Wed March 24 2010
We made the case this past weekend that it was not yet the time to buy gold, that is being born out in trading this week. We prefer to look at CEF as it represents real market buying and selling in gold rather than the commercial specs shorting at the FED versus the public in the commodity gold market. Here money flow at top continues to deteriorate. The dollar is up again today but there is only so much we put in one graph. CEF is recording lower highs and lower lows, a bear market since its top in December. The same if true for ASA and GDX.
There will be a time to move to gold but we are not there yet.
Gold is good, it’s a commodity, its standard, its always going to be around, they are finding that gold can be used for so many other reason other than jewelry, it could always be used as a form of money as people trade to goods and services. There are a lot of commercials today advertising that they buy your unused gold. So you can assume that it will be a good investment in the near future.
Posted by: Laura Contreras | March 25, 2010 at 08:52 AM