Loading ...Maybe they see and know something like “we can’t got wrong, lets load up”. I keep a long term GLD overlay chart going back to the gold bottom in Jan 2016. Then I overlay it with various tickers like UUP for the Dollar or DIA or SPY for the stock market etc.
Sometimes Gold goes up with dollar and stocks and sometimes opposite, or inverse. Net net over the five years both Dow DIA and GLD are higher overall with DIA up 100% on highs, and GLD up 60% on lows. This looks good to me, ripe for an INVERSE move.
The COVID hit in March 2020 took the DIA down to 5% up from the 70% up at that time on the 5 year view. However GLD just kept going and DIA couldn’t cross or catch up to the GLD’s uptrend until Dec. 2020, (both up 70%) after GLD started dropping off last August’s high.
Bottom line GLD and DIA have been going opposite inverse since last August, a whole long year. GLD was up 80% last year, now 60% up on that 5 year with DIA up 100%.
They have been talking about tapering, higher rates? I hear the local real estate brokers saying no more long lines at open house sales, and increasing inventory. They don’t need higher rates. The stock market, also doesn’t need higher rates.
On a 6 mo chart same overlay, DIA GLD is at 0% with DIA up 12%. So I’m thinking a rotation is way past due. And if real estate and the stock market start dropping gold should go possibly ABRUPTLY opposite like the dive from the COVID news in early 2020.