GOLDS SHORT TERM DIRECTION

A short term pullback is coming due. I think it will be a buying opportunity.

47 thoughts on “GOLDS SHORT TERM DIRECTION

  1. Jorgy

    The ? launch to the ?has been EPIC. Haters need to quit hating since their short or haven’t build a significant position. Switch your charts to weekly, look at the slow stochastic, anticipate seeing three (weekly) white soldiers on the charts and changes your mindset to BTFD! ?

    1. MuffinTop

      I started buying Silver coins when it broke $20 and bought some more when it broke $15. Silver at these levels is an absolute ‘buy & hold’, meaning don’t try and trade it.. hang on to it for dear life because one day in the not so distant future, it’ll be worth $50+

      Not so smart people continue to underestimate the power of Silver 🙂 Don’t be a party pooper, just do it.

      1. Bluebear87

        Thanks MT, own AEM for a gold play and recently bought USLV for a cup and handle breakout undervalue precursor play.

      2. Carlos

        And imagine how high it will go after it breaks out of $50 In strong volume. That’s the launch pad …

        1. Jorgy

          That’s right. Many folks have missed the initial move and CAN’T PULL THE TRIGGER & BUY ‘EM HERE because they’ve have their face ripped off so many time in the last 4 (+/-) years. They’re going to capitulate at higher levels in the IC, get an immediate drawdown, puke up their shares to a stronger hand and get left behind TWICE(!)… Same as it ever was! 🙂

          1. Utopia

            Jorgy, no matter how low metals fall you can still get another 50% decline. That’s what traders worry about. So getting the perfect bottom is not important at the turn from the lows. What you want is a clear confirmation the bear is really dead and to be assured price won’t fall below whatever that low point might be. That is not an easy call so you had better be very careful before deploying too much of your capital. I don’t know if you will get this idea or not but top-calling and bottom-calling are two different kettles of fish altogether. Personally I hate timing bottoms because they are so dangerous if you are wrong. For example, you could have held stock for the past 5 long years, sell it at a 90% discount and buy back in at the lows and still see another 50% drop (if you get what I mean). Its just math, man. Anyone who is cautious at this stage of the game is very wise to exercise some restraint. So its not because they CAN’T pull the trigger. If they have been around the block they just know better. This tade looks good so far but it is hardly confirmed. How much do you really want to risk being smart that you got the exact low point?

      3. Utopia

        Muffin Top, I started buying silver back when it was called spare change and a silver dollar was still worth one dollar. We had a mountain of the stuff at one point but it was not all that special then. We were saving to buy a house and kept these big five and ten gallon glass wine jugs that we threw our silver into at the end of each day. The whole family participated. Kind of a non-bank savings plan at the house. We did not even bother to hide it back then. So those wine jugs just sat in the living room by the front door and guests would come and marvel about how much coin was actually inside. Anyway, in 69, or was it 68, the coins went bi-metalic and then later there was a mad rush of people scrambling to catch as many silver coins as they could for collections. Suddenly it made no sense to leave those jars by the door. As a precaution we eventually cashed them in for quite a bit more than face value and got our house but I sure wish I had kept them all these years.

  2. Chris

    One other thing in favour of golds bull is that its RSI is 75. In its 4 years of bear market, it has never got so overbought before.

  3. Will

    Utopia,

    Some words of wisdom in there my friend. I’d rather be late here from a confirmed final bottom which is a good few months away from a conservative technical perspective. It will mean buying something such as the HUI which is fine by me, although if Gary is confident he can exit this after being up 40% or more then kudos to him. I have a lot of physical metal anyway and the multiples the miners will run is so much higher I don’t care about this even if it means missing out on 100% off the low. The flipside is missing out on a 100% + crashing bloodbath which for many already stuck in it for years is no laughing matter.

    1. Utopia

      Thanks Will. By the way, in my post I was actually referring to miners but wrote “metals” in error. Glad to see you understood what I was trying to say. This morning I was listening to Gary Shilling over at Financial Sense and he made the same point as mine but did it with a lot more clarity. What he said was that if you made an investing mistake and lost 50% of your money on a trade, that means you need to earn 100% in profits just to get back to where you started. Well how often do any of us earn a 100% on a trade to offset that loss? The truth is, not very often. It is the reason mistiming bottoms can be so hazardous. When a bull-market finally gets going on the other hand it raises all boats and the question is always “have we hit the top” rather than “is this the final bottom”. You could not have gone wrong buying the S&P most of the last 6 years, for example. Like throwing darts. There was plenty of gains to go around so everyone was a winner until the party ended last May. And so it is for this reason I am particularly cautious about so-called bottoms. There is plenty of meat in that sandwich once the bull really gets going and for me it is just more prudent to get long once there are no questions a bull market has resumed. So I don’t care if I miss the first up-leg, preferring instead to trade the swings as it rises off the lows and thus avoiding any commitments to the sector I may regret if it reverses suddenly. The gold market is a miserable mistress. She is unfaithful and cannot be predicted easily.

    1. Marty

      Thanks for posting,
      I was limit sold at what I had calculated @ 100 RSI [email protected] $3.80- FSM, a Ag/Au miner, never thinking it would execute. FSM finished @ 3.58, near the 80- 14day RSI. Because most all in the miners were overly beaten down, much too high to buy now, what would be your thinking in buying FSM again.

  4. Dan smith

    It looks like a healthy pullback on the short term graph. Looking at the 10 year i don’t see any evidence that this is the final bottom, very reminiscent of the period between October 2014 and January 2015. If gold holds above $1210 i’ll get more excited, but were not there yet. Anyways if this is another bull trap there is more money to be made on the short side so you can’t loose Whats all this talk of four years being a long bear market, the previous bull phase lasted for twelve years, whats the rush.

    1. Gary Post author

      Actually there is a very important sign that a final bottom could be in. I covered it in the video. The miners are making higher intermediate highs for the first time in 4 years. If the miners are leading (and I think they are) then it won’t be long before gold breaks above 1191 and confirms the major long term trend change.

          1. Barney

            Because the strongest rally in gold form $1050 to $1180 has been happening right in front of your eyes. Trade the trend. NUGT up 100%.

            By the time you have worked out Bull / Bear you will have missed the move.

            Don’t fight the trend. If it changes then change.

          2. Gary Post author

            That one is easy. Because the biggest gains are made coming out of a final bear market bottom. You will never get the chance to make these kind of insane profits this quickly again until gold enters the final 6 months of its bubble phase.

            I don’t know about you, but after getting the shit kicked out of us for 4 years by the bullion banks I want to ring the register on those kind of gains. I’m not content to sit on the sidelines and let this once or twice in a lifetime opportunity pass me by.

      1. Utopia

        We just exceeded the August highs in the futures a few moments ago and posted 1178 before turning down. If today goes above 1180 I will be eating some words with the mornings breakfast! Checking for my parachute now since we are already higher than I anticipated. But joking aside, I am still on for a slide back down so the short position stays in place for a little longer yet. To me, the odds of breaking out over 1200 are slim to negligible on this cycle.

  5. Chris

    If gold could breakout above 1200 without much pullback, like an ABCD type, watch out. Could be 1976 in the making. Huge impulse leg.

  6. Chris

    Silver have major resistance at $15.50-$15.60. So gold may top out when silver is there. Question is, where will gold be when silver is there? $1200? $1220? $1240? Who knows….

  7. Chris

    I have a strong hunch that gold is heading for $1240, $1250. Maybe after that, then die again. Again,…. who knows

  8. Ty64

    Still holding all GDX positions…may sell a few GDX shares today if the stock crosses above the $18.00 level…we are getting very close to the Yellen meeting.

    Just sold my small position in NUGT for a $9.80 gain per share that was bought last Friday.
    Putting a portion of the NUGT profit aside to re-join Gary’s Premium subscription soon. 🙂

  9. KLO

    Markets seem to be making a major reset. This is unlike anything that I can recall even in the first part of the gold/silver bull market 10-15 years ago. I have decided to trade nothing. I am sitting on loads of miner shares and a fair amount of NUGT the last of which was picked up below $20. I think the best thing to do is to turn off my computer and check back in a few years. This bull wants to buck off all riders for sure!

  10. Mark

    Gary, f#$k Big Al korelin. he is a factist Nazis who does not allow free speech on his site!
    You are right, and have been right on gold!
    THIS THING HAS BEEN MANIPULATED, and now they are out of gold, so yes it is going to rise as their phony dollar falls! This is why they kicked me off the KER-KISS A$$ REPORT!

    ANYBODY WHO IS FOR FREE SPEECH COME TO GARY’S SITE!
    ESPECIALLY THE WAY THIS MARKET AND ECONOMY IS NOW!!!!!!!!!!!

  11. Mark

    GARY, people are now leaving the Kerolin Eco Report in droves!
    Why do you think Trump and Sanders are so popular now!
    We the people are tried of the lies and the fascism!
    This economy is in deep trouble, it’s cooked!
    AND…………they are out of gold!
    That’s why it is going up and will continue to do so…………..just stay tuned!

  12. Mark

    Going forward Gary I am going to bring all of my friends and investors over to your site to hear the truth!

    BY THE WAY FRANK J the long…………man you and all the others on the Ker Report, might as well come over here too!

    PEOPLE ARE WAKING UP GARY!!!!!!!!!!!!!!!!!!!!

  13. Mark

    Gary, I told every investor on the Ker Report last week that February would be a disaster for stocks and it is!
    This will continue as gold goes up!

  14. Anthonyo

    ” Now out of real desperation, they claim gold will be reset at $5,000 to $100,000 and silver $400-$500. I really do not understand where they come up with this stuff, as if government will surrender all power and bow before them after laying down their weapons. Government would NEVER do such a thing, and in case they have not noticed, we are moving to electronic money; not bullion. Even if this wild theory were correct, government would confiscate the gold and make it a criminal act to even own it so they make the profit – not you. That’s what Roosevelt did; confiscated first and revalued second.
    This must be analysis inspired by peyote. There is just no other explanation. If there is a reset, it will not be a return to the past, it will be more like back to the future — electronic.”

    Martin Armstrong Blog, Feb 2nd.

    1. Hillarys Cattle Futures

      A re-valuation of Gold Bullion to say $10K to $20K per oz. dramatically improves the balance sheets of many important central banks …. the revaluation of Gold would be the quickest/cheapest way to strengthen C.B. balance sheets.

  15. Mark

    *** BREAKING NEWS ***
    JAPAN 10 YEAR BOND PLUNGES BELOW ZERO FOR THE FIRST TIME IN HISTORY!
    JAPAN NIKKEI PLUNGES MORE THAN 5%
    RIOTS BREAK OUT IN HONG KONG!
    ASIA ON FIRE!

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