tag:blogger.com,1999:blog-7131761677406025498.post3917957542852688141..comments2023-10-22T07:29:23.630-04:00Comments on EconBlog Review: Gold May Be Making a Short-Term Top"DoctoRx"http://www.blogger.com/profile/07864962793726539567noreply@blogger.comBlogger4125tag:blogger.com,1999:blog-7131761677406025498.post-8639542182089209702009-11-09T12:57:19.302-05:002009-11-09T12:57:19.302-05:00How does one trade a short term top in a bull mark...How does one trade a short term top in a bull market?<br /><br />First, is one a trader? Can you time the markets? Is that your approach?<br /><br />Taking a little from a position with a strong gain might be a good idea, especially if the position is outsized. Reducing leverage is the most likely course.<br /><br />Here is a technical analysis of the gold bull market. It is coming off a protracted consolidation and a serious test of the downside that cleared out many of the weaker hands.<br /><br />So, how does one play a bull market? We sell strength and buy weakness if we are trading. If we are not, we do nothing.<br /><br />Personally I tend to hedge some positions but there are others I leave and do not touch for years while the bull is intact. <br /><br />Gold is very lightly held on a broader basis, and the upward pressures from the physical offtake of bullion is compelling as we most recently have seen.<br /><br />Gold started a bull market around 2001, and is still going strong.<br /><br />Trade a little if one must, but never lose your position in a bull market until you are sure it is over. <br /><br />And there is nothing here that would tell me that. Just more worry added to the wall of worry.<br /><br />But if one is a trader, then by all means trade, both in and out.<br /><br />http://jessescrossroadscafe.blogspot.com/2009/11/long-term-gold-chart.htmlJessehttps://www.blogger.com/profile/10098169118867085623noreply@blogger.comtag:blogger.com,1999:blog-7131761677406025498.post-517886411126841162009-11-09T12:48:45.775-05:002009-11-09T12:48:45.775-05:00This comment has been removed by the author.Jessehttps://www.blogger.com/profile/10098169118867085623noreply@blogger.comtag:blogger.com,1999:blog-7131761677406025498.post-53788951873119218332009-11-09T11:56:28.054-05:002009-11-09T11:56:28.054-05:00Not many people own physical gold as an asset. Wh...Not many people own physical gold as an asset. Why can't gold go higher if people decide to allocate a modest amount, like 10%, as part of a diversified portfolio? I don't know if it's gone up too fast short-term, but it's still 50% below the inflation adjusted price from the '80s.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-7131761677406025498.post-76526649426210437782009-11-09T10:26:33.689-05:002009-11-09T10:26:33.689-05:00It is all relative to the price of the USD. BTW d...It is all relative to the price of the USD. BTW demand for gold (ex central bank) for india has only gone up. selling at 900 was an old story.Anonymousnoreply@blogger.com