Gold is still struggling with that 1270-1272 level I mentioned in Thursday nights report and we’ll see if we can break through that now or have a slight pullback. While we are long gold and silver at present, miners we are out of except for Swing Traders and I gave us a 60% chance of being higher on Monday. We’ll see what the open brings and if we should get long again quickly or not. Any dips are 100% buys at this point. I took a snapshot of the lat Friday session and opening Asian prices for gold and they are similar. The dollar is up 6 cents to 93.26. USD/JPY though falling down -0.20 to 110.49. The more it falls the better miners should do.
Gold is close to blasting off though.
COT report had banks cutting their longs but Funds have joined the long parade and banks and funds are long now. Producers though are still short and close to record high. Something has to give there. Same setup for silver now too. With Friday’s little bounce in metals banks are more than likely even more long now. This is all bullish for metals.
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About Doug EberhardtDoug Eberhardt is a 28 year financial services veteran and precious metals broker selling gold and silver at 1% over wholesale cost. Doug has written a book to help investors understand how gold and silver fit into a diversified portfolio, how to buy gold and silver, and what metals to buy. The book; “Buy Gold and Silver Safely” is available by clicking here Contact phone number for Buy Gold and Silver Safely is 888-604-6534
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