TheDailyGold: Final Flush About to Start..?

Published: Sun, 09/06/15

Newsletter
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Sunday September 6, 2015
 
  Balmoral Resources
 
 

Here are some links which I think you will find actionable...
 

Precious Metals Final Flush Beginning?
We penned this Friday. Could a final flush be starting in the precious metals sector?

 

Precious Metals Video Update
We produced this video before Thursday trading. We focus on the miners and Gold's performance against equities. 

 

Draghi on Deck?
Erik Swarts comments on the US$ and Bonds. 

 

China's Devaluation, EM Bonds & Risk Aversion
Great post from the Macronomy blog. The focus is on China and emerging markets. 



Commodity Unwind Illustrated
Managed money futures positioning (hedge funds) in commodities is at a decade low.


Get economic updates from the Fat Pitch Blog & Calafia Beach Pundit.   




Premium Snippets 

 

We've covered miners and Gold's relative strength quite a bit recently.

Below we analyze the daily charts of Gold and Silver. Monthly and weekly charts are more important but daily charts are more pertinent to the short term and what we can expect after the holiday.


After rebounding to $1170, Gold dropped to $1120. Last week its rebound failed at $1140 and closed at $1122. This is a bearish chart as $1140 should be stiff resistance. Gold could bounce a bit but if it closes below $1120 then it figures to retest $1080. 
 

 

 

Turning to Silver....

Silver looks worse. It formed a double top in August at $15.50. Then it plunged to $14.00. It rebounded and gradually climbed higher but there was not anything strong about the rebound. Thursday Silver nearly tested $15 but failed to hold its gains. Friday it reversed and closed near support at $14.50. A daily close below $14.50 will bring $14.00 into play and new lows. 



 

So the key support levels heading into this week are $1120 for Gold and $14.50 for Silver. (Resistance is $1140 and $15) If Gold & Silver lose those support levels then a final flush could be starting. The miners bounced on Friday and may hold above their lows for a little while. If they lose their lows that is also a sign of a final flush in progress. 

In TDG #430 (23 pages) sent Saturday we stressed the importance of remaining patient. The prognosis is clear to us as our research leads us to believe precious metals will make new lows before the bear market will end. We are staying disciplined by keeping the majority of the portfolio in cash and booking profits on our hedged positions when possible.  


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Thanks for reading. I wish you all great health and prosperity. 

-Jordan

 

Disclaimer: Sponsor Companies are paid sponsor companies of TheDailyGold.com website and this free newsletter. Do not construe sponsorship with a recommendation. The author of this newsletter is not a registered investment advisor. This newsletter is intended for informational and educational purposes only and should not be considered personalized and individualized investment advice. Investment in the precious metals sector contains significant risks. You should consult with an investment advisor and due your own due diligence before making any investment decisions. This email may contain certain forward looking statements which are subject to risks, uncertainties and a multitude of factors that can cause results and outcomes to differ materially from those discussed herein. 


 
 
 
 
 
 
 
 
 
 
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