Malaysia Gold Investment

After posting a double bottom at USD1,100 during Thursday trading the gold price took off upside. Here might be a non- manipulator explanation for today's action. Gold appears to have completed the first leg up of a move off USD1,100 and today has been correcting that rise. If that's wrong, then gold could break USD1,100. Now gold trading at USD1,104 level.

Speculative length for metals and crude oil increased last week. Despite this increase, speculative length remains well below that of the past few months. Gold has seen net speculative length on COMEX rise from 29.8% of open interest (OI) to 31.7% — still well below the 42% of OI seen in Sep 2009. The net speculative long position now stands at 622 tonnes — 300 tonnes lower than the highs reached in October 2009. For silver, the picture is similar — speculative length is only marginally higher, at 17.3% of OI (16.1% the previous week). For gold and silver, the relatively low level of speculative interest indicates that both metals are set to be less sensitive to dollar appreciation than dollar depreciation. We expect more strength in the dollar in the next few weeks (initial target at $1.30 against the euro). Because speculative length is low and we expect more dollar strength, I still favour gold and silver in Malaysia. Likely would look for a large rally in gold and silver ( in dolla...

IMF so far still the net seller in the market and Asia still the big buyer, with now US have all the printed money to push they share market up so gold price may drop to 1,050 level to form a W pattern before any technical bounds up. The gold price to rally may likely start 2H2010 due to it need US to fully flow out all the printed money into market then the gold price will go up again. US had to flow out the money to help they economic, people are no money and most of they people saving is in share market so the share market can not go down. Gold price is base on USD so any drop in USD value will make Gold price to go up.

Gold has seen its net speculative length on COMEX decline to 29.8% of open interest — the lowest level since April 2009. The net speculative long position is now at 606 tonnes. This is down from 300 tonnes lower than the highs reached in October last year. At the same time, gold ETF holdings have declined from record levels of just above 1,800 tonnes in December to 1,780 tonnes last week — despite the large decline in speculative length, a stronger dollar and lower ETF holdings, a gold price only $100 below its record levels of early December might be surprising. However, we have seen very good physical demand for gold leading up to the Chinese New Year. Recently, strong demand from China (and Asia) has supported gold under adverse conditions. However, with China on holiday for the next two weeks, there could be less physical demand for gold. While timing is always difficult, should physical demand dry up, gold could be set for a further downward correction in the next two to four week...

Wish You All A Happy Chinese New Year And A Profitable Year Of The Tiger

Gold prices are on the edge of a cliff. They might fall over the cliff, or a powerful updraft might catch their parasails and carry them into the sky. Nothing has happened yet to tell us which way they will break. We are waiting for the gold price to break below its last low ($1,062) or above its last failed high ($1,120).

As last post I had write that gold price will revisit 1,074 level but this time it broken this level and now the 2nd support will be 1,050 level. Now gold price is totally support by China and India buying power once they stop buying gold price will drop. However this they still need to buy gold just that they want to buy in lower price so sure the gold price will fly high want US sale out they gold. Share market is going to have a big correction after a small rebound by end of FEB after that I think FBM KLCI will revisit 1,000 level so it is better hide your money in gold investment or buy property to rent out.

China and India still buying into gold but they want to buy in low price and also want to make sure all US printed money did not flow into market too fast. Base on the chart gold price may revisit USD 1,074 level again and if broken this level gold price need to rebound up above USD1,140 level to ensure the rally back to USD1,200 above. However for sure this year gold price likely to go higher so buy in into ever dip is a profitable move.

The stronger dollar has continued to weigh on gold prices, however the metal bounced off the $1,074 level on Friday and has since picked up slightly, helped by a weaker dollar this morning. Overall however, the bias looks set to the downside, with prices struggling to gain any upwards momentum. Support levels appear to be $1,064 and $1,050. While the stronger dollar should continue to weigh on commodity prices, Greece’s problems have seen the yellow metal being pulled in two directions. On one hand, a stronger dollar vis-à-vis the euro should see prices drop further as the metal’s status as a pseudo-currency kicks in. On the other hand however, the metal’s safe-haven status has seen gold outperform the likes of silver, garnering support amid fears over the Greek budget deficit. Overall however, with the EU scheduled to address the Greek budget on Wednesday and looking to create a process of monitoring and implementation, it seems that currency fluctuations will dictate price direction.