Tuesday, September 9, 2014

OBAMA AND THE GOLDEN FLEECE

The correlation between gold and crude oil is no secret this has been a connection that many traders have accepted and used to hedge their trades for years. In the last year we see oil at the lowest it has been since April of 2013, with gold following close behind it. Obama’s campaign and determination to lift the oil ban that has been set for decades couldn’t have come at a more convenient time, the major countries that are producing crude oil are in a crisis and need U.S. aid. With Asia and the U.S. having the worlds largest oil consumption what better way to dip our hands and gain Intel on these resources’ indirectly. Obama has already cracked the door to exportation of oil and has yet to fling it open completely but when he does and it seems he will expect the price of gold to follow. Holding short at 1309.88 current price 1255.72 gain of 4.1%