All good points except the Dec Rate Hike one.
I am hoping the Fed does raise rates in Dec and more next year.
There is a great myth in the financial markets that Rate hikes are bad for gold. It is not.!!!
As long as the real interest rate of return is less than the inflation rate, rate hike does not and will not hurt gold. Lets say even if tend to believe rate hikes are bad for gold........
So what has happened since the Fed first raised rate back in Dec15(0.25-o.50). Gold was USD1050
And 21 months after 3 more hikes since DEC15 rates are at (1-1.25). Gold at USD1290
Yet every time you turn the financial news or article they will say Fed rate hikes will hurt gold.
It does not.
Because of this belief system the anticipation of rate hike hurts gold and gold marches higher after the rate hikes and it has done subsequently after every rate hikes.
That is why I say rate hikes are bullish for gold. But that is not what the market wants people to believe.
If low rates was bullish for gold then why gold collapsed from 1900 to 1050 all the while rates where at (0.00-0.25) .Well some will say because of QE......then the reverse of QE which the Fed is now embarking should be bullish for gold.
Now I will try to explain why rate hikes are bullish for gold.
When the Fed raises rates.....it is an additional cost to the government and the economy. As the government is the net interest payer. More money in the system. The cost of servicing anything will go up. When the cost of servicing goes up everyone incurring that cost will pass on that cost,........ that is saying inflation is going up in other words. And gold is the best inflation hedge. When rates go up the dollar anyone holding in their hands suddenly is buying less. Therefore the dollar loses value which anyone can see in the dollar index since Dec15 from (100-93) It hurts people with over leveraged mortgage/loan as much as lower rates hurts people with interest income.
Vice versa
When the Fed lowers rate or keep at 0.00, it is taking income away from the people. The government is paying less interest. Less money in the system. The dollar buys more. That was reflected in the USD dollar rise from (73-100)
There is a hell lot more to it .....if you do a very deep study and research will find out.
I know it is confusing but this is a widely accepted myth.
Another myth in the financial market is always have stop losses.
This is the biggest bogus information the financial markets want people to believe.
If people follow that religiously they will end up at the poor house sooner than not following it.
When one has stop loss he/she is thinking they know the future. Or they know their next trade is going to be a winner. No one knows the future.
Anyway, at RMS front it is the usual Van Eck play. Smash and accumulate. I don't know how long they will keep on doing it. Its just not RMS, Van Eck is doing around all the miners which they dumped in March-June period.
I say the wise words of
@eshmun helps about RMS matter.
(20min delay)