Gold may lift off.... Huge short covering this week ahead of Yellen IMO....Shorts may be concerned that they shorted POG a little to deep.
The ultimate motive of shorts is to quickly target margin calls which in turn causes the snowball effect.....very prevalent in times of extreme margin debt....
We are in times of overly extreme margin debt....this is when the weak hands get hammered......Recent POG action indicates to me that its overdone and shorts may cover ahead of Yellen commentary and then further appreciation in price as the idea of higher rates is simply not in the cards until 2016 IMHO.....
Gold quickly moves back to $1200....Yellen missed the boat last year...They should have raised rates to 1% already so as to offer a buffer ahead of the next slowdown....It's to late now.....US slowdown has returned and nearly time for another recession even though IMHO the previous recession never really ended....
HGU was a great buy on Friday, also loaded up on Goldcorp.....May see short term weakness but the rebound will be fruitful into late 2015/2016...