The two important takeaway’s from my post last Wed. were: 1) Gold & silver had very likely bottomed, and

2) My suggested vehicle to trade that fact was with RGLD, because it had almost no downside risk from there and the possibility it would display it’s often explosive upside, based on my analysis of it’s chart and recent trading behavior.

While my first premise appears to be correct, I wasn’t expecting either metal to make large gains immediately. It looks like a slower two steps up, one step back, is the more likely scenario for at least a few days. That has also played out as well.

That is why I chose RGLD for this phase. It usually leads, it usually behaves inline with what gold does, but it sometimes explodes higher, in anticipation of the next big upmove in the metal.

While it still isn’t clear that gold is about to rocket higher, immediately, it has bottomed and is working it’s way higher from here. Silver will follow along but probably needs to do more work, in the short term.

PS: As I am getting ready to post this, I wouldn’t be surprised to see this run-up get capped here at 10AM.