Editorials

The cup and handle pattern is a very common pattern in technical analysis and a very bullish one. The pattern is formed as a market, after an uptrend, corrects significantly but eventually bottoms and can rebound back to where the pattern began, the old high. Think of it like the letter “U.”   The handle is … Continue reading

While I did not expect the metals’ rebound to lead to a breakout, I was a bit too sanguine in my last article. I did note the potential for a US Dollar rally, which is underway, but should have stressed Silver’s stiff resistance at $27-$28 and in Gold at $1960. The failure at these levels … Continue reading

The correction in price has ended, juniors are recovering, and Silver is leading. This has led to some renewed excitement amongst the faithful.  But the sector has not broken out yet, and other than the junior silver stocks (SILJ), is not close to a breakout point. A vertical move typically entails some type of breakout. … Continue reading

My articles focus mostly on market timing, which is valuable if employed correctly.  In July, market timing (technicals and sentiment) suggested the precious metals sector was headed for a peak and probably a sustained correction. The same market timing tools argued in November that the correction would end soon and a buying opportunity was approaching.  … Continue reading

In recent weeks we wrote first that the gold mining stocks were approaching a bottom and later that they had hit bottom. Bottoms typically occur in an instant. They are rarely a process like tops.  However, bottoms can form patterns such as double bottoms and inverse head and shoulder bottoms. The rebound in gold stocks … Continue reading

Gold and Gold Stocks have hit bottom. The correction in terms of price is likely over.  Time will tell if they push to new highs or chop around well into 2021. Regardless of that outcome, the downside potential in price is minimal.  Let me start with the stocks. Last week GDX nearly tested its 400-day … Continue reading

Since late July, I have deemed the gold and silver stocks as a hold and not a buy. The risk of a correction was high, and logic and history argued it would last for at least a few months.  Generally speaking, we advised being in a “do nothing” mode. But that is coming to an … Continue reading

Jordan Roy-Byrne, Founder of The Daily Gold joins me to first focus on the continued downtrend in precious metals stocks. As close as this correction could be to being over this week is reminding us that the stocks have yet to bottom. We also compare the weakness in the US dollar and bond market to … Continue reading

Gold Stocks remain in a correction, even if the October 29 lows continue to hold into December.  Corrections are a function of price and time, and often in this sector, a correction can continue in terms of time, well after a low in price is made. But I digress. The most significant and most consistent … Continue reading

We last wrote to you roughly ten days ago. We concluded, “It appears GDX and GDXJ will test their September lows at $37 and $52 reasonably soon. Should GDX & GDXJ break those lows to the downside, then we should get ready to buy.” GDX and GDXJ did break their September lows but only for … Continue reading