Friday, January 16, 2015
USD-GOLD CORRELATION: the only chart that matters now
And a shout out to my homey Mickey Fulp who got me to pay attention with his excellent writeup showing a correlation of -.96 between gold and USD back in late November, which really got me to pay attention.
Cos it's impossible to correlate gold and USD -0.96 unless nearly the whole market involves shorting gold in US dollars.
Well, check out this chart y'all:
Look at late November. Gold was correlated close to -1 with USD, but also with Euros.
Now look at this month. Gold has switched to a +0.8 correlation with US dollar.
Not only that, it's moving to a positive correlation with Euros.
That means all those white-ass honkeys who were shorting the hell out of gold in late November are now going long.
What does that lying shapeshifter Barry Ritholtz have to say about this? Has he missed out?
I'm sure him and his Bilderberg Masonic masters are going to slam it back down at some point... but til then it's a party, bitches!