According to scientists the origin of gold is found in neutron star bursts. They were lucky enough to potentially spot one in June that could produce around 100 trillion oil tankers of gold. They’ve just got to wait a few billion years for it to form and then it’s a quick 3.9 billion light years trip across the universe to pick it up.
I’m going to beat them to the jump with my baked bean tin rocket that I’m working on.
Full story from the Japan Times here.
Back on planet earth, gold hasn’t given up hopes to break the $1300 level. We fell from $1300 on Bernanke Wednesday and found buyers in wait at $1270.
We’ve been doing this stepping down formation since late last year. Every fall has consolidated for a while before falling again. July has been the only time where the consolidation is higher than the previous drop, but given it was after a huge move that should be expected.
$1300 is still the magic number and worth selling against with a fairly tight stop. The 200 H4 ma is slowly moving down which should add weight to capping the move and giving a decent place for a stop just above on a break.
