Is gold gearing up for new highs? Rapturous radical bugs say yes.

Wednesday may prove to have been a very important day in gold. Gold broke early in the day, but then metal reversed, closing higher than Tuesday’s high. For technicians, this amounts to an outside reversal.

The Wednesday close put gold back to the level of June 30 and some $73 higher than the July 27 low.

Back then, almost the only cheerful group was what I have call the “radical gold bugs” mustered around Bill Murphy’s banner at LeMetropolecafe.

I quoted Murphy saying: “As long as the physical market holds up, it is only a matter of time before gold and silver go back up and make new highs”. See July 29 column.

Murphy’s prediction seems to be happening.

Sell strategies for popular gold ETFs
Gold ETFs are gaining in popularity among big investors, but it pays to have a sell strategy. Watch the 200-day moving average, Tom Lydon, editor of ETF Trends, tells MarketWatch’s Laura Mandaro.

On Wednesday night, Richard Russell commented:

…..read Richards comment HERE