Get Ready, Gold Showing Signs It’s headed to $1,700 or Higher – Analyst
…”The last three days have reconfirmed by commitment for a much higher gold price in 2018. We are making higher lows for the year – the recent behavior made me nervous, but something very telling happened in the last three days,” Lanci said in an interview on Thursday.
“On Tuesday we had a short covering rally. And Wednesday there was a 10,000 contract increase in December – that’s very unusual, that is an over 2.3% increase in open interest,” Lanci explained. The point Lanci stresses is that gold is now back in a “safe area” between $1250-$1275 an ounce. “The $1,700 call I believe in is going to come to fruition- [if gold gets] above $1275 I will double down on a momentum bet.”
PG View: Lanci has made note of the cyclical pressures that have lifted gold and believes they will come to bear in a more significant way in 2018.
As an aside, Lanci see the marketing of bitcoin as the new digital gold as a “disaster waiting to happen.”