Got Gold? Why The Yellow Metal Is On Track To Win

Yet since Nixon's nixing of the Gold Standard back in '71, more short-lived events driven by fear, the unknown, and the unconscionable manipulative entity, have spiked the Gold price, after which it generally reverts from whence it came. To wit, the looming StateSide election (03 November) ought well be a classic case, after which we'll know "The Name of the Game"--[ABBA, '77] for either further economic gain or private sector drain.

Whilst no one "knows" the election outcomes, be they at the Executive or Legislative levels, (with the structure of the Judicial level hanging in the balance), the rash of mainstream consensus again already "knows" that which they "knew" four years ago: that a Big Blue Wave is to consume America ... (except that the colour turned out instead as Red).

But this time 'round were Team Blue to really come through, 'twould be as wonderful a Gold Positive as for which one could ask. Indeed so much so, the above Scoreboard's Gold value of 3567 could arrive ever so fast. And yet, with just over two weeks until Election Day, in the markets neither a higher Gold gear nor pre-election fear has yet to appear.

'Tis a bit odd, non? To be sure, Team Blue are the masters of swaying public opinion as sourced through the highest levels of respected media, feeding upon those emotive, and driving polling favourably-heavy to their side. Team Red on the other hand looks to be sourced through what it deems as common sense vessels, relying upon those composed, and their ultimately vindication of truth via the voting booth.

Again no one "knows": Team Blue's win is already in the polls; Team Red's win is already in the markets. Were it the other way 'round, Gold would by now have soared and the stock market by now have been floored. So apolitically, given the market is never wrong, it senses status quo as forward we go.

'Course with time still on the table, as the old San Francisco Examiner's (afternoon newspaper) advertising billboard used to say: "A lot can happen between 9 & 5". Moreover, at the end of the day, it must be said that both Teams Blue and Red are good for Gold. Enhanced by the impacts of COVID management and Team Red in charge these past four years, the currency's been severely Debased, the rate of Debt extension significantly increased, and Derivatives run so amok that trying to cash in can find one stuck in their muck.

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So either way, be it Team Blue or be it Team Red, the real winner one "knows" will be Team Gold, albeit come Election Night, volatility shall beget price spikes and dislikes.

As for "The Now", 'tisn't that Gold is really being disliked; rather, 'tis continuing to be stuck within the ongoing medium-term negative trend herein graphically portrayed these recent weeks. Here we've Gold's weekly bars, their declining red dots now depicting eight weeks of parabolic Short trend. Nonetheless, price is showing some resiliency within such trend despite the week's loss of 33 points (-1.7%), Gold settling yesterday (Friday) at 1903. That is 144 points below the ensuing week's "flip to Long" price at 2044; (Gold's expected weekly trading range is now 80 points, although that breadth has not been exceeded these past three weeks). Here's the picture, the broader, dominant trend remaining up... well UP!