Jeff’s Note: This morning at 11 a.m. ET, I’m sharing the cornerstone trading strategy I used to retire at 42…
It’s centered around a strange anomaly in the gold market. It happens seemingly overnight, day after day… And you could leverage it to receive payouts like 269%, 273%, and 1,285% without owning any gold.
All it takes is one simple move in your regular brokerage account. To learn more, click right here.
Now, read on for the latest gold update from my colleague, Imre Gams…
Gold can be a very difficult market to trade.
It’s highly emotional, volatile, and prone to big price swings…
I’ve seen more than one trader blow their account trying to tame the yellow metal.
But it’s not just short-term traders that struggle with gold. Buying and holding gold over the long run can also be a frustrating experience.
Here’s an example…
In 2011, gold put in a new all-time high of around $1,920. Gold didn’t top that level until August 2020, when it peaked at around $2,076.
Right now, it’s currently trading around $1,980.
I hope you see my point – those price swings can be frustrating to deal with. If you hang on to gold for too long, it might not do much for your portfolio.
The secret is staying on the sidelines while gold is moving sideways or drifting lower… That’s when gold is getting ready for another big move – and it’s time to jump in.
Sometimes those moves are more technical in nature. That kind of price action can make for great trades, but you must be nimble.
Get in. Get out. Collect your profits and move on to the next trade.
But the best moves happen when there’s a fundamental catalyst supporting a technical one, too.
And that’s exactly the situation we find ourselves in right now.
The armed conflict in the Middle East has kicked off geopolitical uncertainty, and it’s driving investors towards safe-haven assets like gold.
Right now, gold is out-performing other traditional safe havens like bonds, the dollar, and the Japanese yen.
Bonds have suffered a historic beating since putting in a top in March 2020. On a year-to-date basis, the Japanese yen is down over 14.5%. And relative to the dollar, gold has gone up 8.9% so far this year.
My analysis suggests we’re not going to get just a few days of great action in gold. The move we’re about to see is going to be a lot more exciting than that.
You can expect that outperformance on gold’s part to continue for the next several weeks if not months.
To get a better idea of what’s to come, let’s look at gold from a technical perspective:
Notice that we’re currently trading above a cluster of three important moving averages (the colored lines).
Gold has been able to break above the 20-, 50-, and 200-period moving averages. The last time this happened was back in late 2022.
At the time, gold was trading around $1,803. Gold went on to rally from December 2022 to May 2023, gaining nearly 14% in the process.
We could be seeing something very similar happening right now.
Free Trading Resources
Have you checked out Jeff’s free trading resources on his website? It contains a selection of special reports, training videos, and a full trading glossary to help kickstart your trading career – at zero cost to you. Just click here to check it out.
This is an excellent time to be taking a closer look at gold. And today at 11 a.m. ET, Jeff Clark will be doing just that.
For an exclusive look at his game plan for capturing great short-term gains in this market, just click right here to secure your spot.
Do you think gold is heading for a rally?
Let us know your thoughts – and any questions you have – at [email protected].