Friday's rally in gold is looking like a dead cat bounce. The precious
metal couldn't build on Friday's gains as speculators continue to flee
from commodities generally and precious metals specifically.
Net-long position in New York futures and options fell 36% for the week ended Nov. 4 as long holdings fell the most in almost two years, Bloomberg reports, citing U.S. Commodity Futures Trading Commission data.
The good news for gold bulls is that gold has gone from being dismissed in the early 2000s to beloved in the late aughts to becoming loathed today, meaning the metal is probably getting close to a bottom. The bad news is that when a bubble pops, it takes a long time for investors to come back in earnest and it's increasingly looking like gold was in a bubble a few years ago when "everybody" believed you had to own the metal after it rallied from below $250 in 2000 to over $1900 in 2011.
http://finance.yahoo.com/news/gold-bulls-beware---likely-more-pain-coming--before-the-metal-finds-a-bottom-162852945.html
Net-long position in New York futures and options fell 36% for the week ended Nov. 4 as long holdings fell the most in almost two years, Bloomberg reports, citing U.S. Commodity Futures Trading Commission data.
The good news for gold bulls is that gold has gone from being dismissed in the early 2000s to beloved in the late aughts to becoming loathed today, meaning the metal is probably getting close to a bottom. The bad news is that when a bubble pops, it takes a long time for investors to come back in earnest and it's increasingly looking like gold was in a bubble a few years ago when "everybody" believed you had to own the metal after it rallied from below $250 in 2000 to over $1900 in 2011.
http://finance.yahoo.com/news/gold-bulls-beware---likely-more-pain-coming--before-the-metal-finds-a-bottom-162852945.html
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