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Jordan Roy-Byrne, CMT, MFTA |
TheDailyGold: The Gold Stocks are Oversold, But...
Published: Thu, 07/15/21
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Gold is rallying but the gold stocks and Silver, the more speculative parts of the sector, are struggling. This bodes poorly for the sector if Gold rolls over at resistance at $1840-$1850.
Click Here to Read My Article And here is the audio version of my outlook for the technicals on the sector. I also opine on all of this inflation news and why Gold and gold stocks are struggling. Click Here to Listen to My Analysis ------------------------------------------------------------------------------------------- In TDG #734 I argued that the stock market is at risk of a sustained correction. Numerous indicators are flashing a warning sign. I think it happens sometime in the coming months, and it could be a decent catalyst for precious metals. Recent history won't necessarily repeat but look at the last 3 declines in the S&P 500 (highlighted). They coincided with the last 3 significant lows in precious metals. Something to keep in mind....  Subscribe to TheDailyGold Premium for Only $149
------------------------------------------------------------------------------------------- "I am simply a pure market-timer for a broad basket of gold stocks and precious metals. Jordan, on the other hand, has provided superior STOCK-PICKING abilities over the longer-term. I am familiar with most gold stock subscription services over the past 30 years. I rarely provide endorsements of any kind, but Jordan's ability to analyze individual gold/silver stocks has been among the top 5 services over the past decade. First and foremost, I respect his integrity. -Jeffrey Kern, SkiGoldStocks.com Subscribe to TheDailyGold Premium for Only $149 ------------------------------------------------------------------------------------------- From TDG #734... These weekend updates can be long, but they include a first page "executive" summary. Here is a snippet from part of the summary: The gold stocks are fairly oversold but not yet oversold enough where we have confidence a sustained rally is coming. GDX closed at $34.37 and has strong support at $30. GDXJ closed at $46.62 and has strong support at $41. The stocks could need more time rallying or consolidating before they have a chance to drop lower and push breadth and momentum indicators to oversold extremes across the board. But they may reach oversold extremes before hitting those support targets. The correction in the sector hurts but it will allow us to recalibrate for the next leg higher. I will find more stocks with 7 and 8 bagger potential. And periodically I update subscribers with the upside potential at various metals prices in future years. The correction is turning 4 and 5 bagger potential stocks into 6 and 7 bagger potential stocks. -------------------------------------------------------------------------------------------
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