{"id":64731,"date":"2014-12-05T07:45:19","date_gmt":"2014-12-05T12:45:19","guid":{"rendered":"http:\/\/countingpips.com\/?p=64731"},"modified":"2014-12-04T18:31:54","modified_gmt":"2014-12-04T23:31:54","slug":"investors-hated-gold-at-precisely-the-wrong-time-what-about-now-2","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2014\/12\/investors-hated-gold-at-precisely-the-wrong-time-what-about-now-2\/","title":{"rendered":"Investors Hated Gold at Precisely the Wrong Time: What About Now?"},"content":{"rendered":"<div id=\"inves-3716758394\" class=\"inves-below-title-posts inves-entity-placement\"><div id =\"posts_date_custom\"><div align=\"left\">December 5, 2014<\/div><hr style=\"border: none; border-bottom: 3px solid black;\">\r\n<\/div><\/div><h3 style=\"margin-top: 0px;\"><span style=\"font-size: small;\">Sentiment extremes often foretell major turns in financial markets <\/span><\/h3>\n<h3 style=\"margin-top: 0px;\"><span style=\"font-size: small;\">By Elliott Wave International<\/span><\/h3>\n<p>Editor&#8217;s note: You&#8217;ll find the text version of the story below the video.<\/p>\n<div style=\"width: 620px;\">\n<p><!--FEATURED VIDEO--><iframe loading=\"lazy\" src=\"\/\/www.youtube.com\/embed\/IMdoqYkwVZw?modestbranding=1&amp;rel=0&amp;showinfo=0\" width=\"620\" height=\"380\" frameborder=\"0\" allowfullscreen=\"allowfullscreen\"><\/iframe><!--\/\/FEATURED VIDEO--><!--CTA--><\/p>\n<p><!--\/\/CTA--><\/p>\n<\/div>\n<p>I came across this sentence in an article about gold:<\/p>\n<blockquote><p>Nobody expects gold prices to turn up soon&#8230;<\/p><\/blockquote>\n<p>Another observer put it this way:<\/p>\n<blockquote><p>There doesn&#8217;t seem to be anything on the horizon that will make gold prices go up.<\/p><\/blockquote>\n<p>It would be easy to think these comments published last week, when gold&#8217;s price reached a 4 1\/2 year low ($1,131.85).<\/p>\n<p>But in fact, those comments published on February 12, 2001 &#8212; within days of gold&#8217;s major low of $253. Many investors missed the ten-year bull market in the yellow metal that followed.<\/p>\n<p>The peak of that bull run was Sept. 6, 2011, when gold reached its all-time high of $1921.50. The then-prevailing sentiment was the opposite of 2001. A major global bank announced that gold&#8217;s &#8220;fair value&#8221; was $10,000 an ounce.<\/p><div id=\"inves-404844167\" class=\"inves-in-content inves-entity-placement\"><hr style=\"border: 1px solid #ddd;\">\r\n<div id=\"inpost_ads_header\">\r\n<p style=\"font-size:10px; float:left; color:#666;\">Free Reports:<\/p><\/div>\r\n<div id=\"inpost_ads\"> \r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/1ApBOV\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2018\/06\/graph_techs_PD.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t     <a href=\"https:\/\/goo.gl\/1ApBOV\"><b><u>Get Our Free Metatrader 4 Indicators<\/u><\/b><\/a> - Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter<\/p><br><br>\r\n<br>\r\n<br>\r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/f3RrHX\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2019\/01\/cot_pie_80.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t    <a href=\"https:\/\/goo.gl\/f3RrHX\"><b><u>Get our Weekly Commitment of Traders Reports<\/u><\/b><\/a> - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.<\/p><br><br>\r\n<\/div>\r\n<hr style=\"border: 1px solid #ddd;\">\r\n<br><\/div>\n<p>We had a different point of view. Just four days before gold&#8217;s top, <i>The Elliott Wave Financial Forecas<\/i>t featured this chart and commentary.<\/p>\n<p align=\"center\"><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/www.elliottwave.com\/images\/freeupdates\/image\/A5waverallygold.jpg\" alt=\"\" width=\"420\" height=\"421\" \/><\/p>\n<blockquote><p>Commodity fifth waves in major rallies often end in a final spike higher. &#8230;<\/p>\n<p>Gold&#8217;s wave structure is consistent with a terminating rise. As this monthly chart shows, prices exceeded the upper line of the channel formed by the rally from the 1999 low in what Elliott terms a throw-over. A throw-over occurs at the end of a fifth wave and represents a final burst of buying, as the last sub-waves of a rally conclude.<\/p>\n<p align=\"right\"><i>Financial Forecast<\/i>, September 2011<\/p>\n<\/blockquote>\n<p>Sentiment extremes often accompany major trend changes in financial markets. The Daily Sentiment Index (trade-futures.com) showed 98% gold bulls around the time of the yellow metal&#8217;s all-time high. More than that, a Gallup poll showed that Americans considered gold to be the best long-term investment.<\/p>\n<p>Since then, the price of gold has fallen by over a third.<\/p>\n<p>Now, pessimism is again the prevailing sentiment surrounding gold.<\/p>\n<p>On November 10, an analyst told CNBC: &#8220;I don&#8217;t see a reason why gold prices would continue going up &#8211; there are more reasons for prices to go down.&#8221; The head of precious metals at a Canadian bank says, &#8220;The [gold] market still looks vulnerable.'&#8221;<\/p>\n<p>On November 7, the largest gold-backed exchange-traded fund saw its biggest one-day outflow in nearly three weeks. October saw its biggest monthly outflow of 2014.<\/p>\n<p>What&#8217;s next for gold? You may have guessed, the sentiment is again suggesting that the majority opinion (bearish, this time) will be proven wrong.<\/p>\n<p><strong>New Free Resource: The Gold Report &#8212; 2015<\/strong><\/p>\n<p>New technical analysis, eye-popping sentiment studies, why most analysts missed gold&#8217;s 2011 top, plus a BIG near-term opportunity developing for gold investors right now. <a href=\"http:\/\/www.elliottwave.com\/r.asp?acn=9cp&amp;rcn=aa467&amp;dy=aa112114&amp;url=http:\/\/www.elliottwave.com\/club\/gold-Report-2015-Edition.aspx?code=98569%26articleid=5170\">Log in to read the report now \u00bb<\/a><\/p>\n<p>Don&#8217;t have a login? <a href=\"http:\/\/www.elliottwave.com\/r.asp?acn=9cp&amp;rcn=aa467&amp;dy=aa112114&amp;url=\/club\/signup\/default.aspx?id=98569%26articleid=5170\"><em>Complete your free Club EWI profile to get immediate access to this report &gt;&gt;<\/em><\/a><\/p>\n<hr \/>\n<div>\n<p style=\"padding-top: 10px; border-top: solid 1px #CCCCCC;\"><em>This article was syndicated by Elliott Wave International and was originally published under the headline <a href=\"http:\/\/www.elliottwave.com\/r.asp?acn=9cp&amp;rcn=aa467&amp;dy=aa112114&amp;url=http:\/\/www.elliottwave.com\/subscribers\/freeupdates\/archives\/2014\/11\/12\/(Video,-330-min.)-Investors-Hated-Gold-at-Precisely-the-Wrong-Time-What-About-Now-2.aspx#axzz3Jio7Rd6R\"><strong>Investors Hated Gold at Precisely the Wrong Time: What About Now?<\/strong><\/a>. EWI is the world&#8217;s largest market forecasting firm. Its staff of full-time analysts led by Chartered Market Technician Robert Prechter provides 24-hour-a-day market analysis to institutional and private investors around the world.<\/em><\/p>\n<p style=\"padding-top: 10px; border-top: solid 1px #CCCCCC;\">\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Sentiment extremes often foretell major turns in financial markets By Elliott Wave International Editor&#8217;s note: You&#8217;ll find the text version of the story below the video. I came across this sentence in an article about gold: Nobody expects gold prices to turn up soon&#8230; Another observer put it this way: There doesn&#8217;t seem to be [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-64731","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/64731","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=64731"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/64731\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=64731"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=64731"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=64731"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}