Silver has spent the last 10 weeks forming a wide bottom amid bullish momentum divergences and increasing signs of accumulation: Click to enlarge This bottoming pattern also happens to have formed during a period which saw the most depressed public sentiment towards silver in over a decade: Via The Daily Gold Meanwhile, the gold/silver ratio… Continue Reading

The most interesting aspect of today’s nearly $20 gold rally was the fact that other metals appear to still be stuck in neutral while gold and stocks rocket higher: Click to enlarge Copper Daily Silver Daily Platinum Daily While silver has a mix of industrial and investment uses, copper and platinum are almost exclusively industrial… Continue Reading

Gold stocks have kicked off the week with a powerful breakout: Click to enlarge Chart patterns which resolve by way of opening gaps often lead to the most powerful follow through moves. The bull flag breakout in GDX points to another 3-5% of gains over the near term ($25.50 – $26.00 area). Meanwhile, a large… Continue Reading

After a wild trading session which saw gold whipsaw following the US non-farm payrolls report, buyers stepped in with conviction late in the US trading session: Click to enlarge The late session breakout looks promising, however, gold bulls will definitely want to see follow through buying Sunday night into Monday morning.

Gold has formed a virtually symmetrical ‘diamond’ pattern during the last month, which happens to also form the right shoulder of near perfect inverse head & shoulders bottoming pattern: Click to enlarge It is rare to see such symmetry in chart patterns, particularly patterns which are forming within one another. There is a good chance… Continue Reading

Yesterday we pointed out the 1928-1930 Dow analog – here’s Tom DeMark on CNBC this morning: “The market unraveled and went down 48% (1929), we’re currently at that inflection point. Like I said, everything is aligned, we think the next 2-3 days are extremely critical…..”

The senior gold miners have been forming a bullish consolidation for the past two weeks and could be setting up for a sharp 10% rally over the coming days: Click to enlarge What will be the catalyst for this rally? A breakout above the $1280 resistance level in gold should do the trick…..

The US stock market could be setting up for an October 1929 style crash – if the following analog first discovered by legendary market timer Tom DeMark plays out we could be in store for a precipitous fall in global stock markets over the next 4-6 weeks: Click to enlarge Chart courtesy of Patrick Ambrus… Continue Reading

From The Globe and Mail: “Looking at the past 10 years, during which commodities prices were rising and Canada’s interest rate differential was mostly positive (i.e. Canadian interest rates were above those of the U.S.), the loonie has been trading almost exclusively above PPP levels. But now, these factors have changed, and are combining to… Continue Reading

If we had to title a book describing the market environment of the past few months it would be appropriately entitled “A Market of Complacency”. Today for the first time much of that complacency was washed away as fear took its place front and center: Click to enlarge VIX (daily) E-mini S&P futures (hourly) 30-Year… Continue Reading

The US Dollar Index is poised for a significant breakout which could lead to its largest rally since June of last year: Click to enlarge A rally in “King Dollar” would also be consistent with a worsening of emerging markets turmoil and a global “risk-off” environment. Bullish seasonality also lends credence to the possibility that… Continue Reading

We appear to be approaching a unique global currency mess. Yesterday evening’s Turkish rate hike reeked of desperation and triggered a powerful pop in thin futures markets: The rally was short lived as we have seen nothing but a deluge of selling in equity futures this morning. Meanwhile, there is a flight to ‘quality’ in… Continue Reading

Nearly one month into 2014 we have decided to separate the wheat from the chaff and identify the 5 most promising charts in the junior space:  Click to enlarge Alderon Iron Ore Corp. (ADV.TO) Alderon, with its partner Hebei Iron and Steel, are set to move its Kami iron ore project in Quebec’s Labrador Trough… Continue Reading

The emerging market contagion which began making headlines and roiling markets last week is not well understood and it is not even clear which countries are ground zero for this crisis. What we do know is that Argentina and Venezuela have been forced to officially devalue currencies which were already trading at much lower levels… Continue Reading

Since the April 2013 gold meltdown there have been no less than half a dozen failed rallies in the gold miners – is this time different? Click to enlarge As can be seen by the above chart (green dotted lines), most of the recent failed rallies have been relatively steep, a classic characteristic of a… Continue Reading