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Posting here........Eric is invested into SHP and Giga also.....
Gold Investment Letter
Good Morning,
What I mean by "shake it up" is implying that we need to shake our own minds up because the natural reactions to this this low volatility year and summer doldrums is putting everyone to sleep! Today, I'm sharing a few important charts below, to help visualize technically what's impending, and my belief is that it will be a monster August through year end run for both the precious metal (silver as well obviously) and the MINERS!
I'm watching $1,835 on spot gold because if/when it breaks through that level to $1,845-1,855, it's massive! Just like Bitcoin last week, I have called the lows being in already, and the crazy correction of over 55% in just weeks from May highs, is DONE. Gold and silver will follow and the corrective phases have numbered days. We'ree're dealing with a seasonally very weak month/time for gold. I love buying in July/August! Get ahead of the market and then I'll pile into more once the breakout confirms at that $1,835 number. Why $1,835? Chart 1 below is a clear two year huge symmetrical triangle pattern, getting tighter and tighter, and will resolve itself before the impending apex!
3 out of 4 or an even higher ratio of my experiences with these patterns, is that they resolve in the same direction as the trend, which is Ascending for gold long term! They can breakdown lower and nothing is guaranteed. But, I've been deploying a lot of fresh capital to both physical gold, favorite cheap gold miners, and leaps on producers and GDXJ for leverage. Look at that beauty! First chart....
Next is the sloppy daily chart and why $1,835 is my focus point. We're below the 200 DMA which is a negative, but it's not far away and I trust weekly/monthly charts when they line up more than a daily chart! I'll attach the monthly Flag pattern chart as well. Flag and triangle formations are bullish and I play them often on breakout and/or even before if conviction is high like in gold right now!
Lastly, the mining stocks! I'll just post one chart of GDXJ (weekly), but note that a very juicy long bull flag on the 10 year, AND a huge gap to be filled on the daily at $51 is extremely likely to be filled. I'm VERY bullish my GIL portfolio right now and have been in capital deployment mode for weeks into SOUND MONEY themes. That includes Bitcoin (digital gold has stuck on the Street as its main moniker and they are forevermore linked), whether you like it or not!
It actually matters not what you or I think about it. When I SEE/SAW massive fund managers and the smartest people on planet earth concluding if gold does well, Bitcoin will do better. And they are correct! In Q1 we literally saw huge money liquidating gold positions to get the extra juice in BTC. $1 Trillion market cap impacting the $13T behemoth is noteworthy. However, I think this will be one hand washing another and as Bitcoin soars into the hundreds of thousands and even millions eventually, the greatest store of value for millenia will attract capital back! I just did this with huge crypto profits in May. I took the risks, made enormous returns, and then I wanted safety! Gold attracted a large chunk of my crypto money....
Individual names and updates in my next email....
Cheers!