Since I dropped my long gold position like a hot potato first thing this morning (see circle below) I wanted to mention that I am still as big a fan of gold as ever. But there is a distinction between my very short-term view and my long-term view. My short-term view was to GTFO of my position, since this is a very emotional market right now. Indeed, I was relieved most of the /GC price gains were still intact by the opening of the cash market!
Longer-term, though, I am cheerfully keeping 100% of my physical holdings, not only because I think they’ll do great over the long haul, but also because the slippage in buying and selling actual bullion is grotesque (like $100/ounce grotesque).
Here we see the /GC, which in spite of the big red candles both yesterday and Friday is looking absolutely ship-shape.
On GLD, likewise, you can see not only is the pattern in fine form, but the volume has been growing handsomely, showing how there is a renewed interest in the stuff.
Bottom line: I got rid of my ONE long first thing this morning (GLD) but am happily the owner of stacks of gold that I intend to keep for years, if not forever.