We've seen this picture before, most notably the rally that took place in late 2007 into 2008 only to have it turn down sharply after topping in May. Beware the suckers rally. Except gold and silver..
Last week I wrote about the numerous positive divergences building in precious metals. On a near-term basis, Gold looks the worst of the group. But that can be a good thing.
Stock market investors are desperate for any dovish words or action from the Fed. If they get it, gold could shoot to $1730 very quickly. Having said that, it’s still a coin toss..
We had a very interesting week this past week. And, it again outlined for me that people simply cannot overcome their emotions, especially when it comes to the stock market.
