From a technical perspective, the recent bounce has carried ETFS Physical Swiss Gold Shares (NYSEArca: SGOL) back to its 200-day moving average.
“The gold price dropped below the key technical 200 day moving average last week, triggering selling by quant funds and short-term traders,” according to the report. “The gold price has been hit along with other commodity prices as the U.S. dollar has surged against a euro plagued by sovereign risk concerns and as investors have squared positions in the run-up to the end of a generally difficult year for investors.” [Euro ETFs and the Debt Crisis]
ETFS Physical Swiss Gold Shares
Full disclosure: Tom Lydon’s clients own GLD.