Gold surged sharply this week after the Yellen Fed yet again chickened out on raising its benchmark interest rate. Gold-futures speculators’ irrational fear of Fed rate hikes has been a major drag on gold. And rate-hike risks just plummeted in the coming months, since the Fed can’t risk acting heading into this year’s critical US presidential election. So gold’s next major upleg was likely just unleashed by the Fed.
Gold’s young bull market has totally stalled out in the past couple months. This major loss of momentum following gold’s powerful surges in 2016’s first half is really souring sentiment and vexing traders. They are trying to figure out if gold’s recent consolidation drift is the dawn of a new bearish trend or a healthy pause within an ongoing bull.
The likely answer comes from understanding what’s causing gold’s high consolidation…
The silver miners’ stocks have enjoyed an epic year, skyrocketing higher with silver’s new bull market.
At best since mid-January alone, some of these elite stocks had actually septupled!
The bottom line is the major silver miners just reported an amazing Q2’16, with silver’s young new bull fueling radically-higher operating earnings.
The great inherent leverage of silver-mining profits to silver prices was the fundamental justification underlying silver stocks’ epic gains so far this year.
And with silver’s bull only just starting, the best gains in silver-mining profitability and thus stock prices are yet to come…
The junior gold miners and explorers have soared dramatically in an amazing year, before falling hard this week. This sharp correction is doing its job in rebalancing bull-market sentiment, crushing greed and leaving traders wary of this sector. But gold juniors’ recently-released second-quarter financial and operational results prove their fundamentals are strengthening dramatically, a very bullish omen for stock prices.
The gold miners’ stocks have skyrocketed this year as investors started returning to this long-abandoned sector. Many have tripled, quadrupled, or even quintupled since mid-January alone! But are such epic gains fundamentally justified?
Much insight into this crucial question for investors can be gleaned from the gold miners’ latest quarterly financial and operational results.
Their Q2 reports just finished coming in…
Gold stocks’ new bull market this year has already proven breathtaking. This obscure sector has nearly TRIPLED within a matter of months, yielding immense profits for the smart contrarians who bought in low. But after such a blistering surge, what’s going to fuel gold stocks’ next upleg?
Heavy gold investment buying driving its price much higher will greatly boost gold-mining profitability, attracting in FAR more capital…
During its bull-market years, gold has always tended to enjoy massive autumn rallies.
The gold miners’ stocks have already enjoyed a phenomenal year, blasting higher with gold’s new bull market. This sector’s market-dominating performance has been amazing. Yet incredibly, the gold stocks are only now entering their strongest time of the year seasonally. Historically during bull-market years the gold stocks have enjoyed MASSIVE autumn rallies on average, starting right about now which is VERY bullish…
The gold-mining stocks have enjoyed enormous gains in their young bull market this year, trouncing all other sectors. Naturally this radical out-performance has led to surging popular interest in this usually-obscure contrarian sector. New investors are wondering how to best track its performance, about which gold-stock benchmark is the definitive one to use. Something of a battle is brewing over new versus old…
Silver’s young bull market got off to a typically-slow start, lagging gold’s own new bull. But recently the white metal surged to catch up in a record summer rally. That left silver very overbought and facing near-term correction risks led by a record futures selling overhang and weak late-summer seasonals. But this strengthening bull still has a long ways higher to run yet before silver prices reflect prevailing gold levels.
Just like gold, silver faces a record futures selling overhang today…
Gold’s mighty new bull market this year has been amazing, the result of heavy buying by investors and speculators alike. But these latter traders have pumped so much capital into gold futures that this metal now faces a record selling overhang. Since the hyper-leveraged nature of futures trading demands an ultra-short-term focus, speculators’ excessive bullish bets on gold pose major near-term downside risks.
Mid-bull selloffs after big moves higher are common, re-balancing sentiment which greatly extends bull lifespans.
They offer the best opportunities for traders to add new positions at relatively-low prices.
And make no mistake, gold stocks remain super-low absolutely and relative to the metal driving their profits.
2016’s dazzling new gold-stock bull remains young, with years left to run yet before it matures then peaks.
One of the primary keys to success in investment and speculation is picking the right stocks to trade. That’s no mean feat, as it takes great effort, expertise, and time to winnow the whole field down to the likely winners with the best fundamentals. Gold stocks’ dazzling market-leading performances so far this year have sparked much interest in what factors to consider to pick great stocks in this red-hot sector…
The entire precious-metals complex has enjoyed record early-summer strength (even prior to Friday’s HUGE BREXIT move). The summer doldrums have always been a vexing time for gold, silver, and the stocks of their miners. Without any recurring seasonal demand surges in June and July, sideways-to-lower drifts are common in this seasonally-weakest time before big autumn rallies.
Will This Summer Be Different?
The red-hot gold stocks surged again this week in an apparent early-summer breakout. This strong buying is defying their seasonally-weak odds this time of year. Investors are flocking back to the miners as gold powers higher on also-counter-seasonal strong investment buying. Such unprecedented gold-stock strength in early June highlights how undervalued the miners remain relative to gold, but is suspect…
The smaller gold-mining and exploration stocks have enjoyed an amazing year, soaring with gold’s new bull market.
Many have more than doubled since mid-January, and some have more than tripled at best in that short span.
Are such spectacular gains fundamentally-justified, or merely the result of ephemeral sentiment that could vanish anytime?
The gold juniors’ recently-reported Q1’16 results offer great insights…
The gold miners’ stocks have skyrocketed this year as investors started returning to this long-abandoned sector.
Many have doubled since January, with plenty tripling or even quadrupling.
Naturally such fast gains raise concerns about whether they are actually fundamentally justified or merely the product of fleeting sentiment that could reverse.
Gold miners’ latest quarterly results offer great fundamental insights.
The gold-mining stocks have skyrocketed this year, radically outperforming every other sector.
Smart contrarians who bought them low late last year and in January have seen their capital doubled, tripled, and even quadrupled! But such blistering gains raise the ominous specter of crippling overboughtness, conditions preceding major toppings. Have gold stocks come too far too fast to continue their epic run?
Since silver’s overwhelmingly-dominant driver is gold, the white metal followed the yellow metal lower. Just several days before gold’s secular low in mid-December, silver dropped to a dismal 6.4-year secular low of its own. Q4’15’s average silver price of $14.77 was the worst since Q3’09’s $14.72. Silver was perfectly fulfilling its traditional role of acting like a gold sentiment gauge, tracking its driver into the abyss…
Gold-mining stocks surged higher this past week after breaking free from their high consolidation. This newest upleg catapulted gold stocks to a doubling in less than 3 months, a remarkable world-leading performance. But despite its quick doubling, this red-hot sector still has another easy doubling left to come from here. Gold-mining stocks still remain greatly undervalued relative to prevailing gold prices.
Silver’s reluctant, sluggish participation in early 2016’s powerful gold rally has been glaringly obvious. Instead of amplifying the yellow metal’s big gains as in the past, silver largely failed to even keep pace. The lack of silver confirmation for gold’s big move has certainly raised concerns.
But despite silver’s vexing torpidity in recent months, it is a coiled spring ready to explode higher to catch and surpass gold.
The red-hot gold stocks have spent most of March in consolidation mode, grinding sideways near their 2016 highs. Interestingly this month’s rally pause is par for the course seasonally in gold-stock bull markets. Like gold itself, this sector tends to slump to a seasonal low in mid-March before embarking on a strong spring rally in April and May. With gold stocks back in a bull, their seasonality warrants consideration.
Is a BIG SPRING RALLY Dead Ahead?