Does this indicate something ?

Discussion in 'Trading' started by taodr, Aug 29, 2003.

  1. taodr


    Gold is up $6+ is this indicating fund managers anticipate a stock selloff next week. Just spoke to a friend on order desk he said substantial orders coming in for gold stocks.
  2. Thank you for the heads up on Gold!
  3. trdrmac



    I was just wondering the same thing, although gold has been on a tear for several weeks. And industrial metals have been trending up most of the year as well. Maybe as simple as supply and demand?

    The market looks and feels really good right now. But I suppose it is a lot like a woman just before you get the "just friends" speech.

    Personally, I am having a really hard time reconciling what is going on in Iraq. Two major terrorist acts in the past week.
    It seems like things are getting more expensive by the day and the market keeps shrugging it off.
  4. Commerical hedgers are mostly short, retail is mostly long and gold will often put in a pretty good day on the lightest days of the year especially before a holiday. Today probably just the retail types buying and nobody is around to sell any to them although were overdue for a squeeze probably.

    The primary driver of gold prices lately (upward) in my opinion is the fact that the fed is adding to the money supply so rapildy and that has fueled the higher prices in just about all commodities.

    I don't know what gold is doing on percentage basis over the last few months compared to copper, zinc, or even coffee and coco, etc. but I bet it's closer to the back of the pack than the front.


    Love those gold stocks anyway though.

    To the moon!

  5. Due to the tremendous acceleration of the GLOBAL MONETARY BASE.

    Why do you think stocks have soared over the last 5 months?

    Also, some hedging "programs" are probably covering their futures shorts vs the physical metal that they own.

    Rock on!
  6. TGregg


    July money supply numbers are out, and Al has grown M1 by 6.8%, M2 by 8.1% and M3 by 8.6% over the past year.
  7. Careful boys.....for the last few years some body has gobble up Gold in anticipation and then it doesn't work out....could be nothing more then a hiccup....
  8. My fund friends say it is supply and deman play not doom and gloom hedge.
  9. ramora


    Look at the dollar instead of equities to explain the movement in gold. Money is moving out of the dollar into gold. (IMVHO)

    I think this is only a correction and longer term the dollar is a better bet than the euro looking at the Euro economies.

    I don't predict the markets, but will reduce my trade horizons to very short term.

    Looking forward to next week!

    Good Trading!