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June 18, 2025
This Middle East is exploding…
And Gold has gone lower?
That is a MAJOR red flag for the bullish case.
SHORT GOLD NOW
Ok…Last Friday’s SURPRISE BOMBING in the Middle East DID
rally Gold about $50, but here we are three days into the next week, with the WAR escalating
daily, and Gold is now back down almost $100 an ounce from that Friday
high.…To which I’ll say, “Is that all there is??!!” I mean, really, if this WAR getting started in the
world’s hottest hot spot did not take Gold roaring
into new highs, WHAT WILL?
What I’d suggest, and have been suggesting, is EVERYBODY
WHO WOULD BUY GOLD HAS ALREADY DONE SO…that we now have a planet full of
investors fully long this market to their personal limits, with all of them
sitting there waiting for the profits to start rolling in as the next “leg”
higher takes place…And if some degree of WAR BREAKING OUT didn’t do anything more than
we’ve seen, MY GUESS IS THAT THE NEXT PHASE IN GOLD IS GOING TO BE
LIQUIDATION.
MORE SO THAN EVER, I THINK THIS MARKET IS A BIG
SHORT…AND WILL REMIND YOU THAT WHEN THIS TOTALLY EMOTION DRIVEN MARKET GOES
DOWN, IT TYPICALLY BREAKS DOWN 20-30% AND IT USUALLY DOES SO QUITE RAPIDLY.
MY
RECOMMENDATION IS TO BE SHORT GOLD NOW…WITH AN INITIAL TARGET IN THE $2800
AREA…AS WELL AS SILVER, WHICH I CAN EASILY SEEN $4-$5 LOWER IN NO TIME AT
ALL (that’s how it trades). YOU EITHER SHORT FUTURES HERE OR
BUY PUTS…AND IF THE MARKET DOES MAKE A NEW HIGH, EXIT WITH A LOSS.
There is an old quote from Amos Hostetter, one of the
world’s first legendary futures traders: "When a market doesn’t do
what it should, it will often do a lot more
of what it shouldn’t." And let’s face it…Both Gold and
Silver SHOULD have truly exploded during the past 4-5 days…but instead, it had a one day
blip up, and it’s now BELOW where it was when the first rockets were
launched? I THINK BOTH MARKETS ARE FULLY, FULLY OWNED BY THE INVESTING
WORLD…AND THEY ARE BOTH ABOUT DO WHAT THEY “SHOULDN’T,” WHICH IS, GET TRULY
CLOCKED ON THE DOWNSIDE.
Contact me if you agree and want to do something with
this…or in Silver. I would add that both markets have manageable Micro
Futures contracts in which your risks can be defined by stops.
Thanks,
Bill
770-425-7241
866-578-1001
All
option prices in this newsletter include all fees and commissions. All
charts, unless otherwise noted, are by Aspen Graphics and CRB.
FUTURES
TRADING IS NOT FOR EVERYONE. THE RISK OF LOSS IN TRADING CAN BE
SUBSTANTIAL. THEREFORE, CAREFULLY CONSIDER WHETHER SUCH TRADING IS SUITABLE
FOR YOU IN LIGHT OF YOUR FINANCIAL CONDITION. PAST PERFORMANCE IS NOT
INDICATIVE OF FUTURE RESULTS. THERE IS NO GUARANTEE YOUR TRADING EXPERIENCE
WILL BE SIMILAR TO PAST PERFORMANCE.
The author of this piece currently trades for his own
account and has a financial interest in the following derivative products
mentioned within: Gold, Silver
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