Gold is off a tad today as I pen this, with the active February contract off $1.20 an ounce at $1,263.80. But the yellow metal has snapped out of its downtrend, up four of the past six sessions.
Metals and mining shares are outperforming to the upside, a bullish sign. In fact, the SPDR S&P Metals & Mining ETF (XME) has been on a tear since bottoming in mid-November, up nearly 12% since then. XME is a mix of large-cap precious metals mining stocks, and base metal miners, especially copper, which is up nearly 8% this month alone.
As you can see clearly in the updated E-Wave cycle chart for gold below, our forecast calls for a late December turn date to the upside, which may be starting already.
After all, the period from December through mid-year has been a seasonally strong time of the year for gold, silver and mining shares.
From the December 2016 low, gold rallied 15% higher through early June of this year. Precious metals miners performed even better, up 27% over roughly the same time frame.
That’s why it makes sense to add another miner to your portfolio right now that’s poised to benefit from both higher gold and copper prices in the year ahead …
Turquoise Hill Resources (TRQ) owns a majority interest in a top-tier copper and gold mine in Mongolia. In fact, it’s among the 10 largest copper deposits in the world. As a bonus, the mine also holds one of the world’s biggest gold deposits.
Think of TRQ as a small-scale Freeport-McMoRan (FCX), but growing much faster!
In fact, TRQ is dirt cheap today with a market cap of just $6 billion compared to FCX at $25 billion. Over the next several years, TRQ plans to significantly ramp production of both copper and gold, tripling its mine output of gold within the next three years, and doubling copper output within six.
Now’s the time to make your move on TRQ, by following the recommendation below …
Here’s what to do now:
Using 5% of the funds you have set aside for this service, BUY shares of Turquoise Hill Resources, symbol TRQ, at a limit price of $3.25 or better to open. This order is good-till-canceled.
Get this order placed with your broker right away, continue to hold all open positions, and stay alert for more updates and analysis soon.
Good investing and Happy Holidays,
Mike
