The Philosophical Porch Message Board

To: Rarebird who wrote (5017)	11/27/2009 11:56:41 AM
From: ItsAllCyclical	of 6716

I don't deify my gold, but nor do I consider myself a gold bug. I'm still very bullish on gold LT and maybe even IT, but ST it's really a coin flip right now w/this news and I'm leaning much more towards a retest of the 1050 area. However, I think there's a good chance that gold diverges from the general markets/Dollar faster than some gold bear assume. I do agree it's become one trade and that's scary. Some gold bugs deify their gold that's certainly true, but I think for most it seems the safest in most (not all) scenarios compared to almost every other asset class. People are scared. They should be, but gold is not the end-all-be all. I have used to morning bounce to lighten my gold back to core holdings in my more active trading accounts (LT ones were fairly close to cores previously) and I've hedged the remaining amount w/some shorts. I just want to be hedged going into the weekend as I don't think this is over yet, but I think it's quite possible the market busts to new highs next week and then dumps sharply. One last chance to suck in the shorts. They'll say Dubai is small compared to world GDP (but ignore domino effect and impact on risk taking/carry trades) and then pump the market to one last high before the big down starts. I don't take anything for granted anymore in this manipulated, over-controlled, over-traded thing they call a market these days.