Best of the Week
Most Popular
1.Gold Price Trend Forecast, Where are the Gold Traders? - Bob_Loukas
2.Stocks Bear Market of 2017 Begins? Shorting the Dow At its Peak! - Nadeem_Walayat
3.Betting on President Trump Leaving Office Early, Presidency End Date - Betfair Market - Nadeem_Walayat
4.Why Stock Market Analysts Will be Wrong About 2017 - Clif_Droke
5.Is This The Best Way For Investors To Play The Electric Car Boom - OilPrice_Com
6.Silver Price 2017 Trend Forecast Update - Video - Nadeem_Walayat
7.Gold Price Set For Very Bullish 2017, Trend Forecast - Austin_Galt
8.10 Things I learned From Meetings With Trump’s Transition Team - - John_Mauldin
9.How Investors Can Profit From Trumps Military Ambitions - OilPrice_Com
10.Channel 4 War on 'Fake News', Forgets Own Alt Reality Propaganda Broadcasting - Nadeem_Walayat
Last 7 days
Trump Speech a Dollar Bust? - 28th Feb 17
Market Forecasting - Want to "Get Ahead of the Game"? Try This - 28th Feb 17
Stock Market Crash If Trump Doesn’t Push Through the Tax Reform by 2018 - 28th Feb 17
Changes NATO Must Make To Remain A True Alliance - 28th Feb 17
Major Funds Betting On Trump BioTech Sector - 28th Feb 17
A Global Eurodollar Shortage - 27th Feb 17
Are UK Savings Interest Rates Finally Starting to Rise? Best Cash ISA 2017 - 27th Feb 17
Stock Market Breakout or Breakdown? - 27th Feb 17
Peak American Wealth – Revisited - 27th Feb 17
Oscars Debacle – Movies More Costly As US Dollar Devalued - 27th Feb 17
Stock Market Short-Term Uncertainty As Stocks Fluctuate Along New Record High - 27th Feb 17
Dow vs Precious Metals : Where’s The Beef ? Where’s the Bull ? - 27th Feb 17
Stock Market Sentiment at ‘Extreme Greed’ - 26th Feb 17
Trump Relinquishes Control of Foreign Policy - 26th Feb 17
[Gratis] "Dark Money" Secrets Revealed! - 26th Feb 17
Stock Market SPX New All-time Highs Continue - 25th Feb 17
POWERFUL GOLD & SILVER COILED SPRINGS: Important Charts You Have To See - 25th Feb 17
Underperformance in Gold Stocks Argues for Interim Peak - 25th Feb 17
Watch What Happens When Silver Price Hits $26...  - 25th Feb 17
Gold Futures Buying Yet to Start - 25th Feb 17
When the Stock Market Flying Pig Tops - 24th Feb 17
Gold, Second Fed Hike and Interest Rates - 24th Feb 17
Bitcoin Price Hits Record High! - 24th Feb 17
Another Stock Market Bubble? Bring it On! - 24th Feb 17
What Investors Need To Know About U.S. Money Market Funds? - 24th Feb 17
When Was America’s Peak Wealth? - 24th Feb 17
The Oscars – Worth Their Weight in Gold? - 24th Feb 17
The Best Reasons to Buy Gold in the Age of Trump - 22nd Feb 17
Silver, The Return of Stagflation - 22nd Feb 17
Why EU BrExit Single Market Access Hard line is European Union Committing Suicide - 22nd Feb 17
Gold: Short End US Rates Matter More Than Long End Real Yields - 22nd Feb 17
CONTINENTAL RESOURCES: Example Of What Is Horribly Wrong With The U.S. Shale Oil Industry - 22nd Feb 17
Here’s Proof Rising Rates Are Good for Gold - 21st Feb 17
Gold and Silver Weekly Update - 21st Feb 17
US Dollar and Gold Battle of the Cycles - 21st Feb 17
NSA and CIA is the Enemy of the People - 21st Feb 17
Big Moves in the World Stock Markets - Big Bases - 21st Feb 17
Stock Market Uptrend Continues - 21st Feb 17

Market Oracle FREE Newsletter

State of Global Markets 2017 - Report

Gold and Silver Heading for New Highs This Year

Commodities / Gold and Silver 2012 Apr 15, 2012 - 11:46 AM GMT

By: Tony_Caldaro

Commodities

Best Financial Markets Analysis ArticleOEW has had the Gold market in a long term uptrend since 2001. And, we ‘re not expecting the bull market top until the year 2014. This coincides with the 13 year commodity bull market Secular cycle. We have been posting on this blog, from time to time, on both Gold and Silver. You can find these reports be using the “categories” search function and choosing ”selected charts”.


Currently the precious metals are entering a very interesting situation. After the last report Gold bottomed about one week later within the expected bottoming range. We labeled that low Major wave 4 of the current Primary V phase of the bull market. After that low Gold rallied about $270 to $1793. This ended Intermediate wave i of Major wave 5. For the past two months Gold has been correcting in an Intermediate wave ii downtrend. It has been a bit tricky determining the actual low since the correction has been quite complex. Nevertheless, the low has occurred, or will likely occur on the next pullback. Silver has the same exact count as Gold. And, should also end its downtrend shortly.

Notice how both Gold and Silver ended their respective Major wave 4 lows, in late December, at the normal oversold MACD condition for each metal. Also observe how Gold has remained nearly entirely above the MACD neutral line since 2001. With the exception of the 2008 mass liquidation, this is typical bull market activity.

The interesting situation, we noted earlier, is quite simple from an OEW perspective. Situations like this are rare but do arise from time to time in various markets. Since Gold and Silver are, and have been, in bull markets. The quantitative feature of OEW requires both of these metals to make new all time highs before this year ends. It’s that simple!

With Gold currently trading at $1660, a new high is only about 16% higher from current levels. Nothing out of the ordinary here. One good uptrend can accomplish that. For Silver, however, a new all time high will require a couple of really good uptrends. With Silver currently trading at $31.54, a new high would require a nearly 58% advance from current levels. Since there are only about 8 months left in the year this would be quite a move. And, we are expecting it.

We conclude by suggesting there is a high probability both Gold and Silver will make new all time highs before 2012 ends. Best to your trading/investing!

CHARTS: http://stockcharts.com/...

http://caldaroew.spaces.live.com

After about 40 years of investing in the markets one learns that the markets are constantly changing, not only in price, but in what drives the markets. In the 1960s, the Nifty Fifty were the leaders of the stock market. In the 1970s, stock selection using Technical Analysis was important, as the market stayed with a trading range for the entire decade. In the 1980s, the market finally broke out of it doldrums, as the DOW broke through 1100 in 1982, and launched the greatest bull market on record. 

Sharing is an important aspect of a life. Over 100 people have joined our group, from all walks of life, covering twenty three countries across the globe. It's been the most fun I have ever had in the market. Sharing uncommon knowledge, with investors. In hope of aiding them in finding their financial independence.

Copyright © 2012 Tony Caldaro - All Rights Reserved Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2016 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

Catching a Falling Financial Knife