Gold

[POSSUM THE CAT]

Skoll I have yet to find a mall in Auckland that you can not change any gold into NZ Dollars

[elZorro]

Right about now I'd be feeling really smart if I'd bought some gold bars when they were $300/oz. That chart from Skol's article (Skol as in the beer, right?) is out of date. Has the Chinese per capita income kept up with the gold price? And we should also see what the per capita income is for some of the Western World. Higher but dropping perhaps. The great averaging out that must happen eventually.

http://en.wikipedia.org/wiki/List_of...al)_per_capita http://en.wikipedia.org/wiki/File:GD...a_2009_IMF.png

China doing better than India, that would be the caste system holding them back. NZ doing a lot better than China in terms of income. NZ not that far behind the top countries, Aussie doing well on the list.

More links in China's GDP and Leading Indicator with Europe and Australia.

[Skol]

Skoll I have yet to find a mall in Auckland that you can not change any gold into NZ Dollars

Where, what shop?

[drillfix]

Well,
As I type this post Gold is sitting at $1,740, so for Jim to be right, gold must first breakout past the intermediate resistance level on the daily chart of say $1,750

On the weekly chart it appears that it wants to retest the $1,695 level again to potentially carry onward.

Both the daily and weekly RSI levels remain strong just above 50 midpoint, and the daily EMA's could all become lined up for gold to continue its uptrend, however this already is shown in the medium term to be already in the uptrend with the EMA formation being aligned nicely.

Watch for the breakout above the $1750 as this generate quite a bit more action for Gold Technically, as well as fundamentally whilst the EU story either buys time or falls to pieces ready to move on to the Italian story waiting in the Cue.

Well folks,

There we have it, gold now broken above $1750 up to $1760 at one point, but swinging like a yoyo now.

My take on this technically is that $1748 - 1750 should act like a new anchor zone for a new support even.
Either that or it will trade around this level which is at the top of the previous trading range which was say between 1615 and the above mentioned 1748.

Sometimes it may take a day or two, up to a week before a commitment is made or that until both the daily and weekly charts come into a sync formation. (both charts indicators moving in the same direction at the same time).

Hopefully gold will take a slow and steady run this time, with no panic buying or selling, and more of a solidified committed upward move, because the faster it seems to go up the the fall in reverse can also be large which to me scares many long term diversified investors away to some degree.


I would post a chart but currently dont have a live gold chart except from the FIREFOX addon called LIVE GOLD which also has an array of Metals being, silver, copper, platinum, nickel, and lots more. I also asked the author or writer of the software if he would include live CL Crude Futures prices which he says that he will consider for future releases. Please visit the Addon site for Firefox and add that to the bottom of your browser as it is an invaluable tool.

Back to prices, as I type this post, gold now sits at $1,755 yet currently FTSE, DAX and now US are also Green and the Aus dollar is at $1.03x AUD to US, so weird as in like some sort of both fundamental and technical Divergence with such current results.

Cheers~!

[corran]

Well something has to happen because if you're right then it's only got 5% to go and then the USD has lost 100% of its value and is worth nothing, which is obviously incorrect.

Obviously it needs to lose 100% of it's current value to be worth nothing. It can and (IMO will) lose another 95% of it's purchasing power and still be worth something, albeit stuff all.

[Skol]

SHORT GOLD! From the Financial Post

By Mike Tarsala

Platinum is about 15 times more rare than gold and usually trades at a premium to the yellow metal. But the greater the worry about the economy, the higher gold trades in relation to platinum.

“The relative performance of these metals is telling us that all is still not well,” said John Corcoran, client portfolio manager at Oppenheimer funds, which collectively manages about $23 billion in alternative investments.

Gold is a defensive asset and is considered more precious in times of economic stress. Platinum, meanwhile, is more closely tied with the economy because of its use in catalytic converters on cars and in industrial equipment. That is why the platinum-gold spread tends to reflect the level of economic fear in the U.S.

Gold has rarely been more expensive than platinum in the past three decades, and only sustained a higher price for more than two months once, in the early 1980s. The most recent period when gold was pricier was October 2008, near the height of the financial crisis.



It happened again in September, as fears about the European debt crisis boiled over and platinum began to swoon.

Platinum prices fell as much as $162 below gold’s price in early October. Even after last week’s stocks rally, gold still trades for $80 more an ounce than platinum, an extreme that up until recently had not been seen since 1982.

Here’s how to play this historically wide gold-platinum spread:

BUY PLATINUM AND SHORT GOLD

Except for a nine-month period that began in 1981, platinum has bounced back from its lagging price against gold fairly quickly. Those who bought platinum and simultaneously bought gold reaped the benefits.

That could happen again, says Mark Williams, a professor of finance and economics at Boston University.

“There is a significant price spread aberration,” Williams said. “To profit, you go long platinum, and short gold. We do not have fear of inflation right now. GDP numbers are positive. The markets, and the U.S. dollar, are rising. Economic concerns seem to be waning.”

Another way to structure the trade is with ETFs, he says.

The SPDR Gold Shares ETF charges 0.4 percent a year to track the price of gold bullion. It’s come close, up 14.5 percent this year. And the Physical Platinum Shares ETF seeks to track the spot price of platinum, minus a 0.6 percent annual fee. It is down 13 percent year-to-date.

BUY STOCKS ON IMPROVED ECONOMICS

A narrowing of the gold-platinum spread could be good for equities.

The S&P 500 rose more than 30 percent in the 12 months after the weekly platinum-gold spread reached an extreme of nearly $130 in September 1982. The market went on to rise more than 150 percent, until the Black Monday crash in 1987.

Credit Suisse Strategist Andrew Garthwaite on Tuesday raised his 2012 target on the S&P 500 to 1340 from 1260, and says the chance of a U.S. recession has fallen to 25 percent from 35 percent.

The SPDR S&P 500 ETF tracks the benchmark index and is an easy play. But cyclical sectors and stocks that benefit most from a stronger economy, including the automakers and parts companies, are another option. They are the lowest-priced market sector based on their 12-month forward price-to-earnings ratio of 7.8 times earnings. The S&P 500 has price-to-earnings ratio of 11.5 times earnings.

One fund where automakers make up more than 15 percent of the holdings is the First Trust IPOX-100 Index fund (FPX), down 8 percent this year, but rated a top Lipper fund for consistent returns.

BUY ONLY PLATINUM

Even some analysts who are less certain about where gold prices are headed think platinum will snap back.

Paul Mendelsohn, chief investment strategist at Windham Financial Services in Charlotte, Vermont, is currently long platinum, and thinks it is a relative value.

Before the recent rally, platinum bottomed out in October 2008, five months ahead of the stock market, and rose more than 50 percent by April 2009.

Buying a futures contract can be done through an online futures account, or a full-service broker. The Platinum ETF also is a proxy. It is down year-to-date, but has been on the rise since Oct. 9.

A managed futures account run by a registered Commodity Trading Advisor may include gold-platinum and other spread trades as part of an overall plan. The accounts typically charge a 2 percent management fee, and keep 20 percent of the portfolio’s returns.

“Platinum is extremely undervalued versus gold,” Mendelsohn says. “Traders think we are still going into an economic slowdown and the industrial demand will be less. But most economic data says we are not going into recession.”

[Hoop]

Well folks,


......I would post a chart but currently dont have a live gold chart....

Drilly try http://stockcharts.com/h-sc/ui The DOW is the default ($indu) so type in $gold in the symbol box located on the top left hand side.
but...If you want silver the symbol is $silver ...etc. ...easypeasy
Stockcharts.com updates during the day

[JBmurc]

Yeah great move by Gold overnight moving back onwards with the long bull trend 1763 currently ,wouldn't put a 2k cross out of the Question before the years out

[Skol]

Yeah great move by Gold overnight moving back onwards with the long bull trend 1763 currently ,wouldn't put a 2k cross out of the Question before the years out

Today from Incredible Charts.

"AMEX goldbugs index is headed for a test of the upper border of its right-angled broadening wedge formation.
The pattern is bearish and breakout below 500 would warn of a primary reversal for spot gold."

[POSSUM THE CAT]

Skol go into any West Auckland Mall and they will chase you to buy your Gold There are Kiosks just about everywhere. Otherwise try the Casino Gold House (by the Casino I believe) They are advertising on TV & Radio