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With there already having been countless stories written about the Fed’s actions on Wednesday, I thought it would be helpful to point out one of the least heralded facts from Wednesday’s crazy day of trading: In less than two hours after the Fed announcement, the SPDR Gold Shares (NYSEARCA:GLD) trading volume soared, trading over 40 million shares.

Average volume for the GLD ETF over the past 60 days has been 24 million shares a day. Yesterday’s major accumulation day means that the bulls are firmly back in control, positioning GLD to make a run at $1,000 and all-time highs in the coming weeks/months. Yesterday’s volume on GLD was 59.5 million shares.

In the span of a few weeks, GLD has gone from being CNBC’s darling to now being the forgotten child, with market pros instead choosing air time with persistent calls of a bottom for equities. While the Market Vane Bullishness figures continue to remain high on Gold in the short term, I think they will go even higher as the commodity and the GLD ETF both work toward recent highs and then through their all-time highs.

As is seen in all bull markets, demand has powerfully overtaken supply. A look at the 60 day/120 minute timeframe on the chart below shows just how forceful volume was yesterday afternoon on the GLD:

click to enlarge

Disclaimer: I am long both GLD and April calls on the GLD and plan on adding more to my position on a pullback to $91-92 on the GLD in the next few days.

Source: GLD Soars on Fed Announcement; Headed for All-Time Highs