The Gold Economy

My favorite form of technical analysis is intermarket analysis which is the comparison of various markets and sectors. All markets relate in one way or another. The current market cycle is being dominated by macro-related events. Since all markets have had a stronger link than in the past, it makes intermarket analysis very important. By analyzing markets in the context of one another we can decipher or confirm the cycles within the current secular trends.

Most markets and sectors are digesting recent gains after a very strong run in the past six months. Recently we’ve pointed out that Bonds… Continue reading

After rallying to its highest level in three weeks on Tuesday, spot gold on Wednesday (0310 GMT ) slipped down 85 cents to US$1,524.90 an ounce after rising as high as US$1,527.45 during the previous trading session – the strongest its been since May 4.

The euro inched down towards a two-month low among nagging concern about Europe’s debt crisis and the impact on other euro zone economies by a possible debt default by Greece. Some analysts argue that such a move by Greece would hurt peripheral euro zone economies and would push Ireland and Portugal into “junk… Continue reading

A year after Greece received a €110 billion ($158 billion) bailout package from the European Union (EU) and IMF, the resurgence of the European debt crisis serves to illustrate that you can not cure debt with more debt.

Despite an increase in demand, large gold producers are warning that a major drop in the price of the yellow metal could jeopardise primary supplies.

A report released on Friday by the World Gold Council said OLD demand has rocketed in the first quarter of 2011, as a result of the increase in purchasing gold for investments during this period.

The council, an association of gold producers aiming at encouraging the use of gold, reported that the demand for gold has increased with 11%, year on year, to 981.2 tonnes. Much of this increase is accounted for by… Continue reading