Be long gold, or get ready to be long gold

Jordan Eliseo

Despite the corrective action in precious metals in October, 2016 is still shaping up as the year that the secular bull market in gold re-asserted its primary trend. One of the reasons we’re more optimistic about where prices will head next is the significant reduction in managed money long positions that have taken place over the past few weeks, with bullish bets on gold prices now down some 50% from where they were in July. This is an important development, as gold has managed to hold important levels of support price wise, whilst working off a large part of the excessive exuberance that was on display from the speculative end of town. In this recent report I look at this in more detail, and identify several other powerful macro drivers emerging. As we like to say, in a bull market you should either be long, or sitting on the sidelines waiting to get long. (VIEW LINK)


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