by David Brady, Sprott Money:
Once again we are approaching another FOMC meeting, upon which we will learn whether Gold has already peaked or has one more higher high before doing so. Either way, it is only a matter of time before we get a significant reversal. Until then, unless 1385 is broken, I am only looking up for now.
We have enjoyed a $287 rally from 1167, a rise of 25% since August, and a $187 rally from 1267, a rise of 15% since May 2, to a high of 1454. These numbers will be even bigger if we have not seen the peak yet, but by then, a sizeable reversal will be overdue. We may have to wait until after the FOMC and a spike higher before such a reversal occurs.