December 4, 2023 - (Gold Market Wire) - The metals are getting hit hard today as the US Dollar rally finally impacts on prices. The chart shows the extent of the recent rally.

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After three days of sell-off, which produced no reaction in the metals, we finally got traction. Hardly surprising. And a very interesting 'trap' was laid early Monday morning in the Asian a.m.

Someone just got their clock cleaned! Right as the day began, the whole sell-side evaporated. Talk about a plan! So volatility is back and some great games are going to be played. Get used to it. Whoever was dumb enough to chase strength up there just ended their career in a single day. Unless they cut real quick. Just shows you the old adage - "never chase strength in Gold" - wins again. It also tells you to leave some resting orders above the market so when the "unthinkable" happens... you've got some selling in. Usually 4-5% above the market will do, and it did last night.

And so, the ever increasingly wild market continues. As for us, we caught the upside and got filled on 1/3 above the market, which was excellent, and, of course, our long gold/long US Dollar position has been proven right again. (For the record - the US Dollar position is always on against Euro, Sterling and Yen)

We will now bow to the discipline, and take some length back in - here. "When markets get complex - you get simple." No points for guessing who taught me that.

At the end of the day, it's always the discipline that comes from shedding your emotions, that wins the day. There will be many more like this before the Bulls dies.