Home InfoVault Market Reports Infusion To Gold ETFs Supports Rally

Infusion to Gold ETFs Supports Rally

Infusion to Gold ETFs Supports Rally
Category: Market Reports
Author Name:
Posted: 03-11-2016

Helping support the rally in gold is the nonstop infusion into the gold ETFs. Even silver has joined the party with a big increase yesterday.

Yesterday just before ECB president Mario Draghi was about to release his plan to
stabilize the EU community, gold electronic trading programs kicked in bringing gold to the $1,237 level. Some key words triggered this sell off and almost immediately strong buying came in and reversed the selloff. Some Wall Street speculators saw it as a buying opportunity and stepped in around the $1,240 level in the April contract.

As I indicated in yesterday’s Flash Gage, a key level of support for gold is the $1,246 level in the April gold contract. In my opinion and the opinion of my technical buddies, this level must hold for the market to continue its upward movement.

Helping support the rally in gold is the nonstop infusion into the gold ETFs. Even silver has joined the party with a big increase yesterday.

Now that ECB President Mario Draghi has laid the ground work for lower rates, it would make it even more difficult for our Federal Reserve to raise rates at their meeting next week.

Lower interest rates are the key component to higher gold prices.

© Copyright 2021 ModernCoinMart (MCM). All Rights Reserved. MCM does not sell coins and numismatics as investments, but rather as collectibles. Please review MCM's Terms and Conditions, Terms of Use and Privacy Policy before using this website and prior to purchasing from MCM. All website content is for reference use only and does not constitute investment, legal or financial advice. We encourage the sharing and linking of our information but reproduction of our news and articles without express permission is prohibited. Instead of reproducing, please provide the link to the original article or use the share buttons provided.

About The Author

Walter Pehowich Author Name: Walter Pehowich
This editorial has been prepared by Dillon Gage Metals. This document is for information and thought-provoking purposes only and does not purport to predict or forecast actual results. It is not, and should not be regarded as investment advice or as a recommendation regarding any particular security, commodity or course of action. Opinions expressed herein are current opinions as of the date appearing in this editorial only and are subject to change without notice. Reasonable people may disagree about the opinions expressed herein. In the event any of the assumptions used herein do not prove to be true, results are likely to vary substantially. All investments entail risks. There is no guarantee that investment strategies will achieve the desired results under all market conditions and each investor should evaluate its ability to invest for a long term especially during periods of a market downturn. No part of this editorial may be reproduced in any manner, in whole or in part, without the prior written permission of Dillon Gage Metals. This information is provided with the understanding that with respect to the opinions provided herein, that you will make your own independent decision with respect to any course of action in connection herewith and as to whether such course of action is appropriate or proper based on your own judgment, and that you are capable of understanding and assessing the merits of a course of action. You may not rely on the statements contained herein. Dillon Gage Metals shall not have any liability for any damages of any kind whatsoever relating to this editorial. You should consult your advisors with respect to these areas. By posting this editorial, you acknowledge, understand and accept the foregoing.

What are your thoughts? Infusion to Gold ETFs Supports Rally