by Gavin M.
It happens so often now that nobody seems to care anymore. What is funnier is that we never really find out until a year or so from now. Why does it take that long we ask? In a world where electronics are so advanced you can timestamp everything, why is it so difficult to find the trader who instigated the selloff? Gold was continually dumped since 1200. This was not a shock. We kept telling Equity Sense clients that selling gold was a good play all the way to 1145. We did not expect however it would get pummeled so quickly below 1140. Tonight, we saw it drop almost $70 to 1080 before rebounding. The people dumping gold could possibly be the same group pumping oil. No matter how painful the fundamentals are for oil, it just keeps getting defended. One day it will also get a huge dump just like gold. But for now, this gold dump is a boon to physical buyers and consumers. When I say physical buyers, I mean the central banks. They can load up on this precious metal as their collateral or hedge at cheaper prices than what they were a few years ago. It really begs the question, are there still gold bugs out there? Peter Schiff, are you still breathing? Are you still around Marc Faber? Better yet, how is Paulson's gold fund doing? Not even Batman could take the shock....
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Multiple AuthorsTraders from Equity Sense will be writing on this blog on positions and other market-related things. Archives
May 2018
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