Monday, November 23, 2009

GLD Going Parabolic

The gold trade is getting crowded and looking at the GLD chart, you can see the parabolic move now. My concern is that if some geopolitical &-or financial event as back in March could see a rush to the dollar again?? If so how would gold react? My view now is to get hedged or start lightening up on gold if you're heavily weighted in this sector. If investors and traders bail on the metals, the correction could be severe, just be ready!
*click chart to expand image

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