How Can Gold Benefit From Rising Yields?
Jordan Roy-Byrne, Founder of the TheDailyGold.com joins me today to recap a recent article he published on his site. We look at the general rise in yields recently and assess what it would take for gold and other precious metals to benefit on the heals of this environment. We also look at GDX and GDXJ in terms of what they have done this year and potential levels they could bounce from.
Click here to read Jordan’s article that we reference.
Click download link to listen on this device: Download Show
another depressing ugly day in the miners.
http://stockcharts.com/h-sc/ui?s=SIL&p=D&b=5&g=0&id=p43031981309&a=554179522&listNum=1
Lower lows coming.
Who wants miners, when you can have WEED…..that is a sure bet….sheeple are doomed
I think this is getting out of hand……….third time I posted….
http://www.zerohedge.com/news/2017-11-01/iran-preparing-infrastructure-bitcoin-adoption
We are about to find out how free we really are in the U.S
Will China be next to welcome back Bitcoin?
I think , if they are going to use the silk road…….they may have to have it for the people along the route…….we discussed this before……
New Zealand gets on board.
https://www.cryptocoinsnews.com/tokens-cryptocurrencies-securities-says-new-zealands-financial-regulator/
Wonder when American CIA DEEP STATE WILL start attacking all the countries that have cryptos…………..They will be going after the cryptos in lieu of the gold…… 🙂
I dont think they will need bitcoin, Russia is making their own crypto.
Jerry:
You can’t steal the Cryptos.
Imagine that!
Bitcoin IRA.com requires three individual keys just to unlock your account.
You can store the keys off line.
Too Bad for the Govt……
I bet the Pentagon will quickly create their own crypto, and say someone stole the key,….oh, no…the $21 Trillion in bitcoin is missing they will say…….
You still have to register with the Government.
That being said,once you take your Crypto off line,the only one who knows you have it will be you.
This is going to force the Government to adopt a tax system based on consumption.
No more loop holes for the Cabal.
For I Have Seen The Glory Of The Coming Of The Lord.
How confident are you that this is disruptive of the globalist mafia’s schemes?
I don’t follow the cryptocurrencies much, yet. But I wonder if there is a way that the usual suspects either 1) are planning to subvert them to their purposes; or 2) have had their fingers in them from the very start as part of a larger plan.
Interesting thought GH………
More depressing charts…
http://stockcharts.com/h-sc/ui?s=EXK&p=D&b=5&g=0&id=p18324876161&a=554182763&listNum=1
EXK’s monthly chart is just ugly. The lower BB is bending down and is currently at $1.72. Price has to tag that band before a bottom, and when BBs are bending down like that, it is rarely just a kiss. It will likely be a couple of months of follow though/consolidation before any sort of mild bounce.
http://stockcharts.com/h-sc/ui?s=EXK&p=D&b=5&g=0&id=p18324876161&a=554182763&listNum=1
When it broke below the 20 month MA and failed to even touch that MA subsequently for several months, I should have bailed 100%. That is a clear warning sign, especicially when there are no MAs to support price.
spanky – It has been ugly lately with EXK. I trimmed back some around $2.24 earlier to fortify a few other positions that had pulled back, and EXK is fairly liquid to trade. Again, I’m glad to have dodged that late in the day sell down on the position sold. I’m going to look for more downside pressure in it before adding that portion back.
medium term and for any tax loss sell downs, I plan on being a buyer of EXK though.
Again, pre-FOMC weakness may be the buying opportunity.
Huge volume in EXK. 10 million shares near the end. Extremely ugly day. More to come before the banksters have their fill. Noticed HL spike down too, but on average volume.
New FED CHAIR……….
Rickards Warns “The Market’s Got It Wrong”
The December 2017 FOMC meeting will be Yellen’s last. She does not want her legacy to be that of the Fed Chair who caused a recession by tightening into weakness. That would repeat the classic Fed blunder of 1937.
Yellen’s legacy is secure because she was able to begin rate hikes and balance sheet normalization, both of which reversed the easy money policies of Ben Bernanke. She will rest on those laurels and not take a risky rate decision on her way out the door.
Eventually the markets will figure this out. Right now markets are giving a nearly 90% chance of a rate hike in December based on CME Fed Funds futures. That rate will drop significantly by December 13 when the FOMC meets again with a press conference. (There’s another meeting on November 1, but no one expects any policy changes then).
As market probabilities catch up with reality, the dollar will sink, the euro and gold will rally, and interest rates will resume their long downward slide.
http://www.zerohedge.com/news/2017-10-10/rickards-warns-markets-got-it-wrong
Jordan, what do you think of what Harry Dent had to say on the Kitco interview, saying gold will go to $400-450 before it begins its bull market based on history of bull and bear markets on commodities?
In Jordan’s article, Jordan says: “The good news is those who buy weakness in the months ahead could position themselves for strong profits in 2018.”
——-
I think those who bought weakness during the last few days have positioned themselves for strong profits in 2018.
http://stockcharts.com/h-sc/ui?s=SILJ&p=D&yr=1&mn=0&dy=13&id=p93815718499&a=554125514
Thanks for that chart Matthew. EXK has rallied back nicely today, but is still below where I sold it yesterday. I rotated the funds into other Silver & Gold companies that I feel may outperform over the medium term, and if that support doesn’t hold, then I’ll pick up EXK down a better price point. If yesterday was the low, then so be it, but I have plenty of positions in place if the miners start to rally from here.
Do you think the upturn will begin before tax loss selling from late Nov-early Dec, and the “dreaded” FOMC rate hike in Dec? Just curious as to your outlook through year-end?
I think at least an upward bias might have already begun but the clear strength I’ve been looking for might still be weeks away.
A December rate hike is probably what we need to get the move going. No dread about it here!
The sideways grind might drag on but I don’t see much cause for concern about a big drop at this time.
SLV
http://stockcharts.com/h-sc/ui?s=SLV&p=D&yr=0&mn=9&dy=0&id=p73759287757
A move above the bunched up MAs will be constructive — the 233 week in particular…
http://stockcharts.com/h-sc/ui?s=SLV&p=W&yr=6&mn=2&dy=0&id=p58546308970
Thanks for those charts Matthew.
Yes, the rate hike isn’t dreaded by me either, and it may be exactly what the PMs need to kick off the next leg higher. (just like the last few hikes they did).
While EXK could bounce here, you’ve got to admit that the monthly chart is dire, especially when looking at the bollinger bands.
I’ll repeat what I said yesterday: when a stock presses the upper bollinger band and then falls significanly below the 20 month MA without even contacting that average for many months, it will tag the lower bollinger band before it even tests the 20 month MA again. Now I suppose it’s theoretically possible EXK could manage to go sideways for another 6 months and allow the lower bad to actually head back up toward current price, but that scenario is flat out comical when you consider the stock involved. EXK is going to get a spike down into the 1.70’s or lower before it bottoms. If I am wrong, and it just moonshots back to the 20 or even 50 month MA from this level, I will never ever make another post about charts again.
It will be interesting to see how things play out. I’m watching from sidelines at this point on EXK now, but have a healthy swath of Silver & Gold miners in my portfolio if things do take off from here.
I’m still building up cash reserves over the next month to deploy if we see any tax loss selling swoons. If EXK goes down to the $1.70’s then I may add a position back.
Coming to a derivative near you?
http://www.zerohedge.com/news/2017-11-01/chinese-ghost-collateral-scam-leads-market-shockwaves-huge-loss-giant-commodity-trad