“More wood to chop”...

You are receiving this message because you have specifically subscribed to Golden Opportunities, have purchased a product or have registered for a conference with us or with one of our partners. If you'd rather not receive emails from us, please click the link at the bottom of this page to unsubscribe from our database. Remember your personal information will never be rented or sold and you may unsubscribe at any time.

Contact Us | Privacy Policy | View in Browser | Forward to a Friend

“More Wood To Chop”

Thanks to oil’s jump over $100, the metals are continuing their R&R for the time being.

The mainstream financial media pundits aren’t completely useless — they provided me with a headline this morning.

I had CNBC on as I was sipping my second cup of coffee when a talking head commented that “there’s more wood to chop” for the U.S. stock market.

I commented to no one (OK, to my dog), “this, from someone who’s never chopped wood!”

Of course that was beside the point. But it illustrates my frustration with analysts who act like they have crystal balls in a crapshoot...and particularly those generalists who claim expertise on gold, the asset they’d crowned with a tin foil hat for decades.

Right now, those analysts are decrying gold’s status as a safe haven or inflation hedge after it sold off today (along with all the other “risk assets”) as oil shot up over $100.
 

Of course, gold is decidedly not a hedge against geopolitical uncertainty, and never was. Its behavior before and after shots are fired has always been entirely due to speculative trading.

From the Western trader’s point of view, it’s simply a bet.

The good news for us is that the real...and only...reason to own gold is as protection from currency debasement — especially during periods when that debasement process is about to accelerate.

Times like today, for instance.

This is why we should ignore the daily headlines, especially the geopolitical ones, in regards to gold and silver.

Just Another Rest Period

Drilling down, over the past few weeks we’ve seen gold post a significant drop in one trading session, only to reverse that the very next day.
 

In short, the metal continues to work off the excesses of that torrid January run, as this six-month chart shows clearly:

We’ve seen this pattern over and over during the two years of this bull run, and that pattern tells us that gold will eventually break out of this trading range with a new and very powerful rally.
 

Silver will follow along, outperforming gold, as will the mining stocks.
 

In short, this is one of those buying opportunities that this market has periodically handed us. We should be grateful and accept it while it lasts.

On that note, I’m especially excited about the recent new recommendations in Gold Newsletter. Thanks to this temporary pause in the uptrends for gold and silver, these new picks have yet to move.

I strongly recommend that you take advantage of this opportunity.

All the best,

Brien Lundin
Publisher, Gold Newsletter
CEO, the New Orleans Investment Conference

CLICK HERE
To Lock In A Full Year
Of Gold Newsletter or 

Gold Newsletter Alert