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.
