Editor's note: This is an excerpt from Hedgeye morning research by CEO Keith McCullough. Click here to learn more and how to become a subscriber.
Goldman Sachs grabbed headlines yesterday reiterating what’s been the wrong call (bearish on Gold) in 2014. Gold futures/options contract volume was +27% versus the 5-day average on that, but neither my TRADE line of $1301 support, nor implied volatility (still -2% on a 1 month basis) confirmed the 1-day fear.
In other words, buy more.
Incidentally, if you asked the bond market about Goldman’s call on Gold, or consensus US growth acceleration hopes in Q3, it doesn’t care – the 10-year yield is right back to 2.53% this morning with immediate-term downside to 2.49% into Janet Yellen’s testimony.
We’re sticking with #GoldBond.
