Gold Price - Where is it heading?

[explod]

Could be time to dust the cover of this thread. Gold put in a big uptick overnight and in my view looks set for a run towards US$1200 in the next week or so. Trader Dan Norcini's brief makes some good points on gold's currency role as distinct from a commodity, the link http://jsmineset.com/

and this para in particular:-

I want to repeat for what seems like the umpteenth time – those Elliot Wavers who keep calling for gold’s demise are misguided because their view of the metal is too “Dollar-priced” centered. This is the fatal flaw in their “analysis” and their incessant bearish gold calls. They treat the metal as if it was a common commodity not understanding its role as a CURRENCY. Any analysis that does not grasp this simple fact is doomed to failure for we are not talking about soybeans here or cocoa but a metal that has had an historic role as a currency and a store of value for thousands of years. The failure to see the price of gold in various other currency terms leads to erroneous conclusions. Any market that is going on to make all new lifetime highs is not bearish. It really is that simple and arguments to the contrary are based more on hope and wishing than solid, objective analysis.

 

[iced earth]

GOLD-27 April 2010

Bullish Head&Shoulders with goal around $ 1230

 

[Uncle Festivus]

Could be time to dust the cover of this thread. Gold put in a big uptick overnight and in my view looks set for a run towards US$1200 in the next week or so. Trader Dan Norcini's brief makes some good points on gold's currency role as distinct from a commodity, the link http://jsmineset.com/

and this para in particular:-

It could be time comrade's? The movement is there now for appreciation in the $AU as that nasty four letter word - DEBT - finally goes berko globally, and the brightest financial minds in the world stare blankly, like stunned deers in the headlights, when asked for the latest explanation on why it's all going pear shaped.

All the Oliver Twist (Please sir, can we have some more bond money?) governments around the world who are finding out that Keynes was wrong! Only it looks like their constituents will be the ones who end up in the poor house begging for food?

I expected the 'flight to quality' to the $USD would be on in earnest and the negative correlation with gold would drive it down a bit, but maybe we are just bypassing that stage and the real flight to quality gold is now starting en masse?

 

[Edwood]

need to be wary of the ending diagonal tho for the moment chaps..... don't want to load up too hard at this point imo

 

[skyQuake]

need to be wary of the ending diagonal tho for the moment chaps..... don't want to load up too hard at this point imo

Agree, fairly quick reversal there. Gold equities couldnt hold on earlier too

 

[MRC & Co]

Long gold/financials right now.

 

[Whiskers]

Interesting, Aus gold price increase starting to well exceed USD price. 1305AUD and 1182USD atm.

 

[qldfrog]

well the USD price was catching up after the carnage in Wall Street: above 1200USD at the moment!!

 

[iced earth]

GOLD-7 May 2010

as predicted on 27 April( https://www.aussiestockforums.com/forums/showpost.php?p=551437&postcount=7596 ) , Bullish Head&Shoulders with goal around $ 1230 is completing

 

[Uncle Festivus]

Some interesting charts!

Gold up, USD up - which will blink first?

 

[MRC & Co]

Interesting, Aus gold price increase starting to well exceed USD price. 1305AUD and 1182USD atm.

Obviously, with gold now a 'risk-off' trade again, and AUD a 'risk-on' they are negatively correlated. Hence, the breakdown.

 

[Whiskers]

Obviously, with gold now a 'risk-off' trade again, and AUD a 'risk-on' they are negatively correlated. Hence, the breakdown.

Yep, that's what I was alluding too... but it kicked in a tad faster than I was expecting.

well the USD price was catching up after the carnage in Wall Street: above 1200USD at the moment!!

Not really, the AUD price still increased at a faster rate.

Some interesting charts!

Gold up, USD up - which will blink first?

I don't think there will be much blinking very soon.

 

[MRC & Co]

Yep, that's what I was alluding too... but it kicked in a tad faster than I was expecting.

They had been negatively correlated for over 10 days before I posted my comment on the previous page......

 

[GumbyLearner]

Awesome news.

http://www.expressindia.com/latest-news/Gold-buying-by-Hindus-may-fall/616347/

I'll wait for the price drop and buy more.

 

[Whiskers]

They had been negatively correlated for over 10 days before I posted my comment on the previous page......

Yeah, what I meant was...

Yep, that's what I was alluding too... but it (the price action, especially the AUD) kicked in a tad faster than I was expecting.

 

[Ageo]

Just quietly has anyone checked the spreads on physical?

Hehe to say they are worried about volatility is an understatement.

 

[Uncle Festivus]

Just quietly has anyone checked the spreads on physical?

Hehe to say they are worried about volatility is an understatement.

Um, what would they be?? Backwardation yet??

 

[Ageo]

Um, what would they be?? Backwardation yet??

Some bullion houses were charging $50 (i.e gold price is 1350 and they are charging $1400). The buyback prices were even worse. And dont be fooled what some of them advertise on their website to what they quote you can be different.

Anywayz it seems mixed atm, the refiners think there is going to be a big move still to come but unsure which way. The greece debacle is pushing for a positive move thow.

 

[explod]

Gold for the first time in history has now consolidated at the high level of around the US$1.200 mark and is now set to go very much higher in all currencies.

This week could be it.

All of this is just my very humble opinion with no basis in the reality of mainstream (expansional) economics. Money is trash.

 

[Logique]

My only stock holding atm is a mid-tier Australian gold explorer/producer. Technically I like the look of where the gold price is going, especially given sovereign risk in europe and world currencies volatility.

Not too worried about the unusual situation of $USD co-incident strength - to me it just re-inforces the fact of uncertainty-currency risk and flight to safety -that will play into gold bugs hands, and for a little while to come.