Wait for the debt ceiling issue to resurface later this year . If gold doesn't respond as it should , you'll know the gold bull is finished .
Sometimes certain trades , like gold , just get stale and the market focuses on something else for a good while , like USD . I've been shorting the AuD of late and I'm now starting to short Aussie banks . Would hate to be solely relying on the gold trade to make $$ ( unless short)
I think we are due to retest 1320 , with a high chance of testing support at 1250 sometime this year .
I still think we'll finish the year much higher than these levels , but it will be a volatile ride .
Imo DOW is in lala land , and will come crashing back to reality with a thud . It will finish the year much lower imo . If US is in such great shape to warrant all time highs on the Dow , why is the credit rating not AAA again ? Why is unemployment still too high ? Why is manufacturing and new house starts going backwards still ?
USA in fantasy land .
I was talking to some financial adviisors based in San Fran last week and they are NOT advising their client to enter the stock market , but to sell here . Not advising gold either , but to just sit in cash for the next few months .
