still good money to be made - bought BTC @ NZD$674, sold today @ NZD$830 :)
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I bet you are glad you are out though Clip!
Brave man BC, I hope it works out for you & I'm sure it will over time, you may have to wear some pain first. Just get the feeling we will see more downside yet. Good points u make re hedgefunds etc & its something to consider as the short on Comex is massive. Think I'll wait to see what happens tonight & look again Monday to see if I buy more in.
happy enough - i have only a very small doubt it will be back up to 1000nzd by the end of january, however I am an impatient man and with no transaction fees to effect my profits I am happy to get rid of them a day later - will provide for a nice free boozy/foody weekend ahead :) I noticed the price slipped from 860 to 830 before I sold and didn't want to risk losing profits and having to hold them until it returned to it's upward trend :)
Moosie, of course cost of production matters! I have traded gold professionally for 15 years & think I know a little about futures & production i.e. S&D equation. Short term I agree futures, ETF liquidation & shorting could push gold below cost of production but its not sustainable for any length of time. Least of all the Chinese know that even if the short term thinkers of the West don't.
NCM has just shot up from $6.99 to $7.70 in about 2 hours! I smell something. Its either massive short covering or there is an announcement due & they have a leaky boat. Wouldn't be surprised its the latter knowing NCM.
OTE=moosie_900;450898]I dont short daytr, not in my risk profile (and yes you short at the top with reversal confirmation, not the bottom!).
it matters very little what the production costs are, those making massive profits on paper see it as a plaything with squiggly lines, not a commodity to be consumed. While everyone keeps harping on about that and everyone else buying massive amounts, they miss the only key to why it is falling or rising; charts and headlines! Love it or hate it, thats how the game is played right now, and if you cant accept that I suggest you stay out.[/QUOTE]
Nice little bounce back overnight. The bounce in gold equities on Friday arvo was broad & interesting. I would say just shorts profit taking for quarter/year end, but we will see.
There has been a lot of discussion around higher US interest rates being a negative for gold. My opinion is that they are a negative for equities & anything that is a negative for equities is a positive for gold as an alternative investment rather than parking all in cash.
Between mid '04 & mid '06 US interest rates went from 1.0% to 5.5%. Gold went from circa $420 to circa $640 in the same time frame. Go figure!
Yes, Daytr -- money flows dictate demand and supply for stocks, bonds and precious metals alike.
As money flows out of Equities (reversing the trend over the past couple of years), we will no doubt see a rise in the price of precious metals, gold included.
You could be right about the ASX gold digger stocks lifting yesterday due to investors with shorts profit taking. Or it could be to do with support confirmed at 1187USD. We will know early next week whether this current lift above 1200USD can hold. I'm picking it will (I'm now 90% loaded).
Remember folks, the best time to buy a stock (or category of stocks) is when it is most shunned.
I'm at about 70%, looking to move to 100% this week if I see an opportunity.