Talk about sitting on gold!
Wednesday, December 31, 2008
Gold still above the 200 day MA.
Dan Norcini points out, in his comment today,
that when gold neared the 10 day MA, buyers
moved in, and that was why gold took off.
That and the fact that there was almost nobody
on the trading floor which, oddly enough, should
have left the markets at the mercy of the short
Gold breaks above the white downtrend channel
and moves above the previous high at 878.
Next highs to pass are:
then the big high at 892.
Right now it is pulling back trying to find support
on the top white line of the previous downtrend channel
I'm just glad I didn't have to take a loss.
But look at what I missed.
This happens frequently when you are pressured
to avoid a loss. You just want out and cover your
commissions, especially after the market plays
with you by dancing up and down around your
buy in price and keeps looking weak like it will
go down again big time. This happens all the time.
It's as if the gold gods know how to screw with
GT started a trade last night that went south
big time. I had to stay awake all night to monitor
it, and I'm in gumby land.
The horizontal green line is where I got in.
The trade went negative and just now spiked up
to my buy in price and played with me, dancing
on my price, finally it spiked up sufficiently to get
me out with a small profit....BUT....
then it went even higher and would have made
three and a half times as much.
At least I'm out with a profit.
I didn't want to end the year with a loser.
See the next chart for the close up of what
Tuesday, December 30, 2008
Today and tomorrow could be interesting as
various players decide to close their positions
in all commodities to balance their books for
tax purposes by taking losses now, or profits
(if they have them) to make hedge funds look
better for the quarter.
Monday, December 29, 2008
Dollar and Euro not giving any definitive
indications that help predict gold's movement.
Gold, more or less, moving on its own, except
that the dollar is still low.
Dow falling, off about 60 points
Yen moving up, Oil pulling back to the 38s
Bonds leveling off after a climb into the 141s
Euro trading very oddly and not moving with gold
Sunday, December 28, 2008
I can't believe my rotten luck! The very minute
I stepped outside to fix my water pump than
has been down for more than a week, the damn
gold takes off, same as Friday when I went out
to clear the snow. The gold gods really are out
to screw with my mind.
Friday, December 26, 2008
I'm not trading these moves because of the
light volumes, and have outside work to do
clearing snow today, so I can't monitor my
trades. Gold will close today at 2:15pm pst
for the weekend, and I don't like to have open
positions over periods the market is closed.
I take what profits I have, and stand aside.
Too many radical moves in this market to
gamble on long term moves anymore.
Some very profitable moves so far this morning,
but thin volumes can give you problems getting
out on a market order, as you may wind up getting
a wide range of prices for your fills if you put in
too many contracts at once. On the other hand,
you want out a soon as you feel the price has topped
and should take what you get and be happy.