Gundlach said gold prices, which have broken their downtrend line, were on the verge of breaking out to the upside. “It’s getting almost exciting ... something big is happening,” he said.

“Gold is maintaining an upward pattern above its rising 200-day moving average, which is extremely good,” he added.

Based on classic chart reading, Gundlach said an “explosive, potential energy” of a huge “head-and-shoulders bottom” base was signaling a move of $1,000 in gold prices.