Jordan Roy-Byrne – Precious Metals Support Levels To Watch During The Lull In Macro Drivers
Jordan Roy-Byrne, Founder and Editor of The Daily Gold, joins us to share the support levels he is watching for in gold, silver, and the precious metal mining stocks, as the sector continues to correct. In particular, he is looking at the near-term support levels of $1980 and $1950, and then after that the 100 day and 150 day moving averages as key technical levels in gold. The picture in silver and in the GDX are a bit more concerning, as their rollover lower the last few weeks has foreshadowed the move lower in gold, and signaled that we may see a little longer and further down to go in this corrective move in the near to medium-term.
Stepping back to the larger the longer-term setup, the PM sector is still looking constructive to break out to higher levels later in the year. We discuss how this will depend on how quickly the macro data erodes further pointing to a contracting economy and recession in a few months, which would provide the catalyst for the Fed to take action and start cutting rates. With a lull in many of the key economic drivers in the near term, there isn’t much to move the needle, barring the potential of the debt ceiling debate, until we get to the next Fed meeting in June. We discuss that bond yields rising along with the US dollar recently, has also further pressured the precious metals sector. Wrapping up, Jordan shares the kinds of PM stocks he is interested in accumulating for the longer-term bull market.
Gold majors breadth:
Breadth on the majors reached a high and rolled over. They don’t have to get as low as the previous correction, but we probably will have lower prices in the coming weeks. I have my core positions in majors and profitable & growth oriented small producers and I’ll add trading positions to them at some point over the next two months. Just like they did in March, both the Bullish Percent Index and Silver Cross index could make a higher low before turning back up.
Macro indicators seem to be really unreliable lately, so I’m just sticking to pairing my positions down after moves up that stall with breadth rolling over and buying on after moves down which stall with breadth improving. Boring approach but it’s been working for a good while.
The dollar broke through perfectly good fork resistance on the 12th and looks like it will continue higher.
CDE had a good day after reversing at speed line and 2 fork supports…
Ya sure did yesterday, had an even better day today, down another 5%
It gave back yesterday’s gain and fell an additional 1%. You’re like an angry chimp with the intelligence of a yappy frightened Chihuahua.
That’s chimp talk. Human beings know it’s drivel.
LOL Is that the best you can do with your intellect. About the same as with your market genius
how about: to flow from the mouth, as saliva. 3. Slang. to speak in a silly or stupid way.
KNT finished almost 2% off its low which was 1 penny above its November low and 2 pennies above a new 52 week low.
The weekly chart however shows the potential for a drop to at least below 4.50…
NFGC – Added( nibbled) @$4.18, 2 other larger bids @ 4.06 & 3.95
LOMLF -New position since 2020- 1st nibble $.5091 ( 2.5K)
I have done some nibbling in a few in the the last couple of weeks, but would like to have more of each. I am m going to wait until later in the year to nibble more when I have massive profits. Ninblees are NFG (first time) and Snowline (2nd time). I used to buy Lab but decided to go for NFG as they seem to find more on the Appleton Fault.
The World is flat.
Therefore, added to Santacruz, White Gold and Grande Portage today.
👍 Good info, I am already feeling better about the summer, stupid juniors can fall off a cliff for little reason in low volume times of the year. I’m buying HZD and others as a hedge.