Gold and silver gapped down in Asia and European trading with gold all the way down to just below $1,280. The metals started creeping up pre-market for the U.S. and once the ECB announcement came out that everyone was looking for, went green for the rest of the day. The funny thing is, JDST also ended the day green and simply ignored the move up in gold As I type, gold is sitting right at $1,300. $1,308 still seems to be resistance.
Silver gapped down then with ECB announcement moved higher but stayed under $18.50 all day and is presently at $18.34, down 2 cents from the close.
What fireworks will there be tomorrow to spark the fire under gold and silver? Not too much. PMI Manufacturing and Existing Home sales is about it. The best trades I think will be to go home flat as we don’t know what the Greece vote will bring. A trend will develop after that is decided on Sunday and I’ll write about the week ahead then.
Mining stocks didn’t offer too much in the way of trading. The green arrows below still indicate the trend is to be long the miners, but the price action of them today wasn’t impressive and JDST simply shook off the rise in metals. Keep an eye on either for a higher high to trade. I still lean towards JDST.
UGAZ didn’t get the news it wanted today and actually was gapping down before the report even came out. I didn’t like the price action before the report and that was a signal not to gamble for me.
UWTI got hit with a negative oil report and hit another 52 week low. I like buying the dips in UWTI though, but only for scalping, not holding.
How many times have you heard me say that I like TNA and think we still hit 80? Today it was up $4.42 closing at $77.40. Only $2.60 to go. 80 marks a good resistance point and this may be the time it busts through, but I have lots of questions on being so bullish with some unknowns over the weekend, so I would probably take profit for now and sit the weekend out. This is especially true if we gap up tomorrow.
Tomorrow’s advice is simply two fold;
1. When in doubt, stay out (don’t gamble with your money).
2. Go home flat for the weekend (don’t gamble with your money).
Maybe we’ll get a surprise and something will run. I’m not holding my breath though.
Gold and Silver Stock Mining Package
We will be coming out with a mining package where we pick what we believe to be the best mining stocks to buy based on my research the last 8 months. We have been patient in releasing this because of the timing in purchasing these mining stocks can be tricky. We were one of the only one’s who recommended selling mining stocks in September of 2010 when the HUI was trading at 512.56. Much has transpired in the mining industry since that call with many companies disappearing or being taken over. Today many companies are struggling and if we do get a further pullback in the price of gold and silver, more companies will go bankrupt. Knowing which companies have the best opportunity moving forward will be key to you getting returns that we believe will be in the 100% to 500% range, and possibly much higher for some of the miners. This package will be released in the next few weeks and we will announce it on the site.
If you are interested in this Gold and Silver Stock Mining Package let us know by clicking this link below and completing the form.
Gold and Silver Stock Mining Package
1-22-15 GLD Chart
1-22-15 SLV Chart
1-22-15 GDX Chart
1-22-15 GDXJ Chart
1-22-15 NUGT Chart
1-22-15 JNUG Chart
1-22-15 JDST Chart
1-22-15 DGAZ Chart
1-22-15 UGAZ Chart
1-22-15 TNA Chart
1-22-15 TZA Chart
1-22-15 UWTI Chart
1-22-15 USO Chart
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About Doug EberhardtDoug Eberhardt is a 28 year financial services veteran and precious metals broker selling gold and silver at 1% over wholesale cost. Doug has written a book to help investors understand how gold and silver fit into a diversified portfolio, how to buy gold and silver, and what metals to buy. The book; “Buy Gold and Silver Safely” is available by clicking here Contact phone number for Buy Gold and Silver Safely is 888-604-6534
Disclosure:
Commodity Futures Trading Commission Futures and Options trading has large potential rewards, but also large potential risk. You must be aware of the risks and be willing to accept them in order to invest in the futures and options markets. Don’t trade with capital you can’t afford to lose. This is neither a solicitation nor an offer to Purchase/Sell futures or options. No representation is being made that any account will or is likely to achieve gains or losses similar to those discussed in this outlook. The past track record of any trading system or methodology is not necessarily indicative of future results.
All trades, patterns, charts, systems, etc. discussed in this outlook and the product materials are for illustrative purposes only and not to be construed as specific advisory recommendations. All ideas and material presented are entirely those of the author.