Gold Breaking $1,400 Does Little to Move Mainstream Investors

by James Passin

Gold is trying to break above the technical resistance line of $1,400 per ounce. The long-term chart of gold looks constructive, while mainstream investors remain apathetic towards gold and precious metals in general. However, it is hard to be wildly bullish towards gold with the broad strength in the U.S. dollar (USD).

On the personal level, I have been using the current rangebound gold market as an opportunity to acquire low-grade (AU-55 to MS-62) Saint-Gaudens double eagles (Saints) at almost zero premium to melt. In fact, I recently purchased a respectable quantity of MS-63 and even MS-64 PCGS/CAC- and NGC/CAC-certified Saints at shockingly low premiums over their melt value. The anomalously compressed premiums in these collectible certified gold coins continues, in my view, to represent a historic buying opportunity for gold investors.