Tag Archives: gold
Gold rallied about 2% after the rate increase announcement yesterday. The financial media believes that this was a typical “buy the fact” reaction. They are wrong.
Some investors and funds decided to increase their gold holdings near the end of last year fearing a decline in stocks. Gold rallied as a result with GLD returning 14.6% by March 14 when the total return of SPY was near … Continue reading
The current rally in gold is another blow to chartists and their market timing techniques and to all those who, based on some dubious chart formation, called for a collapse of the precious metal late last year. I issued a … Continue reading
Gold has plunged to extreme oversold territory but unless one is very sophisticated with timing entries and exits and managing position risk, these technical reversal signals should be ignored. Extreme oversold, and also overbought, conditions can be quite misleading as market participants … Continue reading
This is the time of the year when performance statistics are published in the blogoshpere. One of the parameters reported is the arithmetic 1-year return for stocks, commodities, currencies, funds, etc. But what return? The details of the calculations are usually left out. Here is … Continue reading