11.03.2013 - Gold outlook: Should you follow the money managers or bullion banks?
Some stability returned to precious metals this week, with gold rising $14 from $1,564 at last Friday’s low to Friday morning, London time, and silver rising $0.65 from $28. Predictably, on the back of recent falls in precious metal prices, technical analysts, who are basically trend-followers, have turned bearish. An examination of market action tells a different story. Recent price weakness has allowed the bullion banks to reduce their short positions significantly. So here is a rhetorical question: Do you back the bullion banks’ judgement in closing their bears, or that of the trend-followers?..............................................Full Article: Source
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