Gold Price Limit Triggers Protection Mechanism, Gold Market Stops Trading

Shortly after the morning of November 26th, Beijing time, shortly after 1 a.m. standard time in the eastern United States, it was obvious that one of the best deals for customers had nothing to do. trust Responsibility, or traders who have no expertise in trading, decide to sell the 1500 hand contract in a totally non liquid gold futures market: 150 thousand ounces, that is, a gold selling list worth 184 million 500 thousand dollars, and raid the market, causing the futures contract price to drop 10 dollars, triggering the opening protection mechanism of the exchange again, and the whole market's trading is suspended for 20 seconds.

This is the fourth time that the whole market has been suspended for the past three months. Similarly, this incident has not been driven by any relevant news, making the market speculation that the BIS may be the power behind the incident.

According to Nanex, a market research firm, the frequency of such incidents is too high. Such transactions were suspended earlier in April 12, 2013, September 12, 2013, October 11, 2013 and November 20, 2013.

In the meantime, gold is not bad, but it is overcast and cloudy. In fact, everyone is thinking about the fact that we didn't know about gold before. For example, some people say that gold has investment value in the long run, but for example, from 1980 to now, gold certainly has not run through inflation, and from 1980 to now, then the value of 1980 should be more than 3000 dollars now. We are now only more than 1000 of the total gold. Dollar That means a big depreciation. Again, from a lot of investment products, for example, stocks, other metals and gold, gold is the worst trend.

From now on, for example, from the big cycle of gold, is gold at the bottom, or is it going to go on now? I think the big cycle can basically be judged. Why? Because the trend of gold is becoming more and more simple, that is, the relationship between it and the US dollar is becoming more and more close. How will the US dollar go in the future? The big probability is that the US dollar should be stronger and the quantitative easing should be withdrawn. Once this is done, the risk avoidance function of gold will basically be lost, so the golden period is definitely one. bear market The golden period of gold has passed. Now gold is in its cycle. It is certainly not a silver period. I think it is a period of copper scrap. Basically speaking, if we want to invest in gold, the probability of deficit is far greater than the probability of earning. And how many concepts of gold do we have? What is the concept of gold now?

Headquartered in Dublin gold Mark O 'Byrne', the founder and executive director of GoldCore, a dealer, said that when gold prices were below $1200, many mining industries would not be profitable, and gold production should decline at this time. Mark said. Mark also estimated that 36% of the South African gold industry was in a deficit at today's spot prices and said that 28% of gold mining companies in South Africa did not make profits in the third quarter of this year based on the gold price of 1330 dollars.