- From a technical, cyclical, and fundamental viewpoint, gold is in a fabulous position for price appreciation against American fiat currency.
- Click to enlarge this wonderful “bull flagification of gold” chart.
- Months ago, I suggested that late August would see a fade in Corona cases bring a revival in Indian gold demand. It’s happening now, and at a time when seasonal buying tends to strengthen.
- Concerns about inflation and the botched US government withdrawal from Afghanistan add to the very bullish mix of fundamentals.
- Please click here now Double-click to enlarge. The bottom line is that the short-term gold chart looks fabulous and the weekly chart… even more so!
- Note the fresh buy signal in play on the 14,5,5 Stochastics oscillator at the bottom of the chart. That’s the first significant “green shoot” for gold since early March.
- From here, a surge to $1830 and $1920 seems likely.
- Please click here now Double-click to enlarge this incredible big picture gold chart. In 2012, I suggested that a massive inverse H&S bull continuation pattern would likely form on the weekly chart, and that’s playing out beautifully.
- Not surprisingly, these gargantuan price patterns require enormous amounts of investor patience. The “head” of the pattern alone took about six years to form.
- The good news is that the short-term charts suggest that a breakout from the huge right shoulder is going to happen soon!
- Please click here now Double-click to enlarge this Nasdaq ETF moving averages chart.
- Gold bugs tend to get nervous when the stock market falters, but the Fed has jettisoned hawkish plans whenever the market has even a tiny dip.
- The Fed has morphed into a disgusting fiat welfare office for the elite. There is no QE for gas at the pump, property taxes, groceries, car repairs, or the credit card debt of regular citizens.
- It claims to be supporting the economy, but all the US central bank really supports is rich stock, bond, and real estate investors who are terrified of a bear market.
- A Fed that supports these spoiled brats doesn’t need to be audited. It needs to be shut down.
- I’ve suggested that the US stock market will likely collapse in a kind of hybrid of the 1929 and 1966 bear markets, but not until 2022.
- The collapse is likely to be war and inflation oriented. That means that gold, silver, and miners could become institutional darlings, something that hasn’t occurred since the 1970s!
- Please click here now Double-click to enlarge. A week ago, I suggested gold stocks offered investors only a “Grade C” buy opportunity.
- Given the positive action in India, stickiness in inflation, US failure in Afghanistan, Fed cowardice, and the fabulous Stochastics buy signal on the weekly gold chart, I think GOAU, GDX, GDXJ, SIL, and the CDNX (and component stocks) now get a decent “Grade B” rating.
- Stoploss enthusiasts can take note of the GOAU low at about $17.25. A rally towards resistance at $20 seems plausible.
- Click to enlarge this weekly silver miners ETF chart. Rectangles tend to consolidate an existing trend, basis the Edwards & Magee handbook of technical analysis, and there’s a big rectangle in play for SIL right now.
- Silver has never regained the lustre it had in the 1970s, when Main Street America lined up to buy the “working man’s metal”. In 2011, gold was about double its $900 area 1980 high, while silver couldn’t exceed its $50 high. The good news is this:
- As the next phase of the destruction of the American fiat empire gets underway, I’m predicting a major silver market “resurrection”.
- The stock market declines in the 1970s brought Main Street into silver, and 2022 is almost certainly going to see something very similar start to occur!