Timely trade info on GOLD GLD XAU/USD

Discussion in 'Commodity Futures' started by ZaRockNRolla, Apr 2, 2013.

  1. Elite Traders;

    I'm facing somewhat of a dilemma that I haven't quite been satisfied with what conclusions I've come to personally.

    Could some of you provide a little perspective, thanks...


    Friday Morning, Gold drifting on minimal market participation - I aggressively turn my attention to timing my short on crude.

    Friday Noon, Crude Short $97.18 - $96.10 close.. everything swell, time for a good lunch and maybe some tennis..

    Five minutes later, I turn to my XAU/USD chart.....(if you can't know the rest of this story you shouldn't be reading this far)


    ... WHat on earth is going on here?

    Headline risk from US data, possibly, but most of the data was non-supportive...

    USD appreciation as flight to safety on political tensions, this should have the complete reverse reaction to the metal..

    ----

    Although not diligently following it throughout the day, a quick check with my resources brought up no reason for worry..

    I go long.

    $1583 (Lightly)

    $1582 (Lightly)

    $1580 (Three Rapid Dips from $1582, 3x Buy Heavily)

    ...

    But of course no $20 decline in XAU for no tangible reason should go unfinished without a $5-10 southward drift.

    More long positions.

    $1578 (Lightly)

    $1578 (Lightly)

    $1574.xx (Semi-Heavy)

    ----


    I'm now quite heavily laden on Gold positions, which I can't seem to pass off as a bad trade. Today's price action was without suitable underlying issues, and a re-tracement is in order (my personal analysis).

    Am I missing something here? Does anyone know some particular reasons gold behaved like this and what could be behind the action?

    Within the next 3 hours, if my final conclusion is positive. I will add 2 - 3 large positions to carry over to tomorrow.

    If, however, I conclude negative sentiment, I will unload 25% of my positions, hard-stop the remainder @ $1573 and write them off as loss, hoping for a turnaround tomorrow.

    Any thoughts are much appreciated