Gold getting KILLED!!!!

[jpatter666]

Re: Gold getting KILLED!!!!!

Indeed. Consumer sentiment plunges, TIC flows very bad -- did not EJ say he expected that to occur?

I am surprised gold is declining with all the noise the FED is making about QE II.

Looking at gold and silver buckets.....this keeps up I may get some LEAPS for fun.

[jk]

Re: Gold getting KILLED!!!!!

it's worth noting that when this thread was established, when gold was getting "killed" exactly one year ago, in july '09, it was $950. i.e. it was about 20% lower than it is while it is being "killed" now, a year later. i can only hope that it keeps getting killed like this.

[snakela]

Re: Gold getting KILLED!!!!!

ya, I think we're wondering when to load up on more. I almost blew half my savings account on one last purchase last week. Glad I waited. Now to determine where I should put my buy point. $990 possible this summer you think?

[thriftyandboringinohio]

Re: Gold getting KILLED!!!!!

it's worth noting that when this thread was established, when gold was getting "killed" exactly one year ago, in july '09, it was $950. i.e. it was about 20% lower than it is while it is being "killed" now, a year later. i can only hope that it keeps getting killed like this.

Good point jk, that's why I like bumping this one up, to keep the context.
Plus it's my all-time favorite Mega thread title.

And to jpatter666's points, I too am thinking strongly about buying a substantial physical position in silver.
So far I have only physical gold (in any substantial amount) but it may be time to add silver.

[Ben]

Re: Gold getting KILLED!!!!!

Getting double killed here due to recent pound strength.

Ouch.

[ViC78]

Re: Gold getting KILLED!!!!!

Is it dead yet?? Looks like EJ's world cup gold prediction is coming true

GLD	113.22	-2.30 (-1.99%)
GTU	45.05	-1.24 (-2.68%)

[thriftyandboringinohio]

Re: Gold getting KILLED!!!!!

Gold now at $1160, more than 8% off it's peak of 1261.

[jpatter666]

Re: Gold getting KILLED!!!!!

Is it dead yet?? Looks like EJ's world cup gold prediction is coming true

Perhaps. But not yet!

I think gold is falling for three reasons.
1 ) No (current) swans. I agree with the thinking that gold is at its insurance best for *political/financial* instability. For inflation, per se, gold does well, but it's at it's best when people are worried about the financial structure.
2 ) Deflation rumors. Yeah, yeah, I'll be shot by the iTulip police (why, *hello* Metalman! ;-) ) for mentioning it but the simple fact is that discussion of deflation is *rampant* in the mainstream news/investment letters. It may all be nonsense in the end, but this is going to have some indeterminate effect on the investing sheeple. For what's it's worth, I hope EJ is right on this one, because if not, it'll be a first-class mis-read.
3 ) Profit taking. It's going to be a long slow road for awhile of highs and lows. For serious traders willing to take some risk, it's a chance to average down your gold price. Why not?

[ViC78]

Re: Gold getting KILLED!!!!!

For serious traders willing to take some risk, it's a chance to average down your gold price. Why not?

Isn't one of the rules of trading that you should never average down?

Another curious phenomenon is that gold and the dollar are weakening at the same time. Anybody has an explanation for this?

[WildspitzE]

Re: Gold getting KILLED!!!!!

It's also options expiry (and roll over week for those not taking delivery). Look at the price action on every expiry over the last year. All sorts of games take place during these times...

[jpatter666]

Re: Gold getting KILLED!!!!!

Isn't one of the rules of trading that you should never average down?

Another curious phenomenon is that gold and the dollar are weakening at the same time. Anybody has an explanation for this?

Sorry, bad wording. What I meant was some traders sold near the highs (based on technical analysis usually) and will re-buy when the price is lower, thus giving them a lower overall entry price. I've done this myself a few times with my trading gold.

[dummass]

Re: Gold getting KILLED!!!!!

some traders sold near the highs (based on technical analysis usually) and will re-buy when the price is lower

The question I have now is when to buy back in; is the price low enough yet?

[thriftyandboringinohio]

Re: Gold getting KILLED!!!!!

Here's an interesting report from Citi on Gold, dated 7/27/10. It has some pretty low numbers as possibilities.

[Adeptus]

Re: Gold getting KILLED!!!!!

It's also options expiry (and roll over week for those not taking delivery). Look at the price action on every expiry over the last year. All sorts of games take place during these times...

Here's more details on that:
http://jessescrossroadscafe.blogspot...d-awe-for.html

Could somebody who has (far) more time than I, co-relate the previous 2010/2009 options expiry dates and contract volumes to the price of gold, and provide a brief conclusion as to whether this is typical (price dropping prior to options expiring), or just coincidence this time around? Also it would be nice to understand if price jumps briefly after such supposed manipulated take downs - if so, that would highlight for us that this could (or not) be a buying opportunity.

Thanks! )
Adeptus

[iyamwutiam]

Re: Gold getting KILLED!!!!

Gold always get killed when the cabal senses a crisis in confidence by the general public. It MUST be done so as t prevent a stampede and force them (via concerted efforts) to go back into equities . Who does this benefit -the same puppet masters who know their market value is exaggerated and deluded beyond compare.

Banks are only one of the nefarious actors -careful analysis will show that blue chippers have a vested interest in keeping their cost of capital low by 'guiding' unwitting investors to increase their 'market cap'.

Most of the sheeple let intermediaries make their decision and then there are large hostage funds protected by 'law' (for example pension funds/ money markets) - that have a vested interest in ensuring the flight to paper quality.