gold .... comment for 23/jan/2003, page-3

re: gold .... comment for 24/jan/2003 It's open season on gold's open interest.

It now stands at an amazing 226,770 contracts, up from 23/1/2003's 220,499 which cannot be ignored.

Whatever the reasons driving gold higher, open interest would become THE REASON for gold to hit $400/oz or drop down to $320-340/oz.

While open interests keeps on rising it is more safe to be long than short.

If open interest begins to drop and gold drops WATCH OUT BELOW, because $320/oz is possible.

if open interest begins to drop and gold keeps on going or stabilizes above $350/oz the gold has set a new trading range., well above the break out of about $320-330/oz.

DO NOT FADE THE EVER INCREASING OPEN INTEREST.

Arhidas