Post by
fordster on Nov 09, 2021 2:31pm
POG
Time Stamp
Prices as of 9:33 a.m. EDT (14h33 GMT) 9 November 2021 $1,830.20 (Basis the December 2021 Comex Contract).
Direction: Buy
Initial Target Price/ Range: $1,850
Initial Timeframe: 9 November to 19 November 2021
Gold prices have firmly broken above $1,800 and have settled above this level for the past couple of trading days. This helps set the stage for potentially higher prices. That said, for prices to reach the above target, prices will need to settle above $1,835.
As prices moved higher there was a surge in long position building, most notably in the February Comex contract. Total open interest on the Comex was 56.3 million ounces as of 8 November, up from 50.7 million ounces on 3 November. Total open interest on 8 November was the highest levels that total open interest has been at since January 2021. The increase in total open interest alongside an increase in prices suggests that investors were building long positions on the Comex.
If prices are unable to continue rising, this recent build up in long positions could act as a headwind, with these shorter term investors liquidating these positions. If prices continue to rise, the beginning of the roll of the December contract could further help to boost prices