ssi_GOLD_body_Picture_12.png, Gold Prices Forecast to Bounce Before Larger Decline

GoldRetail forex traders remain marginally net-short Gold versus the US Dollar (ticker: USDOLLAR), and our contrarian view of crowd sentiment leaves us in favor of short-term strength.

Trade Implications – Gold: Two weeks ago we wrote that the majority of retail traders turned short Gold prices for the first time since January, and that was an early warning sign that a short-term bottom was in place. .

We’ll nonetheless keep sight of the bigger picture. As tempting as it might be to buy in expectations of a minor bounce, long-term studies favor continued Gold price declines.

--- Written by David Rodriguez, Quantitative Strategist for

To receive the Speculative Sentiment Index and other reports from this author via e-mail, sign up for his distribution list via this link.

Contact David via

Twitter at

Facebook at