Saturday, November 8, 2014

Did we just see the bottom in the Gold price?

Was the low in the recent gold price action set yesterday during Hong Kong trading hours? Flash report I received yesterday described the action as:
"XAU - wild ride so far as the metal went down to 1131/32 before it eventually bounced back to 1144ish. The move from 1134 up to 44 happened within a few seconds as the market got swept, roughly 2500 lots did change hands."
Well it seems someone thought that at near $1,130 gold represented a bargain, and plonked on large market disrupting order. This seemed to set the tone for the rest of the day's trading with gold finishing the week at $1,177 for a gain of 3.11% for the trading day.

Also it seems someone loves "lucky 7", as the the approx. 2500 lots above equates to 7,777 one kilo 999.9 gold bars worth $283,500,000 (spot $1134).

chart from goldprice.org