ShareJunction - Stock Forum Messages

GLD USD Last:302.8

-1.89

GLD The Gold ETF

Where Is Gold Heading?
In the last few months, we have been seeing news of hedge fund managers dumping SPDR Gold Trust. Even billionaire hedge fund manager John Paulson, who told investors that they should own gold as recent as last month, cut his own holdings more than half as gold price plunged. Billionaire George Soros and Daniel Loeb are also known to have sold their entire stake on SPDR Gold Share in the past quarter. Will gold price continue to fall from now on?

Chart Of SPDR Gold Share

My view on Gold ETF could be a little bit different from the gurus. Reading the technical chart of SPDR Gold Share, we see that the 10-day and 40-day moving averages work well in indicating the trend of the chart for the past one year.

When the 10-day simple moving average (SMA) crosses above the 40-day SMA, it signals to us that the price is going uptrend, and when the 10-day moving average cut below the 40-day moving average, it signals a downtrend.
Since November last year, the SPDR Gold ETF has already been going down trend after the 10-day moving average cut the 40-day moving average it fell from US$174 to as low as US$114.53. Since early July, we notice that gold price had stopped dropping and started moving higher. We see that the 10-day SMA started to cross above the 40-day SMA, which means that the downtrend has change to an uptrend. Currently, the SPDR Gold Share is facing a strong resistance at US$130. Once this level is broken, we might see further upside on this stock.
For those who worry that the fall will continue, do watch out for the US$122 support and set a stop loss below this level.
Posted by Andy Yew

Gold has four major sources of demand: jewelry, investment, technology and official sector purchases. Profits from gold ETFs and gold funds are treated as long-term capital gains and taxed at a lower rate. Unlike gold coins and bars, for which most jewellers offer only an exchange and not a buyback, gold ETFs can be sold at transparent prices across India.

---

Online Commodity Trading

http://www.spdrgoldshares.com/sites/sg/how_to_invest/

Please see above link for for information on Gold ETF listed in SGX.

If you wish to receive free daily brokerage reports from local and foreign houses, please email me at tplim1975@gmail.com or call me at 90400848

jessicapaigee ( Date: 06-Aug-2010 21:42) Posted:

How does the stock market work with GLD

Login Register

GLD The Gold ETF