Large specs are net short gold but commercials are still slightly short because small specs are long enough.

Futures Only Gold Futures Positioning

(Click on image to enlarge)

Net Spec Short Position 

For those gold watchers such as myself, the net spec position in gold for the week ended Tuesday went NET short for the 1st time since December 2001 when gold was at about $275 an ounce. pic.twitter.com/qUe5TKnqQv

— Peter Boockvar (@pboockvar) August 17, 2018

That Tweet counts Futures and Options on Futures. I posted futures only.

Buckle Up 

Sentiment

As I have commented before, sentiment is extreme, but it can always get more extreme.

With that out of the way, I think Hickey and Fleckenstein have this correct.

This is an exceptionally good gold setup.