 Gold prices ended higher Thursday up around 8.30 an ounce at 12.56 90s So if gold and silver can hold this week's gains and produce bullish weekly high closes Then our near-term market bottoms in place joining us today is Todd Baba Horowitz of Baba trading comm Baba welcome back to the show Thanks, Danielle. It's great to be back on with you So as we know the FOMC news and Yellen's remarks Wednesday worked to pressure the US dollar and in turn has helped to lift precious metals Prices here. Is this the break gold's been waiting for Baba? Daniela, unfortunately, you know, I'm a bull is a rule, but I'm not today And I don't I think that this rally is probably gonna fail at probably 1265 to 1270 I think there's I think there's too much damage done last week when we broke down below 1265 So I think a longer term I would be bullish But I'm I'm afraid that there's some more work to do on the downside And I would not be surprised at all to see let's go down maybe to the 1220 level again Now obviously could be wrong, but I don't like the way things look I think that there was a little bit too much damage and I'd be concerned a little bit of silver as well Which you know, silver is always my favorite. So what needs to happen for you here, Baba to turn I guess not that you stop being bullish, but to to get convinced here Well, I'm actually I'm I'm still bullish, but I'd be a short seller at 1270 for a trade I think that what needs to happen here is we need to build a new base here I think that that could be helped along with an equity sell-off But but of course, I don't expect an equity sell-off until at least the first quarter Because at this time of the year we're probably not going to go down But I think if we could drive some fear Into the markets and I think even if you got a little bit of fear in bitcoin I think that that might bring some new money into gold And that might push us to the next level But right now we're in a very tenuous position because of the way that it got treated On the way down there was a lot of flushing of the of bells But it didn't quite capitulate to the bottom So I need to see either a little bit more down move or if we can start to build the base Maybe the equity sell-off. Maybe that brings some new money back to gold What about the news coming out of the Fed, you know, we can expect more rate hikes this year How does this change things for you if it does? Well, the Fed is absolutely clueless as you know So I have no respect and no regard to what they say I think that their overall views are wrong and in in a hundred years They have never made the correct decision on interest rates. I do not expect this time to be different I think that what you're going to see is they say three I'll bet you right now they go to four or five unless there's a meltdown in the economy And I think they're going to overeat the economy as usual, which will then create some sort of a sell-off All right, baba This might be this might be one of the the last times we speak before the new year So as we're about to close 2017 Key levels for gold as we're about to start 2018 here I think that the 1220 is is pretty good support and I'd be I'd be a buyer anywhere near the 1200 level I would be a little bit concerned at 1265 or 1270 I would I would not be a real seller except as a trader. I'm an investor I'm so bullish longer term. I'm willing to sit through some of the punishment I think silver probably 50 50 is probably pretty key I think it's going to stay higher than that, but I think that would be something I'd be I'd be concerned about But again silver I'm so bullish But I as a trade I might look for a short position for a very short period of time That's really how I see it. I think it's going to be a good year for the metals next year I think this whole bitcoin and fed things straighten them this is out Which I think will be very positive for the metals But we do have some work to do before we can get there talk about the Horowitz as always Thank you so much for joining us Thank you Danielle. Have a great holiday and thank you for watching. We'll have more as part of our outlook series So be sure to stay tuned