Last Friday, gold settled at $1,351.20 an ounce on Friday. That’s the highest since Sept. 6, 2016. Silver likewise broke above $18 an ounce last week, its highest print since April.
This is great news. The breakout above $1,300 in gold … PLUS the confirmation in silver … tells me we’re just at the BEGINNING of a new bull market in precious metals. But keep in mind, we’re not off to the races just yet, because nothing travels up in a straight line.
I told you gold would hit resistance in the $1,340-$1,350 zone. And it did. I told you gold was due for a correction. And it was.
Moreover, the cycle pattern has not changed one iota! It stubbornly predicts a pullback beginning right about now. It says gold needs that pause and correction to refresh before it launches into a new bull move. (See the updated cycle forecast below.) …
It’s already starting to happen. And it’s what the cycles have been predicting all along. Ditto for silver and mining shares.
But a short-term pullback is also great news. It hands us the opportunity to add to our current holdings of high-quality mining stocks on the cheap, plus ETFs that track physical gold, silver and more. And you can clearly see above that time is fast approaching before year-end!
Here’s what to do right now …
First, with gold and mining stocks about to roll over now, it’s time to adjust your upside price target for GDXJ and exit now to sidestep the correction.
Second, it also makes a lot of sense to profit directly from a correction in mining stocks. Moreover, profits from a correction can serve as a great hedge for your core, long-term holdings in Seabridge Gold (SA) and Sibanye Gold (SBGL).
Third, if you missed Part 1 of our emergency subscriber conference, the time to watch the recording is right now before it goes offline. Just click here, and it will begin playing on your screen immediately.
Back in 2015, we warned of a major convergence of cycles, bringing major political and economic changes, especially in Europe. Sure enough, the UK suddenly dropped out of the EU with Brexit, and Europe was flooded with mass migration.
Now we see a new major convergence that combines BOTH powerful financial cycles AND the rising cycle of war, while pushing out the time horizon by two years — to 2017-2022.
To better take advantage of this service – or any other service published by The Edelson Institute – I think it’s essential that you understand that dynamic.
So go here for Part 1 of our emergency conference
And today, don’t forget to see Part 2 at 2PM Eastern.
Here are your trading instructions …
1. Cancel and replace your open order to SELL ALL your shares of VanEck Vectors Junior Gold Miners ETF, symbol GDXJ, at a limit-price of $42.50 or better. New price: Sell to Close ALL shares at market.
2. Using 3% of the funds you have allocated to this service, BUY to Openshares of Direxion Daily Gold Miners Index Bear 3X Shares, symbol DUST, at a limit-price of $22.00 or better, good-till-canceled.
Remember, you can expect the next leg up in precious metals to be substantial. It’s just around the corner … and we’ll be ready to take full advantage of it.
Good investing,
Mike
