The golden rocket continues to soar.
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Spot gold catapulted $46.5 (1.9%) yesterday to $2,468...absolutely smashing through the previous high of $2,449...and stunning analysts and investors across the globe.
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It’s a fact that this big move in gold wasn’t expected by the vast majority of investors. You, however, were well aware of what was likely to happen.
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That’s because on July 1st, instead of blowing out candles on my birthday cake (but admittedly while mixing an authentic Mai Tai at the beach) I looked at the charts and saw that something amazing was about to unfold.
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I quickly emailed an issue of Golden Opportunities with this subject line: “This indicator is signaling a gold breakout.”
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What was the indicator screaming to me? Gold’s Bollinger bands had “pinched”...and every time that had happened during this new bull market, the price had exploded shortly thereafter.
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Here’s an updated version of the chart I featured on July 1st:
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As you can see, the low points in the Bollinger band widths are marked by red vertical lines, and only the instances after late February (when the bull market began) predict upside breakouts.
Importantly, the rallies after those instances of low volatility have lasted anywhere from one to three weeks.
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We’re now nearly three weeks into the current move, so I would expect gold — which is now quite overbought — to calm down for a little while.
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That said, the gold and silver stocks are just beginning to really leverage the moves in the metals, so I expect any pause in gold and silver to bring more investors into the equities.
On Monday, I recommended two actions that have now become even more urgent:
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- If you’re not already subscribed to Gold Newsletter, you need to do so now. CLICK HERE to lock in a special discount.
- If you’re not already registered for this fall’s spectacular 50th Anniversary New Orleans Investment Conference, CLICK HERE to learn more and lock in a $400 savings.
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Gold and silver are taking a break today, opening the window of opportunity just a bit more. This is your chance to get on board, and I urge you to take it.
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Brien Lundin
Publisher, Gold Newsletter
CEO, the New Orleans Investment Conference
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CLICK HERE to watch interviews by Brien Lundin and Kai Hoffmann with many of today's most exciting junior mining companies on the
Gold Newsletter Youtube channel.
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