While still bullish of gold in yen terms, commodities trader Dennis Gartman said Monday that investors should stay away from owning the precious metal in U.S. dollar terms.
"I think gold is in very serious trouble right here – in dollar terms," he said. "I'm still bullish of gold in yen terms. You've heard the story before. I've been that way. I'm going to continue to be that way, but gold in dollars has broken down decisively."
On CNBC's "Fast Money," the editor of The Gartman Letter didn't offer an explanation of why the trade was breaking down.
"I'm not sure whether it's the currency war that everybody's talking about or simply technical circumstances, but nonetheless any trend line that you wanted to draw on the gold chart has broken down," he said.
Still, gold in U.S. dollar terms could still have further to fall, Gartman added.
"I think it has a long way to go," he said.
The sideways price action, he added, was a sign that "it's going to go down again."
"Something's happening in the dollar-yen move. Something's happening in gold," Gartman said. "You do not want to own gold in dollar terms under any circumstances."
Trader disclosure: On Feb. 11, 2013, the following stocks and commodities mentioned or intended to be mentioned on CNBC's "Fast Money" were owned by the "Fast Money" traders: Guy Adami is long C; Guy Adami is long GS; Guy Adami is long INTC; Guy Adami is long MSFT; Guy Adami is long NUE; Guy Adami is long BTU; Guy Adami is long AGU; Steve Grasso is funds long CUBA; Steve Grasso is funds long GERN; Steve Grasso is funds long HPQ; Steve Grasso is funds long HSPO; Steve Grasso is funds long MU; Steve Grasso is funds long NEM; Steve Grasso is funds long NYX; Steve Grasso is funds long XRX; Steve Grasso is funds long ZNGA ; Steve Grasso is funds long ADT; Steve Grasso is funds long NUE; Steve Grasso is long AAPL; Steve Grasso is long ASTM; Steve Grasso is long BA; Steve Grasso is long GOOG; Steve Grasso is long GDX; Steve Grasso is long LF; Steve Grasso is long LNG; Steve Grasso is long MHY; Steve Grasso is long P; Steve Grasso is long PXD; Steve Grasso is long NVIV; Steve Grasso is long PFE; Steve Grasso is long S; Tim Seymour is long AAPL; Tim Seymour is long BAC; Tim Seymour is long INTC; Tim Seymour is long SBUX; Tim Seymour is long MCD; Pete Najarian is long AAPL; Pete Najarian is long BAC CALLS; Pete Najarian is long JPM CALLS; Pete Najarian is long MS CALLS; Pete Najarian is long YHOO CALLS; Pete Najarian is long BBRY ; Pete Najarian is long BBRY CALLS; Pete Najarian is long SBUX; Pete Najarian is long FB; Pete Najarian is long DELL.
