What Happens To Gold And Silver Next? Look Out Below?

I am not sure but I imagine that you would be in the minority thinking that.
I personally think that Yup has done a great job in this thread that He started 4 years ago and has 339 pages of replies.

Well .. the post is kind of contradictory if you think about it but I think yup is an advanced investor. I think, maybe agree the silver run will pullback a bit at this point, we were less than 16 last week of December, that's 10%, whoever played this run up did just fine. Not much in it for coin and bar investors which I'm sure are still buying at record levels. To much easy money, it's falling all over the place. I was just researching how companies like snapchat make 400 million and are heading for a billion in revenue, they make money when people spend money via geofilters, it's advertising, it's a weird world folks, hang on to your metals, and know when to pull out of eventually pull out of this thing.

Going, as always, with very simple charts, I prefer to keep it super simple and clean so that price remains front and center.

Since late last year, when prices started pulling deeply and the public started to freak out all over the internet and proclaim that gold and silver were done and foolishly attempted to project silly lower prices and call the move higher nothing but an "over sold" bounce (whatever that means lol) or a "dead cat" bounce ( a common mistakenly used term by rookies lol), gold and silver have managed to move higher and steady themselves.

The first clue that stability was coming was when sentiment was becoming negative and clouding price action, which has told us since day one that gold and silver remain in uptrends. To the unknowing eye, a pullback as experienced by gold/silver was misinterpreted as the end of the uptrend.

Lets look at gold first-




Since last year, gold has been working on making several ranges or bases and then moving higher out of them. It has been very choppy and sideways but again, each range or base in price has thus far been broken higher. Notice that not once did gold hit its yearly lows. Until the yearly lows are broken, the up trend remains. Period.

The price action in gold is constructive and we will be getting a resolution higher so long as this current pattern continues forward. Next week, on a shorter time frame, look to see if 1227.50 is broken.

The other major price point above on this time frame is breaking above 1338.30, and as time goes, this price will change. But keep that as a secondary target.

For it to be all over for gold and a downtrend to kick in solidly, gold must break the yearly low of 1115.30.

Finally, the range we are working for now and of this post is 1227.50 on the high end and 1179.70 on the low end, on a shorter time frame.

Silver




Silver is in the exact same type of pattern as gold. Making ranges or bases and then breaking higher. As with gold, so long as this current pattern continues, expect higher prices. Silver also remains in an uptrend.

For the coming week, look to see if 17.75 is broken higher. Comparing the two charts, silver looks better for now. If you have been following this thread and can properly comprehend price action, you will notice that silver and gold take turns leading in terms of price strength. Just as with gold, price action has been constructive.

Silver is roughly working a range of 17.75 on the high end and 17.43 on a shorter time frame.

Again, silver is in an uptrend until that yearly low is crushed. The current yearly low in silver is 14.27.



To wrap up- gold and silver remain in up trends. If you have had trouble grasping this with the pull backs in silver and gold, you should probably just stay away and not put your money into silver and gold.

From my perspective as a trader and my time frame, it is very hard to get excited about silver and gold as buys. Their trigger points for me personally and my time frame are far away for now. The uptrend is present but there are many asset classes right now moving higher, with prettier patterns and offering much larger returns, a 5% is nothing to me.

However, this price action as we are seeing in gold and silver is not just present in gold/silver but in most commodities. Pull up a commodity chart and you can see it. Last year,I had several great trades in many commodities, such as sugar, coffee and cotton, where they raced higher and then broke down sharply to the point where they came close to their yearly lows but never broke them. Now, many months later after exiting those trades, many of those commodities are poised for a second run higher.

For the sake of simplicity and because most of you do not trade futures, I will illustrate this point with a chart of cotton using an ETN that you can all easily buy with a brokerage account.





Looking at BAL, which is an ETN that tries to mimic the price of cotton futures, you can see after hitting fresh yearly highs in early 2016, prices slowed down in mid August. From there prices just went straight down and just about went flat, similar to gold. We fast forward to this week and can see that cotton is getting ready to challenge its previous yearly highs.

Folks, sometimes up trends are not as beautiful as Puerto Rican or South American women. Sometimes they really nose dive and pull back in, often price is correcting via price instead of time. In corrections in time, price moves in sideways, doing nothing. In corrections in price, we can see price correcting close too where the original price point where the uptrend started, such as in gold.

This is where you must have experience and emotional control. Buying a starting line (not ALL of your money) and starting right as the move begins will help you manage wild assets in up trends where they are not pretty.

The good thing is that eventually, so long as price remains in an uptrend, it should, at some point, smooth out. Remember too, there is a TON of overhead supply, expressed in price that will continue to weigh on silver and gold until it cuts through it.

One final point-

Many miners have exhibited beautiful price action despite that gold and silver pulled back and the public went overboard calling for ridiculous and silly price levels (remember anyone who predicts price points ends up looking like a fool by the market)


There are many nice charts out there. One stock that has broken out higher last week is PAAS, a silver miner. Here is a nice chart and notice how close it is to yearly highs. Its funny, while the public is out calling for 10 dollar silver because it pulled back, miners have held their and many are working on breaking higher. Pretty sad that the public cannot grasp price and pay attention to it instead of getting scared and trying to outsmart the market with wild predictions. Sad but true, people ignore price action and then end up looking like fools.




So there you have it. Price action is constructive, tho NOT pretty, in the PMs. Those who mock price action have been silenced and look silly. I say ignore anyone who is bitter because they cant grasp simple price action. In fact I say, anyone who says gold and silver are not in up trends are liars and you should ignore them. Price is truth and doesn't lie. Furthermore, dont be surprised by a ton of chop and sideways action.

Laugh and mock all you want, at the end of the day, those who follow price, such as myself, will get the last laugh and be consistently right. Anyone who tries to contradict price, which I know is always right (and has paid me handsomely in my pocket book), end up disappearing.

I've been following this thread since day one. It has been interesting and informative. Yup will tell you that he does not care about "hows and whys" And he is right, as far as his stratagy is concerned. In a broad sense Yup is reactive. He follows price action and it works for him. But; he follows something that has already manifested. He can't tell you a downtrend is going to happen, only that it is happening.

Having said that I am going to go out on a limb and be one of those guys who don't know anything.

I want to be clear, don't do anything based on my opinion. Yup deserves his rep. Few of you know me. I spent a good time of my "childhood" as an analyst. Basically looking at the trends. Trying to get ahead of them. Sometimes it works, sometimes, it is wrong, wrong, wrong. In my adult life I'm an Engineer that plays with spacecraft. And part owner of a LCS

As an Engineer I am well aware of the world wide glut in Silver. China has enough silver to fuel the entire worlds industrial demand for silver for the next 7 years. And that is just Silver. As a Coin dealer I know my refiner only takes silver once a quarter and only for large amounts. He used to come up every Thursday. And we're lucky to get spot when we sell. Why? Because the market for their products just isn't there. We used to sell 3 to 400 ounces of 90 a month. Now we sell less than 50 ounces a month.

So if demand is down and money is flowing into the stock market then why is silver and gold going up so nicely?

Well, my worthless Just for fun, guess is that one or more of the big boys are driving it higher before shorting the market.

Again, listen to Yup, this is just my fun.

Interesting article here on some possible upcoming twists and turns from Washington that may affect bullion:
http://averybgoodman.com/myblog/201...r-over-year/

Silver back over $18!

My opinion has already been expressed in this thread in the past, if you look you might find it.

My current posts and comments, even if as you say; I'm "Bagging" other posters, are still my opinion and as such are indicative as to wether I am pro or con to the current sentiment on "trends".

Wether you find them constructive or not is your perogative and really depends on whose side of the court you're sitting on.

Besides I do not claim to be an expert in any field. I'm not here to lecture "students" or get frustrated at them for not seeing it my way..

An opinion is just an opinion, it is not gospel or scientific fact, its an educated guess.. And like the saying goes about "opinions are like *******'s, everybody has one"

It is not my job to ram mine down anyones throat, but I can express any contradictory feelings I have about any opinion I don't agree with.
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Interesting comments made by David Hall from PCGS. "We're only 2 tweets away from $2000 gold"

And I could not agree with him more.