function of fundamentals. Despite it’s special place as a “precious” metal, gold is no exception. Cordier says gold’s nearly 20% decline wasn’t a signal to exit but another buying opportunity before the next leg of the Great Gold Bull.
Commodities in general are “too overcrowded, especially in gold.” Citing the $90 one day drop in gold during December as being the result of a “whim” Cordier says “January will be a great time to get long precious metals!”
Cordier’s thesis hinges not just on Chinese GDP staying on the happy side of zero percent, he’s also looking for a “decent” resolution to Europe; two presumptions that will give many investors pause. If they don’t, Cordier’s strategy for taking advantage of his forecast might. He’s selling silver puts “with both hands” at a strike price of $17.
See the full “Breakout” interview below:
Related ETFs: SPDR Gold Shares (NYSEArca:GLD), iShares Gold Trust (NYSEArca:IAU), iShares Silver Trust (NYSEArca:SLV), Market Vectors Gold Miners ETF (NYSEArca:GDX), Market Vectors Junior Gold Miners ETF (NYSEArca:GDXJ).