[MadMarketScientist]

The current gold bull market has lasted a decade - the same length of time that the great 1970s bull market for precious metals lasted. Many in the industry seem to have interpreted gold's race to almost $1600 and silver's rise to almost $50 as signs of a grand finale. This may be the thinking behind the recent gold selling done by George Soros. Soros' selling of holdings in two leading gold-backed ETFs put some wind in the sails of the "end of the gold bull" side of the debate. Not just that April 2011 was a top, but that it was *the* top. However, didn't really sell gold, he turned his ETF holdings into shares of Goldcorp (T.G) and Freeport-McMoRan Copper and Gold Inc. (NYSE:FCX), adding the leveraged upside exposure to gold that gold stocks offer.

I'm still bullish gold, what's everyone opinion?

MMS

[SIUYA]

it makes sense for Soros given his early role as an equity analyst and his belief in the reflexivity of markets......
if Gold really goes, why not have access to something that ideally should really participate in the upside as if its costs are fixed but the profit side of the equation is all blue sky, but if as a well managed company might offer downside protection if gold comes off or goes nowhere.
Personally I dont have a view on gold, but if pushed viewing the GC #f on esignal I would look to a short with a close below 1520.40 with a close stop, it will take a lot for the uptrend to come off.
The other thing it gives me a gut feel of, is it will go for a new high and then fail.
Otherwise, the trend is your friend and if you are long hang on.

[zdo]

Aug 18 PM
Gold Holdings and Longs all hedged up and even building a small net short via near month futures into close today... planning to add to shorts all the way up to 1870 ish... projected holding period: a few weeks... thorazine shuffle type trade...

MMS noticed you've got 1 award. Did you give it to yourself ?

[MadMarketScientist]

Originally Posted by zdo »

MMS noticed you've got 1 award. Did you give it to yourself ?

Hell ya! Some perks come with running this place!

MMS

[zdo]

Full hedge still on but already starting to lift some of the outright shorts - maybe temporarily...

We were talking about mistakes (over in the Risk of Ruin thread?)
On this trade I made one of those mistakes already - "getting in too early
and now may be making one of the other mistakes - "getting out too early"


PS MMS, hell yes! We're proud of you

[zdo]

Full hedge still on...

Matching yesterday's size, just lifted another 20% of the outright/spec shorts at a little bit lower than current prices.

Again...may be making the 3rd mistake - "getting out too early" ... we'll see if they keep 'stepping in and standing' at 1700

Have a great day and weekend all...

[MadMarketScientist]

We there was a hint of QE3 and up shot gold and stocks again today ... I have no doubt QE3 is coming. And I'm going into more gold and silver. US dollar is done :-(

MMS

[zdo]

re: "US dollar is done "

Wish I could be as categorical... but I'm not so sure $ is done (yet).
... as we speak though, I'm exiting USDCHF longs...