Posted by pimacanyon on 11th of Oct 2013 at 01:54 pm
IMO gold plunged because it's still in a bear market, the charts
are bearish, and traders are taking advantage of that.
Why would they need inventory to sell? I trade bonds, when
I short bond futures, I have no inventory of bonds to sell.
Why should gold be any different? The market is made up of
mostly traders who don't intend to deliver or take delivery, same
as any other futures market.
H\S on the daily playing out evidently, which might set up an
even larger inverse H/S on the weekly over time since there is
still positive divergence on that time frame. That kind of
action would act to turn up the macd in the monthly, but it would
take time.
Or, it could double bottom on the daily since there is some +
divergence there as well.
gold's plunge...
"Gold's plunge this morning attributed to one massive sell order"
Posted by pimacanyon on 11th of Oct 2013 at 01:54 pm
IMO gold plunged because it's still in a bear market, the charts are bearish, and traders are taking advantage of that.
Why would they need inventory to sell? I trade bonds, when I short bond futures, I have no inventory of bonds to sell. Why should gold be any different? The market is made up of mostly traders who don't intend to deliver or take delivery, same as any other futures market.
bear market indeed. GDX weekly
Posted by kalinm on 11th of Oct 2013 at 02:16 pm
bear market indeed. GDX weekly volume is pretty unbelievable over the last few months.... and still no sign of a washout yet.
H\S on the daily playing
Posted by roger on 11th of Oct 2013 at 02:42 pm
H\S on the daily playing out evidently, which might set up an even larger inverse H/S on the weekly over time since there is still positive divergence on that time frame. That kind of action would act to turn up the macd in the monthly, but it would take time.
Or, it could double bottom on the daily since there is some + divergence there as well.
talking about GDX
Posted by roger on 11th of Oct 2013 at 02:59 pm
talking about GDX
pimacanyon,
Posted by hamvestor on 11th of Oct 2013 at 02:01 pm
Nice to see you in this forum!