Loading ...My prediction on action in the miners…
Maybe this is too pessimistic, but this is what I envision over 2021. I base this largely on historical price action during the last bull market (the fact that we have just completed an impulse move in gold strongly suggests a 1-1.5 year consolidation now).
Sure, this time could be different, but in order to preserve your sanity it is best to think ultra-conservatively (be a realist) and not pie in the sky. Pie in the sky is always possible, but I would never bank on it. The fact is the momentum oscillators in the PM sector need to cool off (again based on history) and LT moving averages need to catch up to price before a large sustained upleg can ensue. If I am wrong, no big deal as I am 100% invested right now.
Thanks Sir Naughty
This is very good and well reasoned Analysis
The fact you are 100% positioned in spite of this speaks volumes though as the downside in your view is limited…correct ?
Thanks again
Yes, while it’s possible the miners could make a lower low over the next year, I think it would be only marginally lower. OTOH I expect gold to make higher lows than last week’s swing low for the rest of the bull.