Dec 6, 2016
- Institutional money managers move gargantuan amounts of gold market liquidity. Their fundamentally-based actions create the chart patterns that technical analysts use to try to project the next rally or decline in the gold price.
- On that note, please click here now. Double-click to enlarge this key daily bars gold chart.
- Note the three big fundamental events that I highlighted on the chart. The Brexit, US election/Indian fiat call-in, and the Italian referendum were all predicted by most analysts to boost the price of gold. The sad reality is that gold went nowhere or tumbled after each of those events.
- On the eve of the US election, I warned the world gold community that gold was very vulnerable to a major sell-off, partly because it traded near major sell-side resistance at $1320. What happened?
- Gold promptly stunned the gold community and tanked from there, as the Indian fiat call-in overwhelmed the US election news.
- So, what now? Well, another major fundamental event is now in play, as of Monday December 5, 2016. Please click here now. The Shariah Gold Standard was just approved!
- Please click here now. Details of the standard are being released at this week’s annual World Islamic Banking Conference in Bahrain.
- The bottom line is that gold is set to get a major boost in demand from 25% of the world’s population who are part of the Islamic faith.