Gold on the move, but long-term doubts remain
by Giovanny Moreano
Gold is up around 4 percent in six trading days, drawing some short-term traders into the metal. The long-term outlook however, remains very uncertain.
“Although gold prices have been choppy lately, for the most part they have managed to remain above the $1,075 per ounce level that smart money commercial hedgers have for months been identifying as a value area,” Asbury Research strategist John Kosar wrote in a note to clients this week.
Similarly, recent day-to-day asset flows into bullion, based on the total assets invested in SPDR Gold Shares (GLD), the world’s largest physically backed gold ETF, may be starting to stabilize and expand, Kosar noted.
Asbury Research subscribers can access the entire report from which this media quote was excerpted by logging into the Research Center and scrolling to our October 5th Keys To This Week reports.