XAU XAG Bullish Bias

Silver looks flaggy, have done some Elliott work with no final conclusion yet, but its hard to find a bearish wave count – If you get one please send it to me. On the broad view- it may be very hard to find an asset which has such a long term bullish formation like gold, on a second thought maybe silver if you discount liquidity. The gold market is entering a period of accelerated movements which will results in sharp and devastating sell offs but the price resolution will be pretty steady to the upwards – in this third wave which is half done at most – many new market participants starting to get in, this is the time that people who never thought about buying gold start to feel uncomfortable – the uncomfortably can be settled by buying gold. The recognition is eye opening , the knowledge might bring understanding.

Here some gold related news:

Growing over-the-counter gold trading a legal gray area in China

Shanghai. May 30. INTERFAX-CHINA - Many Chinese companies engaging in over-the-counter (OTC) gold trading are operating in legal limbo as current options cannot satisfy demand.

The Shanghai Gold Exchange (SGE) is the only institute authorized by the government to conduct gold trades. Those gold trades can only be carried out among SGE members, including banks and gold refiners and clients.

Many domestic gold investment companies (gold dealers) that are not members of the SGE, directly conduct OTC trades, which are over the telephone or by computer on the overseas markets. -source



MPS want 'online gold trading' to be stopped

(Press Trust of India Via Thomson Dialog NewsEdge)Madurai,May 29 (PTI) A Group of MPs have appealed to the Centre to immediately stop "online gold trading," which they described as "gambling" and "affected marriage of women in middle class families." In a memorandum to the Prime Minister, a copy of which was released to the media here, 12 Mps from Tamil Nadu, West bengal and Kerala said traders across the world were earning crores of rupees through their "monopolistic online trading", and they were mainly responsible for the steep hike in gold prices. -source



Gold is safe to invest in, say experts

Our Regional Bureau / Mumbai/ Ahmedabad May 30, 2006

Gujarat Chamber of Commerce & Industry and H L College Alumni Association, jointly organised a seminar on Current and Future Trends in Capital, Commodity and Metal Markets in city on Sunday.

C Chakrabarty, head of training and R&D, MCX said MCX has grown tremendously with its turnover increasing to Rs 10,000 crore and made an impact on the stock market.

He said gold is a safe commodity, high liquidity asset and also an international currency having world wide value acceptance. source


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