I can almost garauntee you it has not hit bottom yet. How do I know you ask? Because I just tonight listed a bunch of gold for sale and that usually causes a plumit in spot price!
Gold hit bottom on April 6th at $864, it touched that mark again on April 17th. It could well be the bottom was tested twice and that's that through May, hard to say. There could be a lower bottom in store sometime in 2009. But there is just as likely a chance to see $1000+ gold again as well in 2009.
Tuesday: dollar and gold both initially up and then slowly sank and meandered. Treasuries took some of the cash today. Stock market goosed up by the banks after looking like it wanted to tank again. One blogger says GM is about to get $5 BILL and Chrysler money as well. That might have been enough rumor to get the ball moving (though the banks already know the fact well in advance via the FED/GS/JPM links). Since Cramer is still very bullish as of today, that's a contrarian signal.
Gold and the dollar will track together until they no longer do. That's about all one can say. Gold is overdue for a move up while the dollar (and stock market) are overdue for a move down. Gold probably bottomed in the short term twice at $863-864 but I would not bet on that being the ultimate 2009 bottom before this summer is out.
The gold:silver ratio was meandering from 73.5 to 73.8 today after dropping down to 72.5 yesterday. This was very weak action yet it didn't tank gold back into the 870's or 860's. Since we haven't seen it rise above 73.8 any time recently, it would appear to be coiled up to push back down sometime this week (ie gold moves up). Gold would have to put $900 behind it to re-establish a shorter term bullish trend. The best it did today was $895. The monthly trending still looks bearish and it's it beginning to look more and more like the current down leg is just a continuation of the March-November decline.
Gold has since corrected 50% of the recent 2 day $30 move and is sitting around $880-882 support. It seemed like it didn't want to go away as it did last time the g:s ratio climbed to the upper resistance line of 73.8.
Goldbully
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As long as gold is over $1, It has not hit bottom.
roadrunner
Knowledge is the enemy of fear
USD ^ Au ^
short term trend? or six to 12 months?
cohodk and RR and other sage
Gold and the dollar will track together until they no longer do. That's about all one can say. Gold is overdue for a move up while the dollar (and stock market) are overdue for a move down. Gold probably bottomed in the short term twice at $863-864 but I would not bet on that being the ultimate 2009 bottom before this summer is out.
The gold:silver ratio was meandering from 73.5 to 73.8 today after dropping down to 72.5 yesterday. This was very weak action yet it didn't tank gold back into the 870's or 860's. Since we haven't seen it rise above 73.8 any time recently, it would appear to be coiled up to push back down sometime this week (ie gold moves up). Gold would have to put $900 behind it to re-establish a shorter term bullish trend. The best it did today was $895. The monthly trending still looks bearish and it's it beginning to look more and more like the current down leg is just a continuation of the March-November decline.
Gold has since corrected 50% of the recent 2 day $30 move and is sitting around $880-882 support. It seemed like it didn't want to go away as it did last time the g:s ratio climbed to the upper resistance line of 73.8.
roadrunner