Gold Holds Up Well

Deliberations on World Markets
"Gold and the gold shares indices have been tenacious within a narrow range after the May/June '06 crack set the parameters 16 months ago. The US $gold price has been bouncing off its still rising 200-day MA...I'm frankly surprised how well gold held up in the brief bout of panic that whacked the rest of the metals complex in recent weeks...For gold, $691.40 & $725.75 London fix and $732 basis Comex near active are "magic numbers" (prior peaks) that might set off a lot of computer-driver technical buyers chasing 'breakouts,' assuming the speculative de-leveraging pressures haven't trimmed their capital too much."(9/4/07)

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