Gold Eagle Coin Sales at Record Low, Investors Sleeping

January 12, 2020
Technical Analysis Expert & Editor @ GoldPredict.com

gold eagle coins

Gold confirmed a new bull market in 2019, but most investors remain in a deep slumber. Record low gold eagle coins sales support a turning point in 2020.

I've made a living as contrarian investor. My underlying principle is rather straightforward: Figure out what the public is doing/not doing and do the opposite. Why? Because the average investor is almost always wrong.

Let me give you an example. In my September 26th report to investors, I noted the most popular stock on Robinhood's top 100, was Aurora cannabis ticker symbol ACB.

I said, "After peaking at $10.32 earlier this year prices are down to support near $4.50. I see the potential for a large head and shoulder top. A breakdown below $4.50 in the coming weeks/months would imply a test of $1.50 – $2.50."

That was then...let's see where prices are today. 

Prices reached a low of $1.66.

Surprisingly, ACB has grown in popularity as prices declined, and for that reason, I don't believe this stock has bottomed. 

That was an example of what's currently popular with average investors. Now, let's look at what's unpopular. 

Despite the bullish breakout in 2019 and a new bull market in gold, the U.S. mint produced the least amount of gold eagle coins ever in its 33-year history - just 152,500 ounces. Down sharply from the 985,000 ounces struck in 2016 and a fraction of the 2,055,500 ounces produced in 1999 (Y2K scare). 

So, what does record low gold eagle coins sales suggest? To me, it's a clear indicator of what the public is NOT doing; they are not buying precious metals. Moreover, there's not one gold-related stock on Robinhood's top 100, and that gets me very excited. It says the bull market in gold is just getting started.

I encourage you to be smarter than the average investor - do what's unpopular.

buy guld and silver

 

 

 

AG Thorson is a registered CMT through the MTA and an expert in technical analysis. His is also the editor of GoldPredict.com where members receive daily updates and regularly scheduled reports 3-days a week. He prides himself on making his analysis easy to understand through the use of adaptive and creative charting methods. You can reach AG at info@GoldPredict.com.

The California Gold Rush began on January 24, 1848 when gold was found by James W. Marshall at Sutter's Mill in Coloma.

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