Editorials

The precious metals sector remains in a correction, and as long as the 200-day moving averages hold, a bullish consolidation that began last September. Sure, Gold made a new high and is still holding around the previous high, but the rest of the sector has not confirmed that strength. When Gold is outperforming Silver and … Continue reading

Amid the de-escalation of US-Iran tension, Gold reversed course sharply. On Tuesday, Gold shot up to $1613/oz before closing down at $1560/oz.  This was not a surprise because the gold stocks peaked days earlier. As Gold surged to start January, first to $1550/oz and then higher, its strength was not confirmed by the gold stocks. … Continue reading

In recent days, the gold stocks have taken a big step towards a significant breakout, which appears almost certain in 2020.  The gold and silver stocks had been leading the respective metals and, as we posited a few weeks ago, could be unleashed when the price correction in Gold and Silver ends. The sharp move … Continue reading

In recent weeks we’ve noted the positive developments in the gold stocks despite the sector being in a period of correction.  Last week we shared the idea that the next impulsive move in gold stocks might begin when the correction in the metals ends.  In this article, I’m going to share the one chart which … Continue reading

If you follow our work, you are aware of our growing optimism on gold stocks in 2020. As we’ve written, the fundamental setup in 2020 should be bullish for precious metals. Meanwhile, the technical setup for gold stocks is one of the best we’ve ever seen.  Gold stocks (and GDX specifically) are consolidating in a … Continue reading

A few weeks ago we noted the bullish setup for 2020. Macro developments, one way or another will tend to favor Gold. There isn’t a realistic scenario that isn’t Gold bullish. Note the comments from various Fed-heads last week. They are laying the groundwork to target higher than 2% inflation and won’t consider raising rates … Continue reading

The precious metals sector remains in a correction. The miners have shown some positive signs but are not ready to move yet because the metals likely have more correction ahead. Technical support levels can provide us with low risk buy opportunities but combine that with sentiment data and we increase our odds of success. One … Continue reading

The Fed has paused its rate cuts and Gold and gold stocks continue to digest and correct summer gains after reaching multi-year resistance. The correction continues as there is little threat of an immediate break of resistance. It’s boring but this usually happens in precious metals bull markets.  Strong moves are followed by sustained correction … Continue reading

Gold and silver stocks have held up decently during the correction in precious metals, which is now in its 3rd month. However, as we mentioned last week, the bugaboo has been the relatively high net speculative position in Gold, which has not changed much despite recent weakness in the sector. Technically Gold cracked last week … Continue reading

In our most recent editorial we concluded by observing a few positives in the gold and silver stocks. W concluded with: “Their performance over the weeks ahead could give us an early hint as to how much longer the correction will last.” Fast forward another week and a few positives has morphed into a handful … Continue reading

Fed rate cuts have been the driving force of the recent gains in precious metals. This is not a surprise to our readers as since 2018 we argued that a shift in Fed policy from rate hikes to rate cuts would springboard the next big move. History argued the same. The market is showing a … Continue reading

Precious Metals enjoyed a very strong move this past summer. Both Gold and gold stocks broke past multi-year resistance and showed the kind of positive momentum that has been lacking for years.  But strong momentum coupled with major technical resistance set in, along with a temporary shift in fundamentals, thus creating a roadblock and a … Continue reading