Posts On Market Update

The Market Has Spoken: It’s Time to Buy

The gold market has seen quite a run higher in recent action in what could be the beginning stages of a major and protracted bull market. The market recently hit 6-year high and strong fundamentals as well as an improving technical posture could keep the metal on the offensive. Markets do not typically go straight up or straight down, however, and now may be the ideal time to look at buying big on any dips. The gold market is benefiting from several key economic and... Continue Reading

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Get Ready for Blast-Off – The Market’s Technical Posture

After putting together an impressive string of gains recently, the gold market has pulled back a bit as stocks attempt to regain their footing. Weakness in key data points recently has renewed investor hopes for a rate cut from the Fed, and some analysts are now calling for a series of cuts. The stock market appears to have entered a phase in which bad news is good news, and the Federal Reserve may once again have to turn on the easy money spigot to keep... Continue Reading

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So Many Catalysts to Choose From

The gold market has been range-bound in recent weeks. Dips into recent support from $1275-$1290 have been aggressively bought thus far, and the market appears to be quite comfortable in its recent range. The bears have not been able to carve out a fresh leg lower, suggesting that prices may be at a near-term or perhaps even long-term bottom. Since gold does not appear to want to go lower, it may simply be a matter of time before its starts moving higher again. Perhaps the... Continue Reading

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Gold Sustainability- What Won’t Go Down Often Goes Up

The gold market has not seen any substantial upside rallies in recent weeks. In fact, after recently coming under pressure, the metal has simply been treading water around its 200-day moving average and the $1280-$1290 region. The longer it sits in this region, however, the better. Although the long-term bullish case for gold sustainability remains intact, There have been no shortage of reasons for the metal to see some selling pressure in recent months. Rising interest rates, a stronger dollar and fresh all-time highs for... Continue Reading

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A Prime Example- Volatility Spike

Over the weekend: President Trump alluded to a breakdown in ongoing U.S./China trade negotiations. The U.S. is now set to impose further tariffs on $200 billion of Chinese goods, taking the current rate of 10 percent up to 25 percent. Talks were scheduled to continue this week in Washington, although it is now unclear if scheduled meetings will take place. Markets are on edge over the news, as stocks had seemingly priced in a deal being done in the coming weeks. Volatility Spike: Today, the... Continue Reading

Key Divergences Point to Higher Gold

Following some recent declines, the gold market has not accomplished much thus far in 2019. Although many of the so-called “experts” may pounce on this fact, we see it as a significant positive for the market. Not only is it a positive, but it could potentially be indicative of a major rally on the horizon. Here’s why we can count on gold resilience: Gold has endured a stronger dollar: Typically, the dollar and gold have a negative correlation. That is to say that when the... Continue Reading

Has the Dollar Peaked?

The stronger dollar has likely been a major factor in gold’s lack of upside follow-through in recent months. The currency hit its highest level of the year last week but is seeing a mild pullback today in early action. The greenback’s strength is not really all that surprising – it has benefitted from concerns over global growth and interest rate differentials. The Dollar Is Near a Top… The dollar may be at or near a top, however, and could soon see a significant price reversal.... Continue Reading

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Why the Dollar Is Overvalued

The U.S. dollar has been on the stronger side of the ledger in recent months. There are numerous factors at work that have kept the greenback moving higher, including strong U.S.  economic data and weakness in other regions. Creeping Weakness Affecting the Dollar Recent months have seen some significant weakness creep into the U.S. data stream, however, and China has been reporting some serious weakness of its own. The dollar has likely enjoyed the benefits of weaker growth in emerging markets and the fear of... Continue Reading

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It’s a Classic Bull Trap

Stocks have again found their winning ways in recent weeks but it’s likely all a classic bull trap… After a rough end to 2018, the markets have been moving higher even as a U.S./China trade deal remains elusive. The benchmark S&P 500 is once again challenging resistance around the 2800 level, and some investors are hopeful that the market will stage an upside breakout and embark on a fresh leg higher into a new all-time high territory. However, investors may be very disappointed if the... Continue Reading

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Rate Hike Boo-Hoo

Talk of another rate hike by the Federal Reserve has largely dominated the financial media for some time now, and recent hawkish commentary from several Fed officials has markets on edge. The Fed will meet again on September 21st, and investors will be paying close attention. For now, Fed Funds futures are pricing in about a 24 percent chance of a hike this month, while those same contracts are currently predicting a 58 percent chance of a hike in December. The real question is: Does... Continue Reading

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