Wow, I guess the old Wall Street adage is true, stocks take the stairs up & the elevator down.
Anyway, $4,200 is a new all-time record high in AUD for gold. I was expecting a pullback, but this clearly still has legs to run. My guess is the market is forward-looking and is factoring in the RBA rate cuts next year, so currency traders are selling down the AUD now.
The AUD/USD currency cross is below.
Currency fluctuation also drives the gold price. A fall in the AUD can drive the gold price up in AUD terms, even if the gold price falls in USD, & vice versa.
Below is the gold chart in USD dating back to the 1970s, when Nixon closed the gold window. The massive bull run that's currently underway is clear to see. Remember, markets don't move in straight lines, so a pullback is on the cards. The gold price is trading in uncharted territory, so it's a lot harder to determine support & resistance levels.
Nixon Ends Convertibility of U.S. Dollars to Gold and Announces Wage/Price Controls | Federal Reserve History
WIN has around 357K ounces x $4,200 an ounce = $1.5b worth of gold.
The current MC is $11m.
WIN METALS LTD (ASX:WIN) - Ann: WIN Metals Quarterly Activities Report & Appendix 5B, 76332423, page-1 - HotCopper | ASX Share Prices, Stock Market & Share Trading Forum
From memory, I think there's around 20k+ ounces of gold around the Mt Edwards nickel & lithium deposits. I don't have the time to dig through all the old anns. It could be more or less than that.
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