Just a reminder to anyone trading Gold kept a close eye on the Options Risk Reversal (Fence), we see it used widely across our Rates Options Complex and Equity Index Options to gauge sentiment, has a very high correlation to the underlying in Gold. Recent closes have been very bearish, suggests Gold closer to $1150 than current levels.
Scatter either suggests either a new range of correlation building parallel to the last 5 years of plots or that Gold is totally at the wrong level currently.
