And you know gold - GLD will pick up speed to the downside as we get closer to Fed Jan. 17 - 18 taper decision. Gold is now pretty much history since if the Fed takes no action in December, they certainly will in January. Fed is lacking credibility especially after the September fiasco when they punted and did not taper. Now with improving jobs numbers, gdp, etc., the Fed has to put the brakes on QE or they will be a complete joke. See you all at 115
Come Monday markets will hear St. Louis Fed chief James Bullard, a centrist, and two who want the Fed to quickly end its bond-buying: Dallas Fed chief Richard Fisher and Richmond Fed chief Jeffrey Lacker. Majority of Fed members now want to end QE, so Bernie either starts in December or more likely gives a strong hint that the Fed starts tapering in January. You know GLD is going down simply because the Fed is now forced to taper sooner versus later. Question is how big of a plunge does GLD swallow week in, week out.
Gold sentiment suggests that the worst of the decline is no where near over. In fact it just beginning with the Fed to taper over the next 90 days.
Think we will see major profit taking today. Investors big and small have good memories and remember Apple falling $25 - $35 over a two or three day trading period. Its happened before and with CM news out, you might see stock drop as investors says "I'm out for the rest of the year".
Stock will take a major hit today and next week.
when Congress passes budget agreement and says "no more govt. shutdowns - last minute deals". So with the Fed about to taper over the next three months and Congress getting along gold has only one way to trade. Straight down.
and possibly more if gold sells off today like everyone thinks it will. So we now have a one - two punch knockout for gold coming with this mornings jobs number and then next week congressional budget agreement. Gold my friends is now set up for a Major Fall.
Sold my apple shares at noon since I see stock going back (temporarily) to $540 - $550. Moved my money over to shorting gold - which should take a BIG hit if we get really good payroll numbers tomorrow.
and you know the CM news has been baked into stock for weeks. But market sell off hasn't and what happened yesterday will repeat again today. Up at open and then as the day goes forward Apple stock drops, possibly under $545 a share. Be very careful as market is now scared of the Fed.
Fed is going to Taper in near future and gold can't stand that. Even a whiff of such talk send gold/gld down. Just think what happens when rumor become reality? Gold drops below $1000 an ounce and GLD drops to $75 a share. Don't fight the Fed, so best to get out of Dodge (GLD) before it takes a 30% to 40% haircut.
Treasury 10-year note yields approached the highest in more than a week amid bets data on economic growth and hiring will reinforce arguments for the Federal Reserve to trim stimulus. The Fed has signaled its intention to reduce its $85 billion in monthly purchases of Treasuries and mortgage-backed debt. Minutes from the Federal Open Market Committee’s Oct. 29-30 meeting, released Nov. 20, showed policy makers expected economic data to show improvement in the labor market and “warrant trimming the pace of purchases in coming months.”
Could GLD go sub $115 today - Very Possible.
So it would be very smart to hold or buy more Apple before we find out Apple did very well on Black Friday and over weekend. Could we see $475 tomorrow after retail numbers come out. Very Possible.
Stock market going green - Apple now over $560. All is well as we climb towards $570. $600 early next week.
December Apple sales will set records pushing the stock higher and with China Mobile deal now just two weeks away we are looking at $630 to $640 a share come end of December. Apple my friends is now taper resistant as the iPhone, iPads are hot sellers this Christmas and new Products (Apple TV) coming out next year - which will be another home run product.
Doesn't really matter now which month the Fed tapers. It guaranteed to happen by March 2014 but could happen sooner. What is guaranteed is the declining value of gold and silver as we get closer to the Fed shutting down the printing presses and Gold correcting to $500 a share. As far as GLD goes you can flush it or short it but if you go long you are going to lose fingers and toes and maybe your nest egg.
The Fed from today forward will give stronger guidance of tapering action very early next year and with that in front of Gold - the precious metal craters.
Apple had blow out sales over Black Friday - Weekend and you know it will continue well into the Christmas shopping season. Consumers want quality products and everyone knows Apple is number one in providing best iPhones, iPads, PC, etc. Stock still cheap and we have China Mobile news coming in less then three weeks. See you all over $560 a share tomorrow.
With the Fed looking to take its foot off the gas in terms of its $85 billion per month asset purchases soon, most analysts predict gold will continue its move lower. Citi said this month that gold was about to enter "phase two" of its bear market and its downside target for the metal is now $1,111 per ounce. Goldman Sachs, meanwhile, predicts a "significant decline" in gold in 2014, with a fall of at least 15 percent.
Gold will get crushed going forward and fall like a rock in2014.
So I suggest those sitting on the fence (to buy or not) move in Friday morning to take part in the "Apple Black Friday" share price pop soon to be followed by the December 17th China Mobile share price pop. The way the trend is going we break $620 easy in December and set our sites on $700 in January/early February.