Gold’s Rally Was “Too Fast” But $1,200 is Great Entry Point, Says One Veteran Trader

Gold prices ended the U.S. day session with slight gains Wednesday, as traders ‘bought the dip’ in prices that occurred earlier this week. According to one market veteran, investors should be focused on being ‘safe,’ and looking for ‘safe-haven’ plays right now. ‘I think the market is setting up for a great short position in equity markets and a long position in precious metals, and probably an okay short position in oil, because we are getting too much of a pop right now,’ says Todd ‘Bubba’ Horwitz, chief market strategist for bubbatrading.com. Speaking with Kitco News on Wednesday, Horwitz commented on gold’s volatile swings. ‘I thought we had a beautiful move up and when we saw that big spike up to $1,250, it was a bit too fast. ‘Then we had nice pullback right at $1,200 – I think that is a great level to look at and work ourselves up,’ Horwitz said from the floor of the CME. April Comex gold was last up $1.20 at $1,209.40 an ounce. March Comex silver was last up $0.006 at $15.34 an ounce.