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Occasional Contributor
Posts: 37
Registered: ‎01-03-2016

Spot Gold

Any thoughts on the recent spot gold action?

Looks like 1290.5 was a key level to break out of overnight.
Contributor of the Month
Posts: 489
Registered: ‎24-07-2017

Re: Spot Gold

In my opinion, Gold, is not acting much like a 'save haven'. I know people will tell me that gold is the traditional store of value and has been a 'safe haven' over the past 5000 years. As investment disclaimers say, "Past performance is not an indication of future performance". Times are changing, younger investors risk appetite is changing and the dynamics of finance is changing.

 

If you look at Brexit, Trump being elected, Syria, North Korea, terrorist attacks around the world, and other things have not really moved the gold price in any significant way. I then look at the charts when gold went to around $1900.00 and the chart gives me the impression of a bubble.

 

I totally accept that others will not agree with me which is fine as this is only my personal opinion and I accept that I could be wrong.

Respected Contributor
Posts: 1,879
Registered: ‎10-03-2016

Re: Spot Gold

[ Edited ]

Hi @TrendFollower & @TheSurgeon  good to hear from you again. TF is right in that there is so much news and a lot of it so contradictory that gold has gone a bit muh.  1290 is an interesting level on a technical basis and barring major geopolitical turmoil the technical should rule.

A reversal here should see a retest of 1260 while a break through at 1290 and successful retest should see an attempt on 1357.

 

XAUUSD(£)Daily.png1210.png

*** Intraday Price Action Scalping on FX Majors ***
Occasional Contributor
Posts: 37
Registered: ‎01-03-2016

Re: Spot Gold

Cheers @TrendFollower and @Caseynotes, I'm not that worried about fundamentals. Gold's still being held by the central bank's (and rich people) in vaults and mining recovery rates are dropping globally so my long term bias is positive.

 

The break above the monthly downtrend seems to have bottomed at 1260 but will wait and see. 

Respected Contributor
Posts: 1,879
Registered: ‎10-03-2016

Re: Spot Gold

Interesting take on the differences between the gold and silver markets.

 

https://money.usnews.com/investing/funds/articles/2017-10-17/if-precious-metals-rally-then-pick-silv...

 

*** Intraday Price Action Scalping on FX Majors ***
Contributor of the Month
Posts: 489
Registered: ‎24-07-2017

Re: Spot Gold

Casey, historically when we have been in a strong bull market for gold then silver has been like gold on 'steroids'. Silver amplifies any move in gold and is like gold with leverage. However when there is a bear market in gold then it is vice versa. 

 

During the build up to the last 'credit crunch' I traded silver for that particular reason. I recall Silver touching around $49.00. At the time I was using an Leveraged x2 ETF by ETF Securities via my broker.

 

In a nut shell, if there is a strong bull market in gold and you want to increase the amount of profit you can make then trade Silver.

 

 

Respected Contributor
Posts: 1,141
Registered: ‎21-03-2016

Re: Spot Gold

Contributor of the Month
Posts: 489
Registered: ‎24-07-2017

Re: Spot Gold

How long should we wait!

 

I have heard this argument many times over the past several years. 

 

Yes the price action for gold has been quite positive recently but if you look at when gold hit its all time high several years ago then the gold price has declined even after all the horrendous events that have occurred all over the world.

 

 

 

 

 

Contributor of the Month
Posts: 489
Registered: ‎24-07-2017

Re: Spot Gold

If you look at from 24th Jan 18 onwards then we have just witnessed not only a sharp sell around world markets (especially in the past two days) but the price action of Gold and Silver during the past couple of weeks including right now at time of writing on 06.02.18 - 8:00 pm is downwards!

 

Just look at the Gold and Silver charts. Should they not have both gone up when there was blood in the 'Crypto Universe'?

 

Should Gold and Silver not have gone up during the past couple of days when the world markets in general were falling such as in the US and UK especially?