Future Retirement Success
  • Politics
  • Business
  • Investing
  • Stocks
  • Politics
  • Business
  • Investing
  • Stocks

Future Retirement Success

Stocks

The Gold Move that ETF Traders Were Not Betting On

by December 2, 2022
December 2, 2022
The Gold Move that ETF Traders Were Not Betting On

Gold prices have moved up by almost $200 off of the October lows. Ordinarily, that would bring a response by investors to start buying into GLD and IAU, the big gold bullion ETFs. But they are not doing that (yet), and that is really interesting.

The normal behavior by investors is to buy into these ETFs when gold is rising, then sell out of them when gold prices fall. Extremes of either buying or selling can be useful indications of a sentiment extreme, worthy of a top or bottom for prices. That is how things normally work.

What is happening now is not normal. Gold prices have been rising, and they jumped a whole lot on Dec. 1, 2022 thanks to a little bit of dollar weakness. But up through Nov. 30 (the most recent data available), there has not been any response by investors trying to reposition themselves into these ETFs.

Both GLD and IAU hold gold bullion to back their shares. If the shares trade at a price significantly different from the net asset value (NAV), then these funds will issue or redeem shares as needed to get the trading price back close to the NAV. When the funds do that, the total asset levels will change.

The sponsors report these data after the close each day at the following links:

iShares.com SPDR Gold Shares

Given the big jump in gold prices since October, we should expect that public sentiment toward gold should be turning more bullish, but it is not. Investors are still avoiding these ETFs, which means that their bearishness is more firmly rooted. That is actually bullish for gold prices, because, to get a top for gold prices, we would expect to see investors clamoring to get into gold. They are not at that point yet, which conveys the message that gold is going to have to trend higher for a lot longer to get sentiment to change.

0
FacebookTwitterGoogle +Pinterest
previous post
Biden’s Gender Fluid “Pup Handler” DOE Employee Sam Brinton Hosted “Spanking Seminar” at Kink Conference Weeks After Luggage Theft
next post
Former FTX CEO – Sam Bankman-Fried – Admits FTX Didn’t Buy Bitcoin for Clients – Just Took Their Money (VIDEO)

You may also like

Stocks in Focus: 3 Stocks to Watch

March 22, 2025

Weird Wednesdays for Put/Call Ratio

November 30, 2023

Breakaway Gaps: Scanning for High-Probability Trading Opportunities

May 3, 2023

Do We Have A BIG Drop Ahead?

October 21, 2022

Always Be Learning: Exiting Too Soon On A...

January 27, 2023

Will Bitcoin Go the Way of a Commodity...

October 13, 2023

Top 10 Stocks to Watch in July 2024!

June 29, 2024

Sector Spotlight: Bonds Surrender to Strong US Stock...

June 20, 2023

Add Happiness To Your Portfolio With a Sprinkle...

January 4, 2024

Spotting Downturns Early: Daily or Weekly Charts?

April 26, 2024

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free

    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Musk feud presents ‘unprecedented’ dynamic compared to past Trump disputes: expert

      June 7, 2025
    • Snub of Musk’s NASA nominee ally preceded sudden ‘big, beautiful bill’ criticism, Trump feud

      June 6, 2025
    • Supreme Court rules DOGE can access Social Security information

      June 6, 2025
    • US sanctions money laundering network aiding Iran as regime faces nuclear reprimand at IAEA

      June 6, 2025
    • From Tariffs to Tech: Where Smart Money’s Moving Right Now

      June 6, 2025
    • Your Weekly Stock Market Snapshot: What It Means for Your Investments

      June 6, 2025

    Categories

    • Business (8,149)
    • Investing (2,019)
    • Politics (15,556)
    • Stocks (3,134)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: futureretirementsuccess.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 futureretirementsuccess.com | All Rights Reserved