Tuesday, February 20, 2018

David Skarica Warns of Short Term Gold Dip

October 26, 2011 by  
Filed under Inflation Hedge Strategies, Move

David Skarica, publisher of “The Gold Stock Advisor”, is predicting that “we should not expect much from the gold market until about mid-November or so.” Last week, he attributes what he expects to be short term selling pressure on gold and gold stocks to the “copy cat” hedge funds who “John Paulson and a few other big investors were buying heavily into gold, they jumped in the fray too.”

Now the copy cats are getting redemption requests, and as Skarica explains it, “As those notices pile in, funds need to find a way to pay them. The solution often is to sell the winners — such as gold — rather than turning huge paper losses on other stocks and assets into real losses by dumping them in a depressed market.”

Long term, Skarica says “all pieces are in place for a continued multi-year bull run.”

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