15 thoughts on “CHART OF THE DAY

    1. gary Post author

      I’m just pointing out this was very unlikely to be natural buying or natural short covering. Not in the premarket where trading is thin. This was probably an artificial buy program to force the market higher and cause shorts to cover into a short squeeze.

  1. gary Post author

    Liquidity is coming out of stocks and flowing into the precious metals. It’s the only thing that is rising right now. So the more intense the selling pressure becomes as stocks start the move down into the 7 year cycle low the more buying pressure it is going to create in the gold market.

    Do not trade out of the metals right now. This is an opportunity that only comes around once or twice in a decade. Don’t ruin it by trying to get cute. Just hang on as tight as you can.

  2. Dan

    I still want to see a 3%+ down day on the SPY to confirm that these jokers have finally lost control. It’s nice seeing the arrogant dip buyers getting crushed for a change though. My biotech puts are on fire.

  3. MuffinTop

    I’m no Gary Savage but for those of you that were smart enough to buy a little NUGT (yup, that includes me) give your girlfriend a smack on the Ass and keep an eye on resistance around $8

  4. Don

    NUGT is suitable for very short term trading only. I found out the hard way that it is the second worst (UVXY being the worst) triple leveraged fund due to it’s extremely high slippage rate. The fund makes extensive use of options in order to achieve it’s 3X leverage and we all know how fast options lose value. If GDX remains unchanged over time, NUGT will lose close to 10% per month.

    1. MuffinTop

      That’s why we call it a swing* trade..! Again, it all depends on your investment strategy and how you execute said strategy in the short term versus long term. Most people don’t understand how that actually works and that’s how they lose money.

      Swing* – being the operative word here.

  5. Duke


    Has the rise this week changed your view at all on the major bear market bottom and a new bull market starting I precious metals and miners?

    1. gary Post author

      It’s way too early to call a final bottom in gold. A lot will depend on how stocks move down into their 7 year cycle low.

  6. Duke

    Also, how long can this manipulation to the upside last considering the manipulation to the downside lasted 4 years?

  7. zkotpen

    Gold sliced thru the daily cycle trendline around 1154,

    Only to get knocked back at the intermediate trendline.

    Looks like we had reversal #1 on Tuesday;

    Reversal #2 on Friday.

    Fed week — always good for 1-3 reversals 🙂

  8. Ragnar

    Gold is correlated with bonds. Bonds are likely to stall at the current levels. Not much room to rise.
    I hope that the market will drop this correlation and will go for the real safe haven (gold/silver).
    What do you think, Gary?

    I agree that the weekly charts for PM (miners), COT for PMs are bullish and can’t wait to see a nice rally. Probably after a dovish FOMC meeting.

  9. Anthonyo

    Gold is just not performing ina stock market that was down 1000 points, gold hardly budged and now is down -$5. So much for the move to 1250.

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