From the Desk of Ian Culley @IanCulley
You can’t keep the gold bugs down.
They’re a hearty bunch full of true grit, choosing to focus on the silver lining while persevering through countless downturns.
Gold, on the other hand, has been an easy target…
Every time buyers have managed to drive the price back to the 2,089 level…
Rejected!
Sellers have stepped in, capping price while breaking the hearts of gold bugs everywhere.
Or so I thought. It turns out you can’t break a gold bug’s heart.
Try as they might, sellers are no match for gold bugs’ bullish conviction.
Buyers rushed in, driving price higher following last month’s breakdown:
I’ll admit, I didn’t see this week’s retest and possible breakout coming.
The market simply wore me down. I guess I’m not what you might consider a true gold bug.
You can call me weak if you like. But that won’t stop me from buying gold futures on a decisive daily close above 2,100 with a target of approximately 2,500.
And it shouldn’t stop you, either.
Gold mining stocks will also spring back to life if gold catches a sustained bid.
Check out Wesdome Gold Mines Ltd. $WDOFF, a $1B Canadian gold miner:
WDOFF is carving out a multi-month base after bottoming early last year.
A decisive close above 7.00 solidifies a new 52-week high, triggering a buy signal.
I like entering a long position above that level with an initial target of 10 and a secondary objective at the all-time high of 13.23. (Few gold miners could boast of an all-time high in 2022.)
Perhaps I’ll go to Costco and buy a few gold bars to bury in the backyard if gold futures start to run.
But who am I kidding? Deep down, I’ll always know I’m just a fair-weather fan.
It doesn’t bother me. I take a simple approach to market speculation: Buy strength and sell weakness.
And I’m buying gold above 2,100.
Are you a full-fledged gold bug?
If so, how do you manage? What’s the trick?
And if you’re not a gold bug, are you ready to buy gold and join the ranks?
-Ian
Click here to watch this week’s Gold Rush Video:
Thanks for reading.
Let us know what you think. We love hearing from you.
And be sure to download this week’s Precious Metals Report below!
Allstarcharts Team
