Gold Miners Decline Ahead, Caution Buying Silver Coins
Doug Eberhardt | Jul 20, 2016 02:23AM ET
Summary
- We hit the targets from April Article of $1,300 to $1,400 gold.
- Dollar is moving back up which will put pressure on gold, silver and mining stocks.
- My secret indicator tells the real story about gold.
- Gold dealers new tactics to rip-off investors in silver.
- The one question to ask every gold dealer.
In my article written April 17th, Enjoy The Gold Bull While You Can , I explained I was bullish on silver over $16 and put up a chart that showed when gold was $1,233 that resistance was in the $1,300 to $1,400 range. Gold hit a closing high of $1,366.25 after moving above $1,370 intraday on July 6th.
I also explained that if the dollar, which at the time was 94.68, fell below 94 it would be bullish for gold. It hit a low of 91.91 on May 3rd but has since bounced higher. Please take a look at those charts for reference.
As gold moved into its range, silver moved up into a higher resistance than the range I gave, which if you look at the charts showed a double top additional resistance right where silver peaked at the 21.50 range. Anyone who reads charts knows that if you break one resistance you look for the next resistance on the charts and become cautious as you approach that level.
You can see that double top on the same chart I used 3 months ago.
The graph below explains what gold dealers are doing to rip clients off by selling 1.5 ounce silver coins at high commissions. I explain more in the article.
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