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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 (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