last fall, and according to Richard Suttmeier, chief market strategist at ValuEngine.com, has entered a new 5% trading range since experiencing a ”death cross” in April.
“For a commodity such as gold, I think it could be years before gold breaks out of its new bearish bias,” he says. “I think it’s a significant high; the bubble has popped.”
Officially, Suttmeier is targeting a trading range from $1525 to about $1600, pointing out that “there’s an 85% chance” that gold will go back up and test the upper end. Perhaps more important is the fact that Suttmeier thinks “the upside is limited to where the death cross is ($1693),” which is why he’s closer to closing out the gold trade rather than initiating or adding to a position in it.
See the full “Breakout” interview below:
Related: (NYSEARCA:GLD), (NYSEARCA:IAU), (NYSEARCA:SLV), (NYSEARCA:SLW)