The FT article's biggest mistake may be in attributing — even if indirectly — the «decade
long rally in gold» to western investment appetite.
Not exact matches
We have benefited from this year's
rally in stocks and bonds (our Multi Asset Risk Strategy ETF Model Portfolio has a Sharpe ratio of over 3 this year — and that's with no leverage), but we are managing our risk by incorporating asset classes such as
gold through the iShares Gold Trust (IAU); liquid alternatives through the IQ Hedge Multi-Strategy Tracker ETF (QAI), long - dated Treasuries through the iShares 20 + Year Treasury Bond ETF (TLT)-- each of which diversify our portfolio risk and carry well within an ETF portfolio constr
gold through the iShares
Gold Trust (IAU); liquid alternatives through the IQ Hedge Multi-Strategy Tracker ETF (QAI), long - dated Treasuries through the iShares 20 + Year Treasury Bond ETF (TLT)-- each of which diversify our portfolio risk and carry well within an ETF portfolio constr
Gold Trust (IAU); liquid alternatives through the IQ Hedge Multi-Strategy Tracker ETF (QAI),
long - dated Treasuries through the iShares 20 + Year Treasury Bond ETF (TLT)-- each of which diversify our portfolio risk and carry well within an ETF portfolio construct.
Although $ GLD is still
in a downtrend, there are now 2 main technical signals and 1 other point that give me strong reason to believe
gold is poised for a substantial, intermediate to
long - term
rally and / or bullish trend reversal...
If the Dollar broke lower, its likely too that bonds and duration would
rally; defensives (staples, utes, reits) and growth (tech / biotech / discret) squeeze against crowded value unwinding (fins, energy, indus); yen and euro would squeeze mightily;
gold squeezes while copper pukes
in a favorite commodities «pair» unwind; HY could reverse weaker vs IG (currently everybody
long CCC vs BB on the high beta trade)... this would be the theoretical path to our next pain - trade or even VaR shock.
Therefore although a new all time high
in gold would cause us to seriously consider taking a
long position again, any technical breakout to a new high would have to be supported by some fundamental reasoning as to why
gold was about to embark on a major
rally.
Although $ GLD is still
in a downtrend (until it convincingly breaks out above the $ 128 to $ 130 level), there are now 3 great reasons to buy
gold in anticipation of a substantial, intermediate to
long - term
rally and / or bullish trend reversal.
Experience Auto Group's Porsche of South Shore, Ferrari Maserati of
Long Island and
Gold Coast Maserati clients gathered Friday, July 21st to
rally out to Gurney's
in Montauk with Equicap's supercar owners for the Supercar Summerbash.
Gold could have a big reversal — in the mid-1970s the DJIA rallied significantly against gold before sinking to its long - term bottom — before it continues onto historical hi
Gold could have a big reversal —
in the mid-1970s the DJIA
rallied significantly against
gold before sinking to its long - term bottom — before it continues onto historical hi
gold before sinking to its
long - term bottom — before it continues onto historical highs.
The
rally in stocks snuffed early sizable advances by
gold and
long - dated U.S. Treasurys, with both of those assets ending the day modestly lower.