FX.co ★ Today's sell-offs present buying opportunities for gold and silver in the long term

Massive sell-offs were recently observed in gold and silver, and chief market strategist of Blue Line Futures, Phil Streible, said the reason for this is that investors are looking for security outside of precious metals.

"The increase of bonds, as well as the rally of the Japanese yen, together with the sharp fall of gold and silver, suggests that investors are looking for security, but not on precious metals," Streible said.

To add to that, the restrictions in Europe will necessitate more money to support the EU economy. Thus, the increase of supplies will inevitably lead to the depreciation of the euro.

There are also rumors that the ECB will announce new stimulus measures, however, this is actually unlikely to happen since bond purchases remain calm in the markets so far.

As for the United States, getting a fiscal stimulus will also be difficult if there is a contested election. And if economic activity continues to grow in the country, the dollar will resume its sharp strengthening in the market.

Today, at 8:30 am ET, the Bureau of Economic Analysis will release its preliminary third-quarter gross domestic product (GDP) report, which is expected to reveal good growth amid the rise in personal consumption, which increased by almost 39% in the third quarter.

In spite of this though, long-term fundamentals are still with gold.

"Although the pendulum is currently swinging against gold and silver, the long-term scenario remains: the Federal Reserve will keep interest rates near zero, which will be an incentive for gold and silver to grow again," Streible said.

Thus, today's sell-offs present buying opportunities in the long term.

"We should use these pullbacks to gain positions. Being a consensus trader is a big no. Don't chase highs, instead, buy corrections like what we're seeing today. Many may be seeing red, but for me, I see a great thing."