SIL

We’ve been very bullish on the miners since January but became concerned recently with the poor technical action in the metals (specifically Gold). Last month the mining indices were very close to a major breakout yet couldn’t punch through. This signaled that Gold could begin a deeper decline and the miners would be vulnerable. However, … Continue reading

The asset relationships we have focused on over the past several weeks, is showing patterned replication in its leading proxy (precious metals miners)….

Those familiar with Jesse Livermore and the book Reminiscences of a Stock Operator know who Old Turkey is. He was Mr. Partridge, an old trader who dispensed great wisdom in few words. Those at the office nicknamed him Turkey because of the way in which he strutted around with his chest puffed out. Livermore gleaned … Continue reading

Last week we noted that the gold and silver shares had formed a short-term rebound in response to an oversold condition. Yet we felt that the downtrend that originated from the hard reversal in March was still in effect. As we go to publish, the rebound appears to be petering out. Be aware that there … Continue reading

Silver could be starting the final breakdown we discussed in an editorial about a month ago.  Silver broke lower today, hitting the lowest level since February. It is only 6 cents above its December closing low of $19.11. Interestingly, the silver stocks as judged by SIL and SILJ are showing more strength. The bottom two … Continue reading

The bottoming process for gold and silver shares has been arduous as they’ve oscillated back and forth for almost a year. We noted a month ago that the failed breakout in March was strong evidence that an interim top was in place. Heading into this week it looked like the miners would fall further before … Continue reading

The Fed minutes were dovish and this helped push Gold above $1310 to $1320. However, the miners, which usually lead the metals did little to confirm the rise. In fact, the miners have been relatively weak in recent days and had a bearish reversal on Thursday. Their rebound from an oversold condition has petered out. … Continue reading

The gold and silver stocks have rebounded nicely but have consolidated in recent weeks. Where is this going and how do we know? Well, a few weeks ago we publicly said that a major bottom is in. Thus, we believe the trend will go higher. Beyond belief, we need real confirmation that the sector will … Continue reading

Good news: a major bottom is developing. Bad news: it needs more time to play out….

One thing that is intriguing about the precious metals sector is the vast composition of the companies in the sector. The entire equity sector can be divided in so many forms and ways. We can divide the gold and silver stocks, the producers and non producers, the explorers and the developers, the royalty companies and … Continue reading