November 26, 2024 - (Gold Market Wire) - Amidst the start of WW III, Gold seems to find it difficult getting airborne. That should tell us something - namely; that even a war prognosis isn't getting us to move any higher. Thee market wants a break - war or not. Has Bitcoin stolen Gold's 'Thunder'? In the short-term, yes it has.

Gold thrives on popular mania. It always has. But now there is an alternative, and, yes until something cataclysmic happens, Gold will struggle. The power of the cell-phone, has outmatched the physical Gold coin which has been the go to safe-haven for centuries. This seems strange to us. One little EMP and Bitcoin will go 'poof'. Also, one should note that when Bitcoin took its last swan dive. Gold really did very little. The lesson is: Bitcoin for the wild ride - Gold for preservation of purchasing power and a far more intelligent place for leveraged trade. Bitcoin? It's really better as a lottery ticket.

At present, Gold seems in no shape to rake on $2800 again. The power uptrend has failed - despite the thousands of calls to "buy the Dip."

The lesson? 'Nothing moves in a straight line'. Gold needs time to regroup. Is the Bull market over? No.

Here's the same chart zoomed out to see the primary - and the bounce off the 100-day moving average.

Gold's failure yesterday is prescient. It has the intonation of "last chance to get out" for the short-term traders. The money pouring into the US Dollar will cause Gold to pause. As readers here know - our basic position, for over a decade, has been "long Dollar and long Gold - and despite the endless recriminations that this was not a logical position - it has worked. It has given us the basis for trading Gold, almost always from the long side. We are amending that position now to, 'less Gold' and more 'long US Dollar'. The reasons are 1) encroaching war and 2) the prospect of an equity sell off. But also simply because of the machinations of the chart. We've taken on over 50% upside in Gold in fairly short order. Any more upside would lead to the dreaded parabolic -signalling a real danger to Bulls like us.

We should remember that Gold can foreshadow an equity pullback, which, quite frankly - looks overdue. But if equities stumble, will that be the end of Gold? No, it won't. But the downdrafts will be there. Better entry points lie ahead. We are flat from the trade side.

*We have taken the rather momentous decision to cut 1/3 of the core position in Gold and move the funds to (leverage) short the Euro and Pound Sterling vs the US Dollar. Sterling and Euro are both in a vulnerable position. Gold needs to rest - the Dollar looks ready to rock the world - despite the insistent cries that it is finished.

‍If the war starts properly - i.e. WWIII - then it will be time to grab Silver coins water and lentils - seek shelter and wait it all out. No trading accounts will be able to help you. It is assumed that most readers here have already made those preparations.