Massive shorts to squeeze then propel precious metals: Turk
Investment expert James Turk says a massive short squeeze on gold and silver is approaching which will serve to push prices for both the precious metals higher due to panic buying.
In an interview with King World News Turk, the founder of precious metal investment site GoldMoney, claims there is a "battle between the sellers of paper-gold and the buyers of physical gold", citing a surge in Comex open interest over recent weeks as evidence.
According to Turk the shorts now find themselves trapped and unable to compel gold and silver prices to sink any lower. In stark contrast to their original plans, panic buying by shorts to limit their losses will only serve to boost precious metals higher once certain price thresholds are breached:
The shorts will need to buy back at whatever price they can to limit their losses. It is this panic buying that will launch the precious metals like a rocket when $1800 and $35 are finally hurdled. We have seen battles like this one many times over the past 12 years, Eric. Some of these battles have been fought even more fiercely than the current one, which means it could take a while longer to get the breakouts above $1800 and $35.
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