Gold price up +$35 and DOW crashing

Discussion in 'Trading' started by HongMeng, Aug 23, 2019.

  1. HongMeng

    HongMeng

    Now Gold price is $1528/ounce (up +$35) and Silver price up +2.60%.

    DOW Jones keeps crashing -500 to -700 points in a day. What is going on ??
     
  2. Overnight

    Overnight

    Trump is having a spat over a non-existent issue with China. Go to google and type in "news". Click enter. Read.
     
  3. The markets are looking at stagnation in the next few years, the Fed's hands going to be tied down given rising inflation with the trade war would imply a hawkish stance, that's why a lot of hedge funds are shifting their assets into inflation trackers like gold. From the looks of it's going to be a blood bath next week, unless there is some positive trade news...Trump is not going to get his 100 basis points, more like the fed is going to have to guard against rising prices...
     
    beginner66 likes this.
  4. trader99

    trader99

    I wouldn't call that a crash. Dow is down -2.37%. That ain't nuttin.

    But yes, you could make nice money shorting or going long at appropriate times.

    A crash to me has to be at least 10%-20% like Oct 1987. I was only a kid then but from reading of events at that time it was pretty serious.

    At today's level that would be a 2500 to 5000 points down on the Dow before I would consider a crash.

    Stay cool.
     
  5. Overnight

    Overnight

    Well, Q4 2018 was basically 20%. 4500 points or so? We're about ~1800 points from the recent ATH? Not much longer to go until we get 20%
     
  6. DOW crashing

    LOL. So easy to spot people who only started watching stocks after 2009.
     
    nooby_mcnoob likes this.
  7. trader99

    trader99

    We are talking about DIFFERENT timescale. Q4 2018 was down 20% for the QUARTER.

    Oct 19, 1987 CRASH was down 20% for the DAY!

    Big difference.

    These 2-3% daily moves is what's supposed to happen in normal markets until Central Banks suppress volatility all these years(since 2009) with their freakin' money printing and vol selling.

    Let the market decide. Geez. Free Market!
     
    Last edited: Aug 23, 2019
    MACD and Clubber Lang like this.
  8. Overnight

    Overnight

    Ahh, true that.
     
  9. Overnight

    Overnight

    It would be laughable if we get a market-wide circuit breaker during Trump's tenure. He would have to fire himself I guess.
     
  10. trader99

    trader99

    I don't trade GC anymore then it blasts up! That's fine. I've been burnt in the past with GC that I stayed away from it. I made money elsewhere.
     
    #10     Aug 23, 2019