One of the indicators I did not provide you with in my recent article 8 Indicators That Tell Us Where Gold Might Go Next is causing me to be a little bullish on gold over the short term. You may recall that I said the following in my last article when gold was trading at $1286;
Bounces will come in gold and we may get a bounce from this level higher, but it’s looking pretty bleak at present. Personally I would love to see one more bounce before the smack down.
Be careful what you wish for!
Today we are presently trading at $1308.40. Gold on a short term scale could go to $1380 to $1420. Even though we have had a pullback to below $1,300, and many of my indicators are not showing me we are off to the races, this one indicator keeps me in check for short term moves that can take us higher.
Silver will benefit from this move higher as well. But I must emphasize again that this is only a short term play. When pressed to define short term the other day, I replied that it could mean many things, based on how long it takes to get to the higher levels. While I should have made this call when gold was $1258, that was well over a month ago, and you can see how gold moved up and down during that time-frame. Expect the same over the next month.
This also coincides with the normal move higher (80% probability) that I have written about in the past (including my last article), culminating in a September blow off top. We may very well see this occur and it would set us up for the final smack down.
While I know long term holders of gold, or those waiting to buy at the bottom, want this smack down it to hurry up and arrive, please be a little more patient. You know 8 of my indicators and can follow along and you too will know when we are getting close to go “all in.”
I’m here to help guide you and also give you the best prices for your gold and silver purchases. When you are ready to purchase gold and silver, call us at 888-604-6534 and we’ll be happy to make the appropriate recommendations.
Doug 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
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