Don’t buy gold until it reaches this level, Piper Jaffray technician says

CNBC/Keris Lahiff/8-9-2019

Ed Stein cartoon graphic of man thinking about making a decision“Don’t buy into this rally yet, said Craig Johnson, chief market technician at Piper Jaffray. ‘It’s starting to get a little bit ahead of itself,’ Johnson said Thursday on CNBC’s Trading Nation. ‘I would trade it this way – I’d wait for this stock, take profits here and now, wait for it to pull back to about $130 on the GLD, then I’d be a buyer on that pullback and confirmation of support.’”

USAGOLD note:  Of course, you could have said the same thing at $1300 and $1400. . .and some did.  This kind of advice is for those who see gold as a trade.  If you see it as a vehicle for long-term asset preservation – as a safe haven, such advice could end up being counter-productive.  Gold could just as easily go up 8% as down 8% – the correction this trader is looking for.

Re-post from 8-9-2019 

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