Thursday, June 07, 2007

GOLD UPDATE

Dear Readers, Gold was running yesterday like a chicken without a head. Not knowing whether it should go with stocks lower, reflecting the diminishing of liquidity, or go up to capitalize on troubles in the stock market and impending lowering of interest rates by FED ( Thus Furute Inflartion). Well, for GCQ7 ( August Contract) I still think that breaking of the parameters given in yesterdays posts will tell the story. I think the probabilities favor the downside, but not by big margin. Good Trading

2 comments:

malcolmm said...

g'day boris. is your forecast of impending fed lowering of interest rates based on a political/economy assessment, or something else?

thanks for your continuing analysis and insights.

malcolm

boris said...

Dear Malcolmm, my forecast of FED lowering the rates is not even close. It is in the future. Let me explain. What will happen is that the markets will anticipate that and the rates will be lowered way before FED acts. Right... Yes that is the way things happen. Appreciate the opportunity of explaining myself.

As far as the souce of my belief, it is all technical, even though I absorb as much of the fundamental data as anybody else.

Good Tradin and Good To Hear from you again Dear Malcolmm