Gold, Oil & Indices (Equity & Bond Indices)

Gold's selling

My last weeks prediction on gold short from 1242 was for the target 1185 and we did 1175 today. I'm selling again hoping asia will sell metals today and at targeting next 1165 - 1135. If it dips to that range then we may see another level for buyers in case Euro will be selling again. This will complete another H & S formation. However how Asian markets react remains to be seen. Busy day tomorrow.

Always remember you can wastefully print-publish more buy/sell contract and paper gold ETF's then the original solid gold reserves or the market supply & demand. Further more, today when markets went to reduce liquidity on least over site of margin alignments through financial centres like brokers, bankers, fund players, most of all today's bond market squeeze left institutions to build more cash reserves for their portfolio hence metal commodities exchanges selling gold contracts in constant.

Cause of the pending bond sales coming ahead commodity volatility is still low, I expect more volatility in weeks ahead where you can expect 300 400 points move with in hours in coming days. With this down ward trend you can expect the same from AUD (could changes perspective if chain game play buys bonded debt securities further). Also keep a close eye these days on insurers cost of repayments as default there could result turmoil in TARP payment draft scheme. This could be in line with roubini's prediction of US's double dip recession.

And still if you ask me where you see this sell off lasting then, if 1130 is breached and broken on the second down turn then we will dip to 1084 level where we might see some buying again probably around sep to oct session in near term.

Although I would like to hear more opinions aswell.

Dear Chloe,

Congrats on shorting gold at the right time. I don't give any advice on anything because I don't know what future holds, but this is what I am doing:

I went long when gold was $1,175 and got out at $1,200. Now I am waiting to go long again at $1,172 and if it breaks down, would add another position below $1,140. If it falls further, I would get out of some currency positions (I just shorted euro against swiss franc) and add more on gold. Only time will tell how this strategy fares :)

Mind you, I am adding on gold more from my portfolio composition & overall bullish gold outlook than for short term speculative positions.

I think lucky's no sheep he thinks like King, Ben or Trichet. Lucky! am i right or am i right?

i short euro now at 12510

My friend from US just pays a visit here he is FX trader but has excellent knowledge in oil biz.
He thinks the oil spill will be desastrous to US economy and images of oil slick on Lousiana shore would eventually mean a very expensive ecological disaster. He thinks oil will not recover will not re-test 70.
Fortunately I hedged oil longs with puts on russian RTS ( as goes oil so goes Russia) and RTS entered bear market further with puts on nickel and russian Norilsk Nickel that has as expected almost crashed. So in total I am well in black.