Bull Flag Breakout For Gold Stocks

By Stewart Thomson / February 19, 2019 / www.321gold.com / Article Link

Stewart Thomson
email: stewart@gracelandupdates.com
email: stewart@gracelandjuniors.com
email:admin@guswinger.com

Feb 19, 2019

As US markets re-open after the holiday, the world’s “queen of assets” continues her glorious ascent to higher prices.Please click here now. Double-click to enlarge this magnificent short term gold chart.

The rise above $1332 ushers in my new short-term target: $1355!

Please click here now. Gold is well on its way to becoming a mainstream asset like stocks and bonds.

The reason for that is the “citizen wealth effect” created by the relentless rise of China and India.These gold-oriented nations are well on their way to becoming the most gargantuan economic empires in the history of the world.

It’s simple mathematics:There are eight Chindians for every American, and about half of the Chindians are under the age of 35.

It’s an unstoppable force that I refer to as, “The Gold Bull Era”.

In the West, gold has been traditionally bought only when major stock, bond, currency, and real estate markets get into trouble.

In contrast, Chindian citizens view gold as the “ultimate asset”, meaning they buy it in both good times and bad.

This view is beginning to gain acceptance amongst Western analysts and money managers and I’m predicting it will continue to do so for many decades.

Gold’s role as ultimate asset was showcased in the September-December period when it rose while US stock markets tumbled.

Most gold bugs were stunned by the incredible price action, and even more stunned as the GDX gold stocks ETF soared too!

Now, gold is rallying while US stock markets rise, and most analysts are again somewhat shocked as their attempted top calls for gold fail repeatedly.

This type of “win-win” price action is unique to gold and I’ll boldly state that it is essentially here to stay!

Please click here now. Double-click to enlarge.On this daily chart, gold looks like a freight train that cannot be stopped.

From a big picture technical perspective, this type of daily chart action is expected and normal.To understand why I say that, please click here now. Double-click to enlarge what I consider to be the greatest weekly chart in the history of markets.

Gold appears to be rallying from the final right shoulder in a multi-shouldered inverse H&S bull continuation pattern.Incredibly, that pattern itself appears to be just the head of a much more gargantuan pattern with a target price of $3000!

In this situation, the current “freight train” technical action being showcased by gold on the daily chart is perfectly normal.

Please click here now. Double-click to enlarge this key GDX daily chart.A spectacular bull flag breakout occurred on Friday.

In pre-market action this morning, the price is gapping higher.

Please click here now.Double-click to enlarge.That’s another look at GDX on a short-term chart.

With the bull flag breakout now in play, stop-loss enthusiasts can now raise their protective profit-locks from $20.10 to $21.75.

Please click here now. Double-click to enlarge this silver stocks ETF chart.

A classic staircase chart pattern is developing.Traders can raise protective stop-loss orders from $24 to $26.

I recommend that all investors carry some silver and associated miners in their portfolios and the $26 stop-loss level for SIL-NYSE allows investors to board this precious metals “freight train” with minimal risk and maximum potential reward!

Thanks!

Cheers
st

Feb 19, 2019
Stewart Thomson
Graceland Updates
website: www.gracelandupdates.com
email for questions: stewart@gracelandupdates.com
email to request the free reports: freereports@gracelandupdates.com

Bull Flag Breakout For Gold Stocks

Recent News

Gold stocks propelled by gain in metal and equities

Big Gold producers report strong Q1/24 results

Gold stocks decline as metal drop offsets equity risk on

Canadian mining equity capital raising robust in 2023, early 2024

Gold stocks gain even as metal price pulls back