last month. Weâre going to have to ascertain where our trends lie for the remainder of the year and into the New Year.
Stocks were up on the power of new car sales. U.S. automobile sales rose 4.6 percent in November to 1.3 million, Auto data reported, with the auto sales rate coming to 17.2 million last month, the strongest pace for the month since 2003. The strong sales reflect, despite some shakiness in consumer confidence that the American economy is hitting on all cylinders, the recovery remaining broad-based and modestly deep.
This notion was reinforced by construction spending, which was up 1.1% on the month. The key to the robustness of that number is that spending seems to have shifted away from home building to larger projects like office buildings, factories, hospitals and schools.
Itâs quite natural that the dollar would find muscle in these numbers. The dollar is at a 4-1/2 year high. Certainly that is helping to pressure all commodities, but gold and oil, in particular are suffering price volatility.
While we should be happy as consumers that the prices of oil and gasoline are falling, we need to remain aware that the oil industry accounts for 30% of all capital construction and equipment in the U.S. Will that be transferred elsewhere? A good question.
Some are saying that the price dip we saw today in gold is a âcorrective pullback.â We feel gold is returning to its natural course in a booming economy. Whether Europe, Asia, and the second-world economies like Brazil, Russia, India and South Africa make up the slack by buying remains to be seen.
Wishing you as always, good trading,
- See more at: About Face | The Gold Forecast
Another Reversal
Unusually, gold took its cues from a powering-up U.S. economy. This at first seems counterintuitive.
On second glance, though, with other economies struggling, a fundamental inclination toward haven buying is in place. We should also be aware that, to many in Europe and Asia, the U.S. equities appear oversold. Thus, though not robust, there was more gain than loss in European and Asian stocks, but much of that buying was due to bargain hunting and opportunism as opposed to the New York exchanges, which are seeing ânaturalâ bullishness.
Gold, too, felt the push of short covering, many feeling that yesterdayâs minor sell off was, even at its modest level, too much.
On the other side, due to the good news issuing from the American economy, the dollar rose and that nicked some of goldâs strength today. The dollar seems to grow more powerful by the moment. We are wondering, though, if a correction in reaction to the rampant speculation is due soon.
A note of warning on todayâs equities rise. There is a lot of book balancing as the year moves toward a close and some traders will dump one stock and buy another to show better performance on their ledgers. Also, many of the dayâs biggest movers on Wall Street were infrastructure related. The drumbeat for investment in that area has been growing. President Obama added his strong opinion to the drumming today.
As confounding as goldâs noteworthy move today was, the split personality in oil is even more bewildering. WTI crude was up not quite 0.75%, but Brent was down about the same. The differential between the two prices on trade is narrowing. We may be looking at a new normal with oil, in general, but certainly on that price convergence.
As if to underscore the point, the price of gasoline in Oklahoma City fell below $2.00 per gallon today. This is not the kind of Christmas gift Comrade Putin was looking for.
- See more at: Another Reversal | The Gold Forecast
interesting video i came across , anyway Sunday when gold opened it really threw me off was not expecting that much volatility i ended up selling a large position didnât have a stop or a pending order to hedge ended up taking a bit of a loss but my strategy for next week looking to buy gold @ 1183 tp 1227.91-1230.00 and looking to sell gold around 1227-1230.One of my favorite quotes:The only thing to do when a person is wrong is to be right, by ceasing to be wrong. Cut your losses quickly, without hesitation. Donât waste time. When a stock moves below a mental-stop, sell it immediately.-Jesse Livermore.,
Predicted Weekly price Range for Gold :
high:1227.91
Low :1149.56
Predicted Daily price Range for Gold :
high:1204.41
Low :1183.04
buy limit @ 1183
Long gold @ 1204 tp 1230
Predicted Daily price Range for Gold :
high:1212.09
Low :1190.26
Watch the market leaders, the stocks that have led the charge upward in a bull market. That is where the action is and where the money is to be made. As the leaders go, so goes the entire market. If you cannot make money in the leaders, you are not going to make money in the stock market. Watching the leaders keeps your universe of stocks limited, focused, and more easily controlled.
Failure to take advantage of a serendipitous act of good luck in the stock market is often a mistake.
All through time, people have basically acted and reacted the same way in the market as a result of: greed, fear, ignorance, and hope. That is why the numerical formations and patterns recur on a constant basis.- Jesse livermore,
My long hit TP I shorted @ weekly high 1227 tp 1206
Shelter From The Storm
The half- and quart-point losses on the Dow and S&P 500 look positively like a day at the beach compared to the rest of the worldâs exchanges. And the modest rise on the NASDAQ seems like Thanksgiving, Christmas and Fourth of July rolled into one.
European indices were down anywhere between 2 and 2.5%, but the real shellacking took place in Asia early today where Shanghai was down 5.3% after having been down 6% early on.
Gold seems to have burst to the fore on the Asian flight from risk. Gold is behaving in relation to the stock markets just the way it ought to. When sledding gets rough, head for the safe haven play.
A weaker dollar market is beginning to experience a bearish tone that seems to be overtaking the greenback, helping also to push gold higher.
Oil was rebounded a touch today, finding its feet on assessments that it is oversold and there is money to be made â at least in the short term â on buying dips. But it is in a scary place now. We may see $55 before you know it.
A number of other fundamental forces are at work. One by one, the peripheral energy producers â Russia among them â are feeling the pinch of the fall in prices. Venezuela is already rushing into a whirlpool (Of course, what could one expect with gasoline at 4 cents a gallon?) But Russia and the central Asian republics formerly in the Soviet Union are key, even if minor, players in the worldâs overall economy.
This is a tough call, but we also think that the release of todayâs Senate torture report doesnât help stability worldwide. It casts doubt on the integrity of the United States and how its government functions. No one wants the worldâs largest economy in turmoil, nor does anyone want it attacked again.
Letâs turn one more time to safe havens and Asiaâs problems. China is finally admitting to the world that its economy is slowing. They officially claim growth will be 7%, but more realistically it is at 5%. This is due to a decline in both exports and imports. There is still a credit crunch in China and it is about to get worse â much worse. Bank reserves requirements are going to be raised and that doesnât spell good news for business or the consumer.
It is probably coincidence, but an interesting one, that China is allowing more gold to be imported. Hmmm
Wishing you as always, good trading,
- See more at: Shelter From The Storm | The Gold Forecast
Predicted Daily price Range for Gold :
high:1246.39
Low :1207.54
tp for short @1207 as well as buylimit @1207