Gold Chart of The Week

Tuesday, August 13, 2013

Gold Chart of The Week

By INO
Chicago, Agus.13, online stock trading .- Each Week Lo

ngleaftrading.com will be providing us a chart of the week as analyzed by a member of their team. We hope that you enjoy and learn from this new feature.
Weekly Gold Report August 12^th through August 16^th
Summer markets and light volume trading should continue to be the focus for the upcoming week. Despite the fact that the next five trading days have quite a bit of data to present, the reports are divided equally between the United States and Europe, along with a few from Japan and Great Britain. This mix of intermarket and intercontinental data should provide decent intraday volatility to trade, but I do not expect any fireworks.
The two standouts this week will be Retail Sales in the US and GDP reports from Germany, France and the Eurozone. Any one of these reports can provide some nice movement in the Currencies and Stock Indexes, but lighter volume trading should cap any major movement.
The Gold Futures have been a tricky market to predict from a fundamental perspective, which also makes a multi-day trade difficult. Over the last few years, Gold would look for things like a weak US Dollar or a weak Stock Market to provide a reason to rally or sell off. There was also the “Risk On-Risk Off” movement last year that provided the occasional curve ball. But lately it seems more impossible than ever to tie the direction of Gold to any one fundamental idea. But you CAN trust technical analysis.

The above chart is a daily of the December Gold Futures. Arrow #1 points out last weeks low that was a test of the prior chart consolidation from mid-July. A hold at this prior low provided a steady bounce that is now on its way to a test of a prior trendline that was supportive but now is seen as resistance. Not only is $1350 significant because of this trendline (identified by arrow #2), it is also significant because it is a retest of the July 23^rd high print. An early climb off the open on Monday morning seems to me like a great way to bait traders into a long position before turning the market upside down. I will let the closing price of Gold today prove to me whether this idea is right or wrong.
Good luck this week and please feel free to reach out to me directly if you would like to discuss trading Gold Futures or any other Futures or Futures Options. I will be happy to hear from you.
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Benjamin Graham Was A Crappy Hedge Fund Manager

Jack Bogle, the outspoken godfather of index funds and passive investing strategies, didn't approve of a recent Wall Street Journal article defending hedge funds.

In particular, he took issue with the author's reference to Benjamin Graham, the legendary Columbia finance professor who literally wrote the book on Security Analysis and mentored Warren Buffett.

Bogle wrote a letter to the editor. Here's an excerpt: Citing Benjamin Graham as the first "hedged fund" operator is an especially unfortunate example. "The trick," Mr. Rice writes, was Graham's "clever way to make money . . . whether it [the market] continued to rise, or started to fall." ...

Proposal for New Hedge Fund Fee Structure: 1% + 33% of Alpha

By The Big Picture

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This is the approach favored by the Crony Capitalists — those people pretending to be free market participants, and who merely pretend to be creating value. They are taking credit for structural successes that would have occurred with or without them. What they are actually doing is capturing value, not creating it — and then transferring it from its true owners (shareholders/investors) to themselves.

This is wrong; it is legalized theft.

If you want to see a good example of how CEOs transfer shareholder wealth to themselves, a good place to start is Roger Lowenstein’s 2004 book, Origins of the Crash: The Great Bubble and Its Undoing. The section on CEO compensation is astounding; these guys were essentially getting wildly overcompensated for being CEOs during a bull market. The prime example was the CEO of Heinz, who gave himself (with the tacit approval of his Board of~~Crony~~ Directors) a $90 million bonus. And this was back in the early 1990s, when $90 million was real money.

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www.ritholtz.com

Earlier this year, Goldman Sachs Asset Management announced that it would launch a new mutual fund that — apparently — will bring the joy of hedge fund investing to the masses. For as little as $1,000, the Multi-Manager Alternatives Fund (GMAMX) allows mom-and-pop investors to put their life savings into some of Wall Street’s riskiest and most expensive products. This “fund of funds” will, according to its prospectus, let investors gain exposure to the trading strategies of hedge funds...

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Daniel Loeb surfing to the top of the hedge fund charts again

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10 Publicly Traded Hedge Funds That Pay a Dividend
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Hedge Funds Love These 3 Outperforming Semiconductor Stocks ...
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Argentina's President Is Making Great Political Theater Out Of Paul Singer Seizing The Country's Naval Ship(BusinessInsider) Cristina Fernandez de Kirchner is turning her feud with hedge fund manager Paul Singer into a political rallying cry in Argentina. The President has refused to pay Singer's firm Elliott Management the $1.3 billion it owes the fund after it defaulted in 2010. de Kirchner says it's because Singer was given multiple chances (in 2005 and 2010) to restructure, like other hedge funds did, and take a haircut to recoup at least a portion of their losses. Singer, needless to say, did not. Instead, he decided to capture one of Argentina's naval vessels as collateral, and got Ghana to give him an order to detain the ARA Libertad last month. ...

Tom Steyer New Investments
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This Hedge Fund Returned Nearly 25% Last Quarter
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More ETFs Play Hedge Fund Copycat
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BMW Pininfarina Gran Lusso Coupé.

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...

All Time Record Gold Transactions Reported By LBMA

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Weakness in gold and silver is leading to robust demand internationally as store of value buyers accumulate gold and silver on this dip. This is particularly the case in Asia where premiums remain robust and supply demand imbalances remain. ...

6 Tips to Work From Home Successfully

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Today's top Green Energy Good News

Russia is funding research into powering its airplanes with solar energy. The airline industry is being hurt by high fuel prices, and solar-powered planes would not only be cheaper but also would remove a major source of carbon pollution that contributes to global warming.

Texas is set to double its wind energy generation from 60 gigawatts to 120 gigawatts in 2013.

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Tuesday, August 13, 2013