Tag: Brian Booth

Each week Longleaftrading.com will be providing us a chart of the week as analyzed by a member of their team. We hope that you enjoy and learn from this new feature.

Weekly Gold Report (December 17^th through December 22^nd)

 As far as I am concerned, “Holiday Markets” took control last week and it is the best way to describe what we witnessed in Gold. In Europe, a deal in Greece was reached which underpinned the Euro and dropped the US Dollar. Later in the week, the Federal Reserve pledged to keep interest rates at close to zero until unemployment falls below 6.5%, which is new to their monetary policy. It is the first time ever that Interest Rates were pegged to one area of the U.S. Economy. Initially after the news broke, Gold Futures rallied and closed in the upper end of the range for the week. But it was not long before early profit taking began and suddenly the market found itself over $30 lower and back at the lower end of the range on lighter volume. And who could forget all of the “Fiscal Cliff” nonsense? Every day (sometimes multiple times a day), through television or social media, the President and the Speaker of the House report to the world that while they are negotiating, nothing is really being accomplished. I can’t speak for the rest of the world, but personally I can not wait for the final decision, not because it will provide a direction for major markets, but because I am tired of reading about both of them and their sophomoric behavior. It seems like suddenly the highest political offices in the U.S. have confused their roles with the highest offices at US (Weekly). Continue reading "Gold Chart of the Week" →

Each week Longleaftrading.com will be providing us a chart of the week as analyzed by a member of their team. We hope that you enjoy and learn from this new feature.

Weekly Gold Report (December 10 through December 14^th)

I am not sure if I have ever been so happy to close the books on a week of trading, as I was last week on Friday. You wouldn’t think that it was that bad if you look at the daily chart today, but it was not easy to sit through either a short or a long position in the Metals last week. I will explain why.

The week began with Gold and Silver dropping below the support trendlines that were held from early November. They also were dropping alongside a weakening Dollar. I understood the selling from a technical perspective, but fundamentally I was a bit puzzled in the short term. Once support was found, Monday’s decoupling from the usual relationship to the US Dollar made holding new long positions a bit difficult. Furthermore, the rangy trade over the next four days had a “Groundhog’s Day” feel to it. It seemed as though Metals prices opened around the same price each day, closed the European Markets at the same price each day, closed the pit traded session at the same price each day, and closed the electronic session at the same price each day. Short option traders long for weeks like those, but futures traders had to be a bit uneasy. I know I was. Continue reading "Gold Chart of the Week" →

Each week Longleaftrading.com will be providing us a chart of the week as analyzed by a member of their team. We hope that you enjoy and learn from this new feature.

WEEKLY GOLD REPORT (November 26 through November 30)

After a strong finish last week in most major global markets, we begin this week flat after the festivities.

Following the Thanksgiving Holiday in the United States, traders were lined up to buy anything that they could get their hands on during Friday’s shortened trading day. It seemed that markets were still reacting from news earlier in the week, and probably taking advantage of the light volume opportunity.

Throughout the shortened week, markets like Gold were moving sideways to higher following news in the United States that Democrats and Republicans were enthusiastic about the upcoming “Fiscal Cliff” negotiations. Across the pond, European news suggested that while no final decisions were made regarding Greece yet, a good old fashioned can-kicking would suffice. The Eurogroup/IMF Meeting will continue today to decide on Greek Debt and the next tranche of cash. Prior to the meeting, it was reported that “considerable progress” has been made. Apparently, these delayed decisions were enough for investors like George Soros and John Paulson to report they had added to their already hefty long Gold positions. Continue reading "Gold Chart of the Week" →