“In July, the gold net-short positions reached record highs. When gold began to rebound last month, a massive number of shorts were left exposed and many still remain exposed. Gold shorts are stuck holding the losing bet on an asset that is going to do the opposite of what they anticipated. If the price rally continues, these traders will feel increasing pressure to unwind their shorts before their losses become catastrophic. This ‘short squeeze,’ as it is known in finance, will reverse the vicious cycle and could send gold dramatically higher than when the correction started.”
http://news.goldseek.com/GoldSeek/1375798260.php
Related posts:
Petraeus Resignation Smells Funny
'Ag-Gag' Bills, Property Rights, and Common Sense
Timing the Bottom
Now They Want Your Passwords
Federal judge says St. Louis police targeted protesters for retaliation
Nigel Farage: Nigel Lawson calls time on the three-pint Eurosceptic heroes
Napolitano: Obama’s remedy for embarrassment nothing but tough talk
Google's 'principles' on AI weapons, mass surveillence, and signing out
The Wacoization of Chris Dorner
Lew Rockwell & Joe Salerno: War, Terror, and Banking
US Obsession With the Importance of the Mideast and Solving the Israeli-Palestinian Conflict
The Kafkaesque Sacrifice of Encryption Security in the Name of Security
Pepe Escobar: The Real Currency, Gold and Energy War in Mali
Sheldon Richman: No 'Compensation' to Israel for Iran Deal
Bradley Manning: The Mighty Fist!