The question confronting investors right now is whether the lateral trading range in the major indices represents consolidation of the long-term uptrend, which precedes an eventual upside breakout from the range? Or does it represent distribution (i.e. selling)...
Gold Editorials & Commentary
October 6, 2016
I would like to start by looking at our current bull market in the HUI. I’m going to try and show you how our current setup is what one would expect in a bull market. A stock or stock market does one of three things. First, it’s building out a reversal pattern that...
October 5, 2016
We should not be surprised that the long-standing troubles at Deutsche Bank would appear to be coming to a head now. For global financial centers, October is often the cruelest month – a time when stock markets and whole economies have been known to go bump in the...
The bearish abc pattern shown is the one we should be looking at now, since it’s got it all, Hidden Pivot-wise. The p2 secondary pivot at 2110.88 would ordinarily serve as a minimum downside objective for the near term, but my strong gut feeling is that the futures...
Some analysts who are usually astute and show a good understanding of economics seem to put on blinders before looking at China. It’s as if, when considering China’s prospects, they forget everything they know about economics and refuse to see beyond the superficial...
As the Financial Circus continues today, pushing down the precious metals prices, millions of Americans are going to get wiped out when the collapse of U.S. net worth begins in earnest. Anyone with a tad bit of common sense realizes these financial markets today...
“Gold rebounded after the biggest drop in more than a year as investors reminded themselves of a world that’s beset by risk, from the prospect of further currency weakness to the final stretch of the US presidential election,” according to Bloomberg today.
Gold continued to move sideways in yesterday’s day session and in the overnight session. Since then, the market has softened a bit. Generally, we continue to work on the assumption that this market has completed our condensed wave .iv. Triangle, and that we are now...
This past week, I have been sent several “stories” that the dollar is going to absolutely “crash” on September 30th, which will supposedly cause metals to rally to the moon and beyond. And, as I have noted in my Trading Room oh so often, we have had so many such “...
October 4, 2016
The end of the previous week was rich in signals as gold, silver and mining stocks all reversed along with the USD Index. Gold closed the week below the rising support line. Consequently, the implications should not be ignored…even by those who usually focus on...
Last week I was in beautiful Toronto, where I presented the keynote address and participated in a panel discussion at the annual Mines and Money conference. It was the first time the highly respected gathering of precious metals analysts and investors came to the...
The US jobs report is scheduled for release at about 8:30AM on Friday. As I’ve noted many times, gold has a rough general tendency to trade lower in the days before that report is released. When the report is released, gold tends to trade wildly. In the days...
October could see a ramping up of volatility across all asset markets. The month is notorious on Wall Street for the 1987 stock market crash. Fall crashes also occurred in 2002 and 2008. Are we due for another one? Perhaps. Some analysts think it will come after the...
The Fed and the Corporate World understand that there is NO economic recovery. They need to keep feeding this bull market with plenty of accommodative easing or this bull will die. The Fed will do whatever it takes to maintain this by cutting rates to near zero and...
This is getting to be a habit. Previous late summer holidays by this correspondent coincided with the run on Northern Rock, and subsequently with the failure of Lehman Brothers. So the final crawl towards the probable nationalisation of Deutsche Bank came as no...
October 3, 2016
The Gold market continues to be lethargic. Two weeks ago, negative rumblings about Deutsche Bank pushed Gold higher out of the Half Cycle Low. But the move quickly stalled on a gold price reversal, ensuring that the current Daily Cycle (DC) would remain Left...
A major “Sword of Damocles” overhanging global stock markets has been the situation with Deutsche Bank, which has a monumental derivative book and whose stock has been plunging to new lows. We have largely ignored this situation up until now, on the assumption that...
For decades, the primary argument by Warren Buffett and other financial elites for not owning gold was that “gold doesn’t pay you anything.” Once the ECB took interest rates to NIRP in 2014, this argument became null and void. In a world in which bonds are charging...
The best performing precious metal for the week was palladium with a 2.72 percent gain and a quarterly gain of 20.24 percent, its best three month gain since 2010. Global car sales have experienced an improved outlook.
Gold is in the process of beginning a multi-month correction. Since one more run up in price is still likely at this stage, we are targeting the high $1300 area as a top. Subsequently, we expect a correction to last into the first half of 2017, where a significant...
Sterling gold rose 1.3% today as the sterling currency slumped again after the UK set a March deadline to start their ‘Brexit divorce’ proceedings from the European Union and on deepening nervousness regarding a ‘Hard Brexit’.
October 2, 2016
While SPX has resisted entering into a more serious correction, there is evidence that, unless it can make a new high over the next week or so, the corrective pattern will become steeper as intermediate cycles drive prices lower over the next few weeks.
On Wednesday, crude oil gained 5.33% as a combination of another drop in crude oil inventories and unexpected OPEC deal supported the price of the commodity. In this environment, light crude bounced off important support lines and approached Sep highs. Will oil...
These are great times for financial assets — and by implication for finance companies that make and sell them, right? Alas, no! Just the opposite. Each part of the FIRE (Finance, Insurance, Real Estate) economy is imploding as “modern” finance hits the wall....
Tedious – that’s how I’d describe the stock market for the past six weeks. Everything is on hold until Janet Yellen finds the courage to euthanize the bulls on Wall Street with a few rate hikes. It will be a real tear-jerker, but it won’t take much to get the job...
This will be our last weekly commentary on the markets. What we know for certain is that the globalists have a stranglehold on the markets, and more importantly, a stranglehold on all Western nations to the point where life has become a theater of the absurd,...
The trading month doesn’t always end on a Friday…but when it does we like to take a look at the monthly charts. Generally, I prefer daily and weekly charts, because they have more data points. However, monthly charts carry more significance than weekly charts which...
Three months and what do we have but a steady slightly negative drift in the price of gold. However, nothing lasts forever…so we just might see some volatile action soon. What will precipitate it? Who knows? And in what direction will this volatility move?...
October 1, 2016
Stocks are experiencing great strength now after the Fed meeting and decision to keep rates on hold, as expected. There is just no reason to hike rates until after the elections, meaning December is the earliest possible rate hike in my view.
Both gold and silver were down last week, particularly following the September 26, 2016 debate, as gold and silver would prefer a Trump presidency. Odd, as both candidates would be positive for gold and silver.
