“The whole edifice of modern financial theory is, as described earlier, founded on a few simplifying assumptions. It presumes that homo economicus is rational and self-interested. Wrong, suggests the experience of the irrational, mob-psychology bubble and burst of the 1990's. A further assumption: that price variations follow the bell curve. Wrong, suggests the by-now widely accepted research of me and many others since the 1960's.”
Benoît B. Mandelbrot, The (Mis)Behavior of Markets
There will be a gold option expiration on the Comex next week.
Stocks are once again bumping their heads on the prior highs.
Gold attempted to break out of its current consolidation pattern today, but failed to hold the close.
Have a pleasant weekend.
