Turk – Tight Gold & Silver Markets To Spark Massive Breakout
August 13, 2012
Today James Turk told King World News, “I had the chance to read John Embry’s comments today on KWN about the tightness in the physical gold market, and I wholeheartedly agree with him.” Turk also said, “This tightness is further evidence of the backwardation in the gold market I spoke about in our last interview. The most powerful rallies are the ones driven by a tight gold market, and that is exactly what we see right now.”
Here is what Turk had to say: “Both gold and silver don’t appear to be doing much since we last spoke, Eric, but appearances can sometimes be misleading. The action in the precious metals over the past couple of weeks has been very constructive, and here’s the important point. Slowly but steadily gold has been pulling away from $1580, while silver has been pulling away from $27. As I have been saying, I think those prices are history. We won’t see them again.”
James Turk continues:
“The precious metals at the end of last week again approached the top end of the huge bases they have been building since May. Gold and silver dropped back a little today to take a breather. Nevertheless, they are ready to probe the top layer of overhead resistance that has been keeping their price contained.
The next step is for gold to break above $1630 and silver to break above $28.30, and when it happens it will signal their long awaited breakout from these 3-month bases….