As we have been describing, gold and silver lately have run up on good news and run down on bad news. This morning gold ran up on the good news that Greek agreement had been reached. When the news crossed the wires that Troika had concerns about the agreement, which is bad news, gold and silver promptly fell.
Almost anyone who is a serious investor would have known that there would be a follow-up statement on newswires relating to Greek agreement especially from Germany.
The point is there was no surprise in the morning news as Greek agreement was expected, and there was no surprise in the later news including concern from Germany. The foregoing demonstrates that gold and silver remain in the hands of momo crowd who shoot first without knowing or understanding the facts.
This can be a very profitable situation for the astute investor capable of taking advantage of the insanity. However, as we have written before people believed for thousands of years that the earth was flat and some still do. This can create a dangerous situation and a high degree of caution is warranted.
40% of full core position size is now being held in GLD.
This position will be followed closely on the Real Time Feed at The Arora Report .
