Good Morning!

The oversold rebound in Gold and Silver is over and the next leg lower appears to be underway.

That raises the key questions: how much further could this correction run, when might it bottom, and which signals will matter most in identifying the turn?

Let’s take a closer look....

The best way to mitigate the risk of sector corrections is to buy the right companies and at reasonable prices.

To learn which juniors we like best and have 5x upside potential, subscribe to TheDailyGold Premium 👇👇👇  

1) Gold Post-Major Breakout Correction Analog

Gold’s current correction is mirroring the post-breakout patterns from 1973 and 2006. 

The first peak (Jan 2026) aligns with those peaks, and both the initial low and recent rollover are tracking somewhat closely in time and price. 

If the analog continues to hold, this points to a bottom in mid to late June.

2) Gold & Silver Daily Chart

Spot Gold closed at $4593. Minor support at $4550 likely gives way, with stronger levels at $4350 and $4250 (weekly support ~$4260). 

Silver closed at $73 with support at $67, then $59–$61 (March low, 200-DMA, and initial breakout zone). 

Note: Gold lost its 200-DMA just before the final lows in both 1973 and 2006- something to watch here.

3) Breadth Indicators to Watch

Gold breakouts follow a familiar rhythm: breakout → surge → correction → bottom around the 200-DMA. 

The vertical lines mark each post-breakout test of the 200-DMA. 

Gold futures (not shown) briefly touched that level intraday, while spot Gold (chart below) came very close—daily closes don’t capture the full picture. 

With the 200-DMA rising and spot Gold likely to trend sideways to down through spring, it looks poised to test that level.

It is important to note that Gold actually fell below the 200-DMA for a few weeks before making its final bottom in 1973 and 2006.

4) Gold is Also Correcting in Real Terms

Gold vs S&P 500 has pulled back after its 13-year breakout—largely due to renewed flows into tech (now ~40% of the index). 

Gold vs Nasdaq 100 has corrected more sharply but remains within a bullish 9-year base. 

This is the only major base left with respect to Gold. Gold has broken out against everything else, including the S&P 500.

5) Macro-Market Comments

Stocks are pushing to new highs despite higher oil and geopolitical tension, as optimism around coprorate earnings builds. 

Capital has rotated out of the previously overbought precious metals sector and back into equities, especially tech. 

Gold’s next leg likely needs renewed economic pessimism and/or rate cuts, though policy easing should come either way.

Summary

Gold is correcting right on schedule vs past breakouts (’73, ’06), with a likely bottom in mid–late June. 

Near-term risk still lower as support sits at $4350–$4250 and breadth resets. 

Rotation back to stocks is the headwind- for now. 

Next uptrend needs a bit more macro stress + fresh inflows.

In TheDailyGold Premium....

In TDG #983 we updated the table of notes on our Top10 Companies and the next after that. One more and we have a clear Top 15.

We added a company to our Top10.

In TDGs #980-#982 we updated our upside potential expectations (2-year-outlook) on 23 companies.

As of a week ago, our portfolio rebounded back to within 6% of its All-Time High.

Two of our biggest positions rallied back to their highs and we owned G2 Goldfields which exploded higher after news it was to be acquired by G Mining Ventures.

Since 2024 I have turned my focus to company analysis and stock picking. And it has been a very successful move.

Proper stock picking is the key to making big profits in a bull market and keeping profits!

Value is out there. We do the work to find it. 

We will continue to uncover quality juniors trading at excellent values and sporting 5x potential over the next few years. 

What are people saying about TheDailyGold Premium

right now?

Thank you for reading.

I wish you all the best in 2026 and beyond.