As we wrote to you last week, our E-Wave model has been right on the money for the precious metals and mining stocks. Gold and silver pulled back in recent weeks, right on cue with our forecast. Mining stocks, because they represent a leveraged bet on gold and silver, traced out a steeper correction of about 20%, just as expected.
Gold not only held key support last week at the $1,200 level, but in fact the yellow metal surged $25 higher on Fed decision day … after the Fed hiked rates, which would normally be a negative for gold. That’s a very bullish sign.
As you can clearly see in the pitchfork analysis chart above, the Philadelphia Gold and Silver Index (XAU) of mining stocks bounced off key support and is just beginning another leg higher.
This is a clear cut buy signals for our model and the cycle forecast points significantly higher with potential for a 30%-plus move near term.
Bottom line: Now is the time to start adding select mining shares to your Supercycle Trader portfolio. Here’s what to do right away:
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For ALL Members, for Each $25,000 You Are Trading: 1. Buy 100 shares of Seabridge Gold Inc., symbol SA, at $11.75 or better, good-till- canceled. When filled, place a good-till-canceled protective sell-stop at $8.94. 2. Buy 150 shares of Sibanye Gold Ltd., symbol SBGL, at $8.75 or better. This order is good-till-canceled. When filled, place a good-till-canceled protective sell-stop at $6.89. |
Get these orders in to your broker asap and we will follow up soon with more details.
Good Investing,
Mike and David
