GoldFixPM: Futures up $100 (Recap)
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Housekeeping: This is the PM GoldFix post combining AM emails with additional intraday posts.
Contents
Morning Rundown:
Macro-Economics/Commodities:
Geopolitics/Elections:
Founders:
GOLDFIX Intraday Chat
Market Recap as warranted
Morning Rundown:
Macro-Economics/Commodities:
Geopolitics/Elections:
n/a
Founders:
GOLDFIX Intraday Chat:
Community comments and insights…
Market Recap:
Impressive, almost insanely positive day. Not only did the market undo the selling from the highest level , it went above it . That would imply the macro shorts are out and now getting long. Given that they were the sellers above before , and are no longer there, it just might be that there's no roof on this for the next $100 or so. Too early to tell obviously.
More impressive were the miners. Gold juniors outperformed. We're pretty sure that the banks are buying minors hand over fist on dips now and won't recommend them until they've gotten their fill.
Not much more to say except, maybe we should start getting used to this. Increased volatility, sharp dips, short-lived. Miners participating in the rally. Hundred dollar rallies being the new cap.
As the silver it continues to be sold by people buying gold. Keep doing it until something happens to punish them. In a momentum gold-silver trade era now. Until we get good economic news silver will lag gold. Crowded trades just get more crowded as long as these funds are making money. As a silver person, it's quite possible that the Goldman recommendation could be the beginning of the end of this trade. We shall see.
Tomorrow is Fomc Day. We will have an overview tomorrow. To say everyone thinks nothing will happen not many have a strong opinion on the tone coming out of the meeting. There will always be nuances to obsess about, but it seems that Fed chair Powell is now of the opinion the market should wear itself out with volatility. Especially if it gives discomfort to Trump's approach. That being said what can you expect him to do given the violently mixed economic data and the negotiating style of the president. Even so, we know truly know that Powell’s position is compromised politically. More on that another time.
Today's chart has Poly trends levels on it. Gold just breached another key level at approximately 3424. Above that we get that $100 that I'm describing. Any day that trades above it and then goes back into it I should expect another flagging or bearish formation in the short term.
Good Night
we should all make note at what the Gold/Silver ratio was the day Goldman came out with recommendation
Looks like someone in Asia is trying to paint a double top in the daily closes...too bad we're not meeting this weekend as I would make the popcorn!