What’s next?
Wherever gold bottoms, I think the easy money has been made for the next year or so. Even if gold does make a significantly higher high (let’s say 2500+) in the next 4-5 months, the trip there is not going to be a straight rocket shot and it won’t be smooth IMO. The same goes for the miners.
At some point, gold will have an extended consolidation period (where it won’t make a higher high) for a year or more.
All that being said, if gold does go on to hit $2500+ within the next 4-5 months, I think some of the silver miners will double off of their upcoming lows.
As far as the question of when will gold hit its bottom, I think it’s possible gold could hit its low next week. Again, I’m looking for a low below $1874, and it is very likely that gold will at least tag its 20 WMA which is around $1850. For cyclists, the conventional way to get long at an ICL is to wait for a weekly swing low.
As for the miners, I think if GDX tags its 100 dma, that will be a relatively low risk entry point, but to minimize some risk it would be best to wait for a weekly swing low in gold.
[Today, gold has come withing $5 of breaking its August low at $1874 and silver within 8 cents. So with respect to at least one parameter for an ICL, we are almost there already.]
Looking at 09/30 to 10/02 for next opportunity to buy
It might even be possible for gold to bottom this week. The problem is, this week could end up being a large red candle and getting a swing low off of such a candle will be difficult (but not impossible). It’s also possible we make a dip below 1874 (which has almost happened this morning) and then reverse hard into the close on Friday, which would make a swing low much easier to establish next week.
In any event, a fast and violent low that is reversed quickly will be the most bullish type of bottom for continued near term gains in gold.
I suck at nailing tops, but im elite at bottoms….
i dunno why
What are your thoughts on this chart/post? Is the thesis off the table or is the ratio still OK
https://goldtadise.com/?p=476114
My thought ( nobody asked me 🙂
Is that this ratio has collapsed so quickly to a support zone that it needs a rest for a good while