Advertise | Bookmark | Contact Us | E-Mail List |  | Update Page | 

Commentary : Gold Review : Markets : News Wire : Quotes : Silver : Stocks - Main Page >> News >> Story  Disclaimer 
Latest Headlines

GATA appeals to the new Shareholders Gold Council
By: Chris Powell

A Constructive Suggestion
By: Theodore Butler

Gold Exodus to Reverse
By: Adam Hamilton, CPA

Trade War vs. Commodities
By: Louis James

GATA asks CFTC if market rigging by U.S. govt. is legal
By: Chris Powell

Is This Time Really Different? Fed Tightening and Gold
By: Arkadiusz Sieron

Are You Blind To What's Really Going On In The Market?
By: Avi Gilburt

Dow 40,000? Not According to My Charts
By: Richard (Rick) Mills

GoldSeek Radio Nugget: Professor Raymond Moody M.D. Ph.D. and Chris Waltzek

Gold Seeker Closing Report: Gold and Silver Gain Again
By: Chris Mullen, Gold Seeker Report


GoldSeek Web

The Case for an Explosive Surprise in Gold

By: Rick Ackerman, Rick's Picks

 -- Published: Friday, 31 July 2015 | Print  | Disqus 

I’ve been bearish on gold for so long that my successively lower targets have become almost perfunctory. Lately, I’ve focused on a ‘Hidden Pivot’ target at $817, the attainment of which would presumably wash out the last of the die-hard bulls, clearing the way for a resumption of the long-term bull market. Now, however, I am obliged to consider an alternative possibility — i.e., an explosive move without the washout.  Although I lack the imagination to envision such world-shaking news as might cause this to happen, I credit a relatively recent Rick’s Picks subscriber, Michael Gibbons, with jarring me awake.

Gibbons is a market-timer of legend himself, with a high-end service that offers precise, timely trading guidance for 30 vehicles, including commodities, index futures, ETFs, stocks and options.  His take on gold, based on the latest Commitment of Traders (COT) report, is that a potentially major move may be close. It turns out that commercial traders have been drastically reducing their short-gold positions, presumably in anticipation of a trend change. Although the commercials are never net-long gold contracts, they are significantly less short than they’ve been in quite a while. And that is good news for gold investors, since, as Michael points out, these guys are seldom wrong at important turning points. The last time they had it exactly right was in May, when they were loaded for bear, so to speak, a day ahead of gold’s steep plunge from a rally spike to $1232 on May 18.  The August Comex contract has fallen $160 since, or about 13%.

Over that time, commercial traders have covered a substantial portion of the short positions they held in mid-May. That could explain why gold has remained relatively buoyant during the last two weeks, hovering above a correction target of mine at $1059 without quite being able to reach it.  According to Michael, the dramatic lightening of short positions by commercial traders has made a plunge in gold unlikely for now, if not impossible. He further notes that gold could still take another leg down, regardless of how the commercials are positioned.

For my part, no longer lulled to sleep by gold’s tiresome dirge, I will be more intently focused on the intraday charts; for they cannot but divulge the subtle beginnings of an important turn, assuming it comes. Stay tuned if you care!  Click here for a free two-week trial subscription to Rick’s Picks that will give you access not only to daily trading ‘touts’, bulletins, updates and impromptu trading sessions, as well as to a 24/7 chat room that draws veteran traders from around the world.

| Digg This Article
 -- Published: Friday, 31 July 2015 | E-Mail  | Print  | Source:

comments powered by Disqus


Increase Text SizeDecrease Text SizeE-mail Link of Current PagePrinter Friendly PageReturn to >> Story

E-mail Page  | Print  | Disclaimer 

© 1995 - 2018 Supports

©, Gold Seek LLC

The content on this site is protected by U.S. and international copyright laws and is the property of and/or the providers of the content under license. By "content" we mean any information, mode of expression, or other materials and services found on This includes editorials, news, our writings, graphics, and any and all other features found on the site. Please contact us for any further information.

Live GoldSeek Visitor Map | Disclaimer

The views contained here may not represent the views of, its affiliates or advertisers. makes no representation, warranty or guarantee as to the accuracy or completeness of the information (including news, editorials, prices, statistics, analyses and the like) provided through its service. Any copying, reproduction and/or redistribution of any of the documents, data, content or materials contained on or within this website, without the express written consent of, is strictly prohibited. In no event shall or its affiliates be liable to any person for any decision made or action taken in reliance upon the information provided herein.