Investor Gartman says prepared to buy back gold position

Tue Oct 25, 2011 6:02am EDT

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Oct 24 (Reuters) - Independent investor Dennis Gartman says he is prepared to buy back the gold he sold when he cut his holdings in half last week, adding prices would certainly move upward.

"In light of the fact that gold is back to the levels that we sold last week, we thought it wise to be on guard and prepared to buy back that which we had sold," Gartman said on Tuesday in his newsletter, the Gartman Letter.

On Oct 18, he cut his gold positions by half to take profits, citing bearish technical signals and prospects of margin call selling.

Gartman, who has long been bullish on gold priced in non-U.S. currencies, has been buying gold in non-U.S. currencies since mid 2009, when the precious metal was still trading below $1,000 an ounce.

He said he was certain gold prices in Euro terms would break upwards sooner rather than later.

"Gold is a currency; it has been for years and it shall be for years going forward. A move upward through ?1,200 for gold today or tomorrow or this week or next shall be impressive and important," he said in the newsletter.

Gartman said he would buy three units of gold, one each in dollar, sterling and euro terms. (Reporting by Antonita Madonna Devotta in Bangalore; Editing by Clarence Fernandez)

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