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Dave Erfle – Macro Factors Leading The Precious Metals Higher Since Friday, And Technical Levels To Watch

Dave Erfle, Founder of The Junior Miner Junky, joins us to review the recent bullish trend in the PMs since last Friday, some macroeconomic factors to pay attention to, and technicals pricing levels he is watching in gold, silver, and the mining stock ETFs.  Dave reviews the yield curve inversion steepening the end of last week, the Friday’s jobs report being less than stellar, the rumors of China reopening, silver and silver stocks leading the way higher in the sector, central bank buying of gold,  “dumb money” selling the GDX and GDXJ, and the rotation out of cryptos and into gold, and the weakening US dollar as factors behind this recent bullish move higher in the PMs.   

 

Despite the overall bullish picture, we also discuss the potential for further downside pressure in the precious metals sector, should the US dollar turn back higher and if the reaction to the CPI number later this week is that the Fed will have to hike higher for longer.

 

 

Click here to follow along with Dave’s resource stock investment at The Junior Miner Junky website.

Discussion
18 Comments
    Nov 09, 2022 09:35 AM

    Opposite of yesterday. Same algos. Flat.

      Nov 09, 2022 09:29 AM

      Looks like they are taking yesterday back. I did add a few to Surge Battery. They put out a PR yesterday and today. Early stage.

    Nov 09, 2022 09:07 AM

    volumes on commodities are saying top…weekly chart has rejected previous high on a test

    https://tos.mx/1d2Od6B

    cpi up tomorrow > in face of weakening demand…wow…serious chit

      Nov 09, 2022 09:21 AM

      Larry
      Thanks for the chart but I can’t read the heading and was wondering what kind of “commodity” chart it was. Is that an ETF or Index or something. Thanks in advance.

        Nov 09, 2022 09:26 AM

        i know sorry…i cant get the thing much clearer the way sharing works at think or swim…daily chart for DBC…which is just one of the better commodity index etf’s…i use it because i get the volume and not w /AW, the bloomberg commodity index it tracks…glta

          Nov 09, 2022 09:33 AM

          Thanks for providing the chart. It was a good one and I just needed a little clarification. Appreciate your efforts in keeping us up to speed.

    Nov 09, 2022 09:17 AM

    Great discussion of “what ifs”. Things not clear from the election but gains by the Red guys. Expectation was that that would pump the market. David right about delays in knowing so I guess we keep an eye on employment #s and things in general.

    Nov 09, 2022 09:32 AM

    day /NGas is this daily setting up a normal .618 retracement and then the C to D leg up…or do we retest the breakout bar w light volume …no idea…i will watch the lower time frame charts for signals like small ABC’s down…glta
    https://tos.mx/ssBRep2

      Nov 09, 2022 09:46 AM

      I sold my NG Energy as someone somewhere put up an article on pipeline disruption in Columbia. Maybe it doesn’t apply to NG but specs always treat everyone equal when it comes to trashing. Rather than see how it played out. I moved NG to Kracken Energy (uranium). Management appears to have backgrounds with Nex-Gen. Also the Lead Tecnical Advisor is Galen McNamara who also is the CEO of Summa Silver. which is US based along with Kraken. They did a drone survey of the property which is supposed to be a little better than the airplane version. Early on, but sure are a lot of Nex-Gen association in the group.

    Nov 09, 2022 09:35 AM

    30 minute /NG w an ABC down…looks like the buy point is 5.447….https://tos.mx/Ft4sdYT
    chart is drawn wrong use the lowest swing for the B point…sorry rushing

    Nov 09, 2022 09:19 AM

    30 minute ung shows nat gas round trip retest or slighly lower low final low…my 2 cents….https://tos.mx/OnP0Ljc

    Nov 09, 2022 09:15 AM

    Are you guys seeing the crypto markets imploding the last few days?

    Ethereum was down about 16%-17% yesterday and another 14% today.

    Bitcoin down double-digits the last 2 days… down to $16,786 at present.

    Other Cryptos taking it in the shorts even worse.

    It will be interesting to see how this plays out, and if any of the folks that may decide to exit that sector (especially the Bitcoin maximalists) get motivated to look into some of the overlapping themes with precious metals (scarcity, decentralized or no 3rd party counter-party risks, hedge against fiat currency debasement, etc…)

      Nov 09, 2022 09:34 AM

      I think they all should buy metals and miners as much as they can.

      Nov 09, 2022 09:04 PM

      Chinese residents not allowed but I keep an eye on Proshares Bitcoin ETFs. People keep saying bitcoin is NOT going away.

        Nov 09, 2022 09:08 PM

        Hi Terry, Bitcoin is going to money heaven, that will be one wild ride. DT

          Nov 09, 2022 09:45 PM

          DT, focused only on PM miners for now. Proshares have the long(BITO) and short(BITI) bitcoin ETFs, complete with options.

      Nov 09, 2022 09:24 PM

      Bitcoin down, well I never would have guessed, of course the crypto lovers are going to say they are re-arranging the chairs, this is a period of readjustment. I hope they all have Go Pro cameras and a red pulsating light on their safety helmets, so they can spot The Resolve steaming towards their position. BEEP! BEEP! LOL! DT

    Nov 09, 2022 09:51 AM

    Looks like today is only good for the dollar.

    Steady and consistent walk down of my account. They have about 20% more to go to wipe out yesterday’s gains. Isn’t that precious.