In recent weeks, the gold market has been experiencing a squeeze, with prices surging higher despite a lack of true volatility. However, a key indicator has now flipped, signaling a shift into full upside panic mode. The Golden Volatility Zone (GVZ) has officially turned bullish, forcing investors to chase upside optionality and reinforcing the move.

Historically, this dynamic tends to mark short-term exhaustion, providing an opportunity for profit-taking and potential correction. As such, it’s crucial to monitor the GVZ and adjust strategies accordingly. While the upside potential remains strong, it’s essential to be mindful of potential risks and maintain a cautious approach.

The GVZ is a proprietary indicator developed by the author, which measures the relationship between gold prices and volatility. By analyzing the GVZ, investors can gain valuable insights into market dynamics and make more informed decisions. The recent flip into upside panic mode suggests that gold prices may continue to rise, but it’s important to stay vigilant and adapt to changing market conditions.