Here is Doc’s outlook for stocks and metals over the next couple months
Listen to what Doc has to say regarding potential breakouts or breakdowns in gold, silver, and the conventional markets. Will we have a note worth summer or simply a lot of sideways movement?
Click download link to listen on this device: Download Show
India’s economy is going to grow by leaps and bounds this century. It had the largest economy in the world for 700 years according to Martin Armstrong.
https://ip.bitcointalk.org/?u=http%3A%2F%2Fi1.wp.com%2Farmstrongeconomics.com%2Fwp-content%2Fuploads%2F2012%2F10%2Fworldeconomy.jpg%3Fresize%3D584%252C413&t=551&c=mFNkls4H36utAQ
Gabriel,
The USD is no longer the worlds reserve currency. It’s one of five currencies that will have reserve status. And soon we will no longer be on a fiat debt based system.
Really ! No petro-dollar ? Ask the Saudis.
But as long as our military can crush everyone else at will,there will be turmoil.
After all, the dollar’s strength is based in military strength but the overhead needed to maintain a military of our size requires massive deficit spending. It’s circular, until it breaks down …
Dunno. What’s the volume on the Shanghai exchange?
http://www.321gold.com/editorials/sfs/hubbartt050815/gdxj_new_range.png
heres Hubbart from 321gold
Agatha; good chart. The only thing I would disagree with is his timing—-he has the GDXJ rallying at the beginning of June; I believe it will rally later then that (possibly at the end of July/early August.
Good thoughts today Doc. I think the bond market is not just influencing the general markets, but has more of a correlation with Gold than the dollar even has.
I also agree that some of the Silver miners will have more oomph if we get a little more upside. There are lots of comments on the weekend show about different silver miners to choose from.
With GDXJ up 25% since the March low, I’d say we’ve just been consolidating the gains of a rally that is quietly already underway. I think more upside is coming way before June.
Here’s the Schiff fork chart of gdxj that I posted earlier, but this time I used only closing prices to construct it and we now have a breakout. I’ve added a parallel line to show the next resistance.
http://stockcharts.com/h-sc/ui?s=GDXJ&p=D&yr=1&mn=1&dy=0&id=p40207517732&a=406951885
I tend to agree WMK that we may get the upside before June. The breakout in PM miners should be in the relatively near future.
My concern is that if the PMs and miners get a little rally, and this get people bullish for the next 2 weeks, that this may be the point from where we start getting a temporary top. If there is a corresponding downturn afterwards then, I’m more worried for that kind of dip going into June/July.
I just looked at the chart and see what you mean about today potentially being the start of the breakout in GDXJ. We’ll see what kind of follow-through we get tomorrow, but you could be on to something Matthew.
We’ll see what the fork happens…
Here is a press release for Golden Queen – a small gold company getting ready to go into production this year. I have high hopes for them as a potential takeover target in 2016. For 2015, once they get up and producing by Q3 and Q4 and can prove up their numbers they should start receiving more attention:
WMK – Are you familiar with Golden Queen? Any Thoughts?
DOC – based on your comments yesterday about checking out smaller companies getting ready to go into production, I’d enjoy hearing your thoughts on Gold Queen (GQMNF) is the US OTC.
Good one….Where the fork do you come up with this stuff WMK?
I do not know Golden Queen well, but I like what I saw at a glance. Can you provide any nuggets that aren’t in their presentation?
Golden Queen has a full Feasibility Study, they are fully financed already, and going into production in a safe jurisdiction this year.
John Doody has Golden Queen as one of his Top 10 picks for the year, and featured them prominently at the Feb 22nd GSA (Gold Stock Analyst) day this year.
Garrett Goggin Associate Editor, Gold Stock Analyst- also was the first to bring to my attention that Golden Queen was only spending enough capex to prove up the reserves they are going to mine for the next 6-12 months at time to conserve cost, which seemed like a unique approach. This also means they have much bigger reserves than what they’ve put out in their Feasibility Study as they didn’t spend 5 years and burn through all their money proving up reserves that they won’t touch for 5 years. Instead they streamlined the process, got the money raised, are mostly done with construction, and they’ll be producing in the next few months.
I’ve heard a little buzz about them lately on a few sites, and see them as one of the few Jr Miners about to get some new growth going again (like Romarco and Torex Gold, and Bear Creek Silver).
I just respect your analysis and views on Jr Miners that are becoming small producers.
Thanks a lot Shad, I’m definitely going to take a closer look.
Golden Queen (GQMNF): First Quarter 2015 Highlights
Golden Queen’s consolidated and non-consolidated cash positions were $64.5 million and $4.6 million, respectively, as at March 31, 2015;
The workshop-warehouse was fully equipped with the necessary lubrication equipment, compressor, workbenches and a waste oil storage tank in February.
Work on four (4) offices constructed on the floor above the warehouse was completed in March;
The Hilfiker wall, a key component of the crushing-screening plant, was completed in February;
The construction of the assay laboratory was completed in March and the laboratory equipment was purchased and is being installed;
Preparation of the Phase 1, Stage 1 heap leach pad was initiated in early 2015 and site grading was completed in March;
Basic construction of the pump box was completed in March;
Construction of the site-wide power distribution system and water supply infrastructure is well under-way;
Pre-production mining commenced in late March 2015; and,
The Company announced a change in its mineral resource and mineral reserve estimates, and filed an updated feasibility study and NI 43-101 Technical Report with the regulatory authorities on February 27, 2015.
If you see just how much gold is going into India and China, we’re bound to see a repeat of the same currency crises that we’ve seen in Russia. On a much larger scale, the U.S. Dollar is at risk because markets are being kept at a certain level not wanting to rock the boat, but it can only lead to a currency debacle, wanting everything to work your own way with no concessions. A currency crisis could not be far off.
Liquidity trap in Bong Market ?
http://blog.milesfranklin.com/i-bet-you-didnt-even-notice-it
I think you meant Liquidity trap in the “Bond” market.
A Liquidity trap in a “Bong” market leads to “higher” evaluations….. 🙂
ah ah need a tool !
Doc,
The Bollinger Bands being this tight means a big move is coming? Correct?
I know the MAs are flat, but those tight b bands are telling of a coming move.
If gold where to drop and the dollar goes up, most get trapped.
That’s how I see’s it.
a very real potential Chartster. Something is getting ready to break out though with the channeling range and wedge formation. Which way does she blow? nobody knows…
I know , but, I am not telling………… 🙂
Frankjerstein….you naughty Russian. 🙂
LOOKS LIKE THE BOLLINGER BANDS……..Just sprang into action……… 🙂
yep.
Shad,
I agree. Almost everything is wedged up. The global exchanges are about to get rolling too.
It’s and international wedgie…. and it hurts…..
Peter Hug discusses “The Wedge” on Kitco today.
Off topic:
John Kerry has done more for a peaceful solution than anyone I’ve ever seen. He has struck some good deals in behalf of the US. I’m kinda starting to like that guy.
He’s been walking the walk for sure!
Skull & Bones John Kerry Talks About a New World Order
BUSH AND KERRY ….the same clothe…………
besides he has Ketchup under his finger nails……
Again you are focusing on the negative.
If a person has ketchup under his/her fingernails, that person will never starve!
Bush / Kerry Skull and Bones Avoidance
Secret Societies SKULL & BONES REVEALED, CNN 2009
Senator Rand Paul HUMILIATES and EXPOSES John Kerry!!
He’s just a pawn in their game in my opinion, so whatever he is doing is part of the monopoly game and charade they present to public.
Shad,
I know he’s a skull n bones. I also know it’s a larger game going on. But I also know war is off the table and now we are forced to make peace. Key word, forced.
The rest of the world is no longer playing ball with the cabal.
The United States is going back to a republic. We will have an asset based currency. And we no longer control the world through military might and the SWIFT system.
It’s time Americans wake up. It’s time to take care of matters on our soil.
I do like peace much better, and do think one of the big shifts from West to East is that they aren’t playing ball with the “old regime” and the cabal from England, France, and the USA.
We may very well be entering into a new paradigm, but let’s just not call it a new world order 🙂
Peace be with you my good man!
(OT) Klondex Reports ….
“Klondex Reports 2015 Q1 Net Income of $10.1 Million or $0.08 per Share”
MRQ P/E ~ 10.0 [3.19/(0.08×4)]
Stock price up substantially tomorrow
Check this out, Brian. Despite losing more than 66% against the dollar, silver managed to rise over 1,200% when priced in AXU. ($GOLD:AXU went up 2,300%)
http://stockcharts.com/h-sc/ui?s=%24SILVER%3AAXU&p=W&yr=4&mn=5&dy=28&id=p87976291680&a=407893070
That is an AMAZING chart; thanks for thinking of it and putting it together.
I’m really starting to appreciate the concepts of charting ratio trends.
This Silver:Alexco chart really accentuates the potential for Alexco if (when) silver gets back into the US$40s.
Thanks again, Matthew – I REALLY appreciate your charting skills and have learned a lot from you over these past months.
Brian
Brian & WMK – I looks like Alexco (AXU) has a history of strong support at around the $.36-.37 level, and it bounced off that level again Monday. I notice it broke out the top band of the bollinger bands in late April and reflected back down in May.
– Do you think the $.36-.37 range is strong enough support to hold the level on pullbacks?
– If we get a pop in PMs does AXU have enough oomph to get above the $.44 resistance zone from the most recent peak on April 28th and the peak before that on March 3rd?
The fork and 50 day sma are holding but it can get pushed around pretty easily by bears who like to short silver stocks when they’re bearish on the whole gold space (which is a good strategy if they’re right).
Earnings get reported after the bell tomorrow.
http://stockcharts.com/h-sc/ui?s=AXU&p=D&yr=1&mn=4&dy=0&id=p54854939077&a=405824361
The first plunge to .27 happened very quickly, so I would not rule out a repeat driven by the very confident “sell in May” bears and pm bears in general. If you’re going to buy, you might consider putting three or more bids in at different price points down to .25 or so.
http://stockcharts.com/h-sc/ui?s=AXU&p=D&yr=1&mn=3&dy=19&id=p04312580262&a=392075297
I would be surprised if it breaks the lower BB; if it does, I would actually buy some trading shares. That 0.44 resistance goes WAAAAAY back to the 2008 bottom.
Personally, I have a real problem with the current CEO; I think if he was replaced the stock would pop 25% in one day. When the milling operations were halted (low price of silver) he could have used the profits from the Enviro group to build up the cash needed to re-start. Instead he continued a drill program. Already had 50M ounces for a 2M/year operation (Life of mine = 25 years).
Good thoughts on Alexco Matthew & Brian.
Yes I saw where .36-.37 has been the floor for the mid term, and that the BB did coincide, but I wouldn’t rule out short bear strength.
As for the $.44 resistance, it seems it would be very bullish if it could ever break above that on a surge.
The lower BB is .36 in USD. Good point about the CEO, Brian, but isn’t he the largest shareholder? Don’t know if he’ll be stepping aside willingly.
There was a job posting for a new Alexco CEO about a month back. I’ll try to find the link. It was on Yahoo message boards.
Thanks, very interesting. Do you happen to know if there are many other shareholders that would like him to step down? Maybe he wants to retire.
The stock went fro US$10 to $0.25 – I’m guessing he does not have many supporters; however, he is an older gentleman, so perhaps it is retirement.
A valid point with the CEO Brian. Sometimes changing it up from the top down can get things moving, and sometimes it is a non-event.
In this case, I think Brian is right. It would be an event.
Well then if they do replace the CEO, I’m gonna bake a cake and put sparklers on it 🙂
Sounds tasty. The nitro cellulose, I mean. 😉
https://sp.yimg.com/ib/th?id=JN.Wvp1sfTY2tTB99%2b35fBEBw&pid=15.1&P=0
hilarious.
I think there is some good momentum where it could break above the 20 week sma. We shall see soon enough, but I am planning on a pop in PM miners for the next 2 weeks as a better probability (especially if the dollar weakens more, and the bonds stay jacked up).
Shad, as mentioned before, I believe the path of least resistance for the dollar is down over the next 2 weeks. Then we’ll see what happens—most likely is a rally.
Good thoughts. Thanks Doc.
Shad, GDXJ is above the 20w sma right now. After nothing but steep rallies that have resulted in left-translated cycles, I think we are now (finally) going to see a right-translated daily cycle followed by a right-translated weekly cycle.
http://stockcharts.com/h-sc/ui?s=GDXJ&p=D&yr=1&mn=0&dy=0&id=p44043781142&a=407874750
Yes I’m sorry that was confusing….I meant if GDXJ closes on the weekly above the 20 week sma. It is already encouraging that it broke above it, but I mean close out the week strong and lock it in….preferably above $26.57 (Feb 27th peak).
Btw, GDXJ just broke out of the downtrend that began in January but the 60 minute and lesser charts suggest that we’ll see a small pullback very soon. The dashed black line is based on the three highest closing prices so a 50 to 60 cent decline to that line would be fine. My indicators say buy the dip.
http://stockcharts.com/h-sc/ui?s=GDXJ&p=D&yr=0&mn=5&dy=28&id=p84598662913&a=407941879
My indicators say buy JNUG at the dip 🙂
Hey…..GDXJ just broke above $26.57 (Feb 27th peak) and is currently at $26.64. Wow.
I prefer options. In fact, I became so bullish recently that I trimmed my shares way back and bought calls instead. Not to mention a bunch of tiny juniors. 😮
I’m tellin’ ya, the signs were all there!
I’d be careful with GDXJ at these levels. We’ve had about 2 mouths of a grind higher on the daily chart. I’ve noticed over the years in bear markets that when you see this pattern, the next break is lower. I’m not a trader and I believe by the end of July we’ll see a lower entry point for GDXJ—that doesn’t mean we’ll take out the previous low in March.
GDXJ is approaching the top bollinger band and so it could break out up above it and start a nice counter-trend move higher, or get slapped back down, in the next 2-4 days and break lower as you mentioned. Since I do have some positions on, I prefer the breakout, but will be keeping a close eye on things the next few days.
Good thoughts today as always Doc.
…..and we got our breakout today. Dollar down to $93.52 (closing in on the $92 level).
Market Vectors Junior Gold Miners ETF (GDXJ) -NYSEArca
26.65 Up 0.77(2.98%) 12:18PM EDT – Just took out key resistance at $26.57
PureFunds ISE Junior Silver ETF (SILJ) -NYSEArca
8.03 Up 0.28(3.59%) 11:47AM EDT – JR Silver Miners outperforming Jr Gold miners
May 10, 2015 at 3:28 pm,
Shad says:
“Yes, but I believe Silver stocks will outperform Gold stocks when the commodity markets do put in their major bottom, and a number of the silver miners out-performed the gold stocks in Jan/Feb, but sold off harder in March/April. This is natural for Silver to outperform on the upside and downside.”
I am not implying this is the major bottom, just the PM price pop that was expected, and that the silver miners would out-perform the gold miners on legs up and on dips down.
Stocks like TLT are just too risky for me, a little disappointment and this stock will instantly tank, they need a miracle and miracles are always in short supply, IMHO!
Sorry, I forgot about the venture exchange listing; this TLT is a U.S. treasury bond fund.
I should have checked your chart Matthew, I made an assumption but I am aware of TLT in The US, and by the way keep up the good work. DT
Thanks DT.
Here the TLT chat on the other blog. I sold my shares at a profit this morning but did nail the $119 reversal and get out with a small profit. It is almost TBT time instead.
On May 12, 2015 at 8:49 am,
Shad says:
good morning CMC. I replied to you on the Chris Temple blog from yesterday about long term bond yields, and strategy on using (TLT) versus (TBT) in the short, mid, and long term. I also posted a bunch of great thoughts from other contributors on the 30 year bonds at the very bottom. It’s worth a read.
So far going in at $18.54 this morning in the pre-markets on (TLT) is working out…..it’s at $120.44 at present. I was expecting a counter-trend bounce at 119 and have been writing about it for 2 weeks in the blog. However, I do think bond yields will continue to rise, but in the next few months, it would not surprise me if the bond yields and went down and tested the all time lows one more time. Then I feel 30 year bond party is definitely over for years. That will be the time to stock up on (TBT).
On May 12, 2015 at 9:08 am,
cmc says:
Thanks Shad. Looks like a lot of good info there. I will check it out.
On May 12, 2015 at 9:10 am,
Shad says:
May your investing and trading be very profitable CMC. Cheers!
On May 12, 2015 at 4:40 pm,
cmc says:
Shad, I read your comments at yesterdays blog. We have Gary looking for another run up in the dollar to reach the last peak with maybe a pull down to the 92 level first. So, TLT looks promising until the dollar peaks one more time, and then TBT looks interesting. Thoughts?
On May 12, 2015 at 4:41 pm,
cmc says:
Again, thanks for all the commentary you put together.
On May 12, 2015 at 4:54 pm,
Shad says:
Yes, I agree with that CMC. My basic thesis for a while has been waiting for the dollar to roll over to 92 (fib retracement) and then make it’s climb back up which would put pressure on commodities. The only difference is I’ve had to move the timeline back a little is all to allow for the dollar to fall. When it hits 92 I’ll re-evaluate, but may take profits. Below are my remarks to Birdman about a month ago and they haven’t changed much:
On April 15, 2015 at 6:56 am,
Shad says:
“If the USD double-tops and the Euro double-bottoms, as you expect to play out, I’ll be watching for that and act accordingly, but if the dollar keeps going higher past the 100.39 level (which I expect it do over the next 2-3 months) then 110 is where I’d cap the rally, and I do not expect it to take out 120.
I do believe a rise in the dollar would pressure the commodity space in May and maybe into June. However, if the dollar does roll over near 100-101, then I could see the calls for PMs and commodities to rise in May & June, as the reverse scenario would play out.
We’ll have to see where the market pushes the greenback, and when it will decide to roll over and head down to 92.”
On May 12, 2015 at 5:00 pm,
Shad says:
So the dollar did double top near 100 and did turn down so “the opposite” scenario I laid out has happened where the dollar got weaker and is heading down, and this has boosted some commodities like Oil. Gold, Silver, Palladium, Copper, etc…
I believe this trend will reverse when the dollar starts its climb back up, and could be the trigger for the washout in commodities and sentiment everyone’s be waiting for. We’ll just have to see how it all plays out….
Have a good one!
On May 12, 2015 at 6:57 pm,
Shad says:
CMC – just for clarity….. Yes I’m thinking TLT will be good as the dollar moves into strength, and then TBT will look good when the dollar rolls over at it’s highs in a few months and starts a multi-year downward trajectory at that time.
In the short term, it was good confirmation that TLT tagged the $118-$119 zone and then turned sharply back up today. That was right on cue with what was anticipated. However, I stress this bounce is likely to be very short-lived as I expect the dollar to still head lower in the near term which will influence the 30 year bond yields and vice-versa.
On May 13, 2015 at 6:50 am,
Shad says:
So far so good on TLT again today. I’m probably going to take profits soon.
I was very happy to get into my TLT position at $118.54 and it was just $120.60 so I am chickening out here a modest 1.74% profit. The bond markets are just too scary right now (which is a funny statement to me). I am not impressed with this bounce and don’t know what kind of legs it is going to have, and would rather get side-lined.
**If you look at most charts (which rarely take into account after hour and pre-market trading), then TLT cascaded down from $130 and nailed the $119 level exactly as projected and then bounced right on cue. I’d say that was good call, but from here I’m not really sure, so I’m out to watch and see what happens.
I am not familiar with Constantine Metals, but thanks for posting WMK.
Silver, breakout or fake out ? TBD, and soon.
Nice charts, Matthew.
If you wanna listen to an inspirational beacon of light who eloquently describes the U.S surveillance/prison/war state….look no further than to Pulitzer Prize winning, Presbyterian minister Chris Hedges. He knows that America is crumbling neo feudal snitch- state. His new book Wages of Rebellion: The Moral Imperative of Revolt should be a fun read:).
Tha patriot act has to be reinstated by June 1st.
My contacts are saying , it won’t happen! The patriot act is toast!
Chartster, I think the U.S. is toast. The PA will be just fine.
WMK,
The sheep will snap out of stupid after they get pick pocketed in 2016.
I just can’t see it. Every time they appear to wake-up, they immediately show their stupidity again by demanding the wrong “solution” from the wrong people.
I get what you are saying, as it is frustrating. It will take about 15% if the populous to wake up. Most people over the age of 45 are ruined. Most of my friends are over 45 and they are too brainwashed to even try to have a conversation with. They are either dumb dems or delusional republicans.
It’s up to the younger generation now.. ( geez.. )
Exactly. As long as the people believe that the evil party and the stupid party are good for anything, the place is TOAST.
Agreed on both accounts.
BIG FREAKING DITTO
Lets hope your contacts are right.
The euro is sporting one good looking bottom.
http://stockcharts.com/h-sc/ui?s=%24XEU&p=W&yr=5&mn=3&dy=0&id=p21859974567&a=371818895
UUP ($) looks ugly to me:
http://stockcharts.com/h-sc/ui?s=UUP&p=D&yr=0&mn=3&dy=22&id=p57116445379&a=400666403
Looks like we have a two-headed H&S top.
http://stockcharts.com/h-sc/ui?s=UUP&p=D&yr=0&mn=11&dy=0&id=p70291583997&a=361825427
I said that silver is where it’s at and it has outperformed gold by 3% since I put up this chart the other day.
http://stockcharts.com/h-sc/ui?s=SLV:GLD&p=D&yr=1&mn=11&dy=0&id=p24409516928&a=407706196&listNum=1
DITTO ON THE SILVER……..
GOLD LOOKING GOOOOOOOOOD……………………. 🙂
absolutely!
One of my favs that’s been talked about here. Something you can sink a pile into as great liquidity. It’s breaking out of a large base now.
http://stockcharts.com/h-sc/ui?s=KGI.TO&p=D&yr=1&mn=0&dy=0&id=p76981539164&a=336182233&listNum=1
It’s looking strong Bill.
There quite a few shaping up…eh w m Knarf?
http://stockcharts.com/h-sc/ui?s=GUY.TO&p=D&yr=2&mn=6&dy=0&id=p74018522976&a=406107689&listNum=1
Yesiree!
Here. Fixed it.
http://stockcharts.com/h-sc/ui?s=GUY.TO&p=D&yr=2&mn=6&dy=0&id=p34289154743&a=406107689
😮
Do you guys ever admit you was wrong, doc was saying yesterday down to sideway for gold in may, now today he saying he knew gold would go up because the dollar has some downside left. What?
Catman, the point is where will gold be for the month. Down or sideways?
catman
I don’t care about the price of gold. Equities have consolidated for eons and are trending up. I ignore commentary as it can just send me the wrong way…I love Doc but its what my eyeballs see and my gut says. I also have an excellent service that have a good long term track record and the just recently posted 15 companies that are looking up…and are near breakouts…This is a perfect example…Long term base building…accumulation and a breakout from the base…Thats why she popped today..We will see if she moves higher now…resistance is behind for now.
http://stockcharts.com/h-sc/ui?s=KGI.TO&p=D&yr=3&mn=0&dy=0&id=p36749055197&listNum=1&a=336182233
Check out GSC…popped 100% in a few trade sessions.
This is NOT typically the time of season to buy but I don’t argue with charts.
SMF up nearly 8% today..
Written a month ago:
Since the early November lows, Gold stock
indices, the XAU and HUI settled into well-
defined trading ranges. The market action
was limited to an occasional “flare up” during
which the indices retested their support and
resistance levels.
The bears could argue that both the XAU and
HUI indices remain below their falling 50-and
200-day moving averages
and it is only a
matter of time before the November-
December-March line of support fails to hold
off the selling pressure.
The bulls could flip the argument and point
out that the bears’ repetitive and unsuccessful
attempts to break the key support only
strengthened their bullish case and it is just a
matter of time before this bull-bear standoff
results in a major rally.
The Gold sector is a late-cycle performer.
T h i s s i x – y e a r – o l d b u l l m a r k e t i s
approaching its expiration date and, as a
result, it is most likely to be preparing its
final act. Past precedents show that Gold
stocks play a vital role at the tail end of
bull markets.
2.
While some Gold stocks remain in distress
according to their technical standing,
there are plenty of names that have
adequate base patterns to support a
significant rally.
Stocks such as Agnico-
Eagle (AEM-T), Detour Gold (DGC-T),
Fortuna Silver Mines (FVI-T), Guyana
Goldfields (GUY-T) or Kirkland Lake Gold
(KGI-T) are candidates for leadership.
Having said that,
only breakouts from the
current trading ranges would confirm the
start of a rally in the aforementioned Gold
stocks.
3.
Finally,
the interest in Gold and Gold
stocks has evaporated and expectations
remain low.
Rallies and declines in Gold
and Gold stocks very often trigger swift
turns in sentiment readings. In other
areas of the market, participants need
months of positive action in order to turn
excessively bullish or vice versa. In
contrast, the sentiment toward Golds
changes literally on a dime, creating
extreme volatility, unbearable for many.
The recent uptick in bearishness is an
example of a typical overreaction to an
otherwise orderly pullback.
The bull-bear standoff continues. A
sector rotation analysis, base patterns in
many Gold stocks and the lack of interest
i n t h e s e c t o r s u g g e s t a p o s i t i v e
resolution to the current plateau.
However, only breakouts from trading
ranges would constitute a firm BUY
signal in leading names.
You want a curve ball ?
China Is Taking Control Of Physical Gold Pricing:
In order for china to take control of pricing they will have to break the COMEX.
They will have to take delivery of every available ounce of physical that the exchange can find and then demand more until the exchange settle in fiat.
China has deeper pockets than the Hunt Brothers and they have much more muscle.
Right now the US export quite a bit of gold, when it looks like our supplies have dried up and physical is very tight, then the window will open for a run at the COMEX.
http://www.bullionstreet.com/news/us-gold-bullion-exports-spike-83-in-q4-usgs/6465
“NEW YORK (Bullion Street): Total Gold exports from the United States for the fourth quarter 2014 were 58% greater than in the third quarter,
owing to an 83% increase in fourth-quarter bullion exports compared with third-quarter exports, the US Geological Survey (USGS) said in its latest report on Friday.”
My guess is that we will not see a gold backed reserve currency ever. India has over 20,000 tonnes within its borders, if gold becomes important, then India becomes very important, more important than the U.S., there is no way we would stand for that.