Jordan Roy-Byrne – A Key Technical Factor To Watch Is Where Gold Closes This Month And Quarter
Jordan Roy-Byrne, Founder and Editor of The Daily Gold, joins us to share his technical and macro outlook for the precious metals sector, with a key technical factor to watch being what price gold closes this month and quarter. A close above $1953 in March would be the highest quarterly close on record, and a close above $1986 would be the highest monthly close. Gold is presently within range of those resistance levels, so they are very much on the table for how things finish next week.
We’ve seen a solid move higher in the precious metals sector off the recent corrective lows a few weeks ago, on the back of the recent banking concerns continuing to roil markets. Taking a step back for review, this brief and shallow pullback in the PMs during February and early March, after having run significantly higher for months leading up to that, is in alignment with what one would expect in the early stages of a new bull market. Gold only corrected about 8% over that time period, and has now, once again, quickly recovered those losses and has been heading higher once again in mid- March.
Jordan noted that aside from the reaction we see for the balance of the week and month from the Fed’s hike, and potential comments from Jerome Powell, that he is also keeping a close on how economic data reports come in as well as the trends in the interest rates yield curve, because the catalyst for a change in course from the Fed will be evidence that the we are nearing a recessionary route, and that would likely trigger a move in gold to really break out above $2100. This breakout in the metals is what is really what is needed to expand the margins for gold mining stocks and the rationale behind them catching up and then outperforming.
Macro-news should include the defacto China/Russia alliance.
Manufacturing and high tech expertise combined.
Possibly power beyond imagination.
We witness real history.
Sadly not ours.
Midnight Gold – https://postimg.cc/7bTQns9J
Up from 38.2% pull back. Strong.
This is worth another look. I posted it yesterday and it has improved massively (again) today:
Very interesting. X marks the spot. Declining wedge with a downward breakout and a reversal out the other side. I guess that means snow in Miami. (I am guessing about the chart)
Interesting and not that charles nenner mentioned a closing price lower in may. We are either going to triple top and touch that $2070/$2075 this month or most probable early next but either way we wont smoke through it like gary thinks. Yes all triple tops are almost always rejected and take time to consume and regroup before breaking through on that 4th sometimes 5th attempt.
All pull backs more so the monthly ones still to come imo should be bought aggressively. Make no mistake im not a bear and have been very transparent in direction. I dont see a breakout to new highs till possibly jul/august. dont kill the messenger but if we do dip lower soon im going in for a final time. Smart money will be buying and dumb money dumping.
Glen: FWIW Gareth Soloway said recently in a video that triple tops historically have small pullbacks, then rip through the resistance. Double tops have much larger pullbacks. So even if the triple top is rejected, it won’t be for long.
I’m in agreement with that statement, still it will be a wonderful buying opportunity from there. Some of these miners still look to revisit their lows or get close to them and some have monthly gaps left behind. Firework will start in June-August I don’t think we break through till then but that’s not such a bad thing just the wait is.
I’m not going to explain why but such a delay in the “fireworks” would be VERY negative for the current bullish picture and its implications.
Based on monthly closes the 3rd “top” happened in January. Then gold pulled back about $160 in February to give this, the 4th try, the power it needs to finally move beyond the 2020 high.
This is Keith McCullough’s comments this morning on Hedgeye’s Early Look:
GOLD – did I say we’re Long Gold? In addition to the new Long Duration positions I added Physical Gold (AAAU) to my pile earlier this week and kept buying more GLD in the middle of my Risk Range. Why? Did I say I like Gold? Immediate-term upside towards $2008/oz. Shorting more Oil and Energy Stocks (XOP, PSCE, UAE, etc.) against that again this morning too
Very suspicious … Magna, Emerita and Stillwater green at the same time. Wall Street must be out for a Breakfast Burrito party.
Emerita just went red. Deja vu…
Account went red and hanging out in the lower half of its range bound self. The Fed is doing this with one hand tied behind their back. They still lack character and have infected the neighborhood. There ….
Of course Gold up over$46 which explains perfectly my account going red as there is no correlation of the price of miners with the price of metals.
Based on weekly closes gold/GLD broke out last week.
Not so interesting Fact: The Top 3 Gainers on the ceo.ca gainers list this morning are:
Charles NENNER is calling for a low close still ahead sometime in May for gold. He gives some information out , but lately only sparingly. Even still, I believe he’s an upstanding good person.