Richard (live from ‘The Scarborough Bullion Desk’)
P.S. The encouraging thing, from my perspective, on this enormous Open Interest position is just that,.. It’s enormous!.. Close to 50 million ounces of Gold!.. I do wonder how many more paper contracts can be written before the sellers lose their nerve or indeed the regulators have to intervene,.. The Open Interest cannot expand indefinitely, so the question remains how high can it go,.. The closer we get to the limit, the less the sellers have left to defend higher ground,.. If we get a significant breakout from here then the sellers are running out of options which will only accentuate their problem,.. I, for one, will be losing little sleep for them,.. On top of this are all those smart traders out there who know gold is heading to $1,000/oz, but thought they’d load up on the next correction down,.. Well they’ve waited 2+ years to ride this bull and they won’t want to miss the party now,.. If it becomes apparent that a correction is not in the offering, they’ll be piling in in droves!.." |
