Jordan Roy-Byrne – Investing Strategies For A Precious Metals Bull Market Playbook
Jordan Roy-Byrne, Founder and Editor of The Daily Gold, joins us to review his technical outlook on the precious metals sector, and some investing considerations for switching from a bear market to bull market playbook.
We start off having Jordan review some of the support levels and key moving averages that he’ll be watching for in any near-term corrections in gold or the mining stocks. We also have him outline the number of technical and intermarket analysis data points that have him confident that we are in a new bull market.
The conversation then transitions to why he is invested in both gold and silver growth-oriented producers and advanced explorers, and could see adding in even some optionality plays once gold breaks up through the $2100 resistance level.
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Huge GDX:SPY breakout looks imminent…
https://stockcharts.com/h-sc/ui?s=GDX%3ASPY&p=W&yr=7&mn=11&dy=0&id=p91687077361&a=1352444094
Imminent was the right word. Look at it now.
Silver is up 40% versus copper since last May but is just getting started.
https://stockcharts.com/h-sc/ui?s=%24SILVER%3A%24COPPER&p=M&yr=25&mn=11&dy=0&id=t6690379517c&a=1029108470&r=1683174068203&cmd=print
The Trouble With ‘The New Safety Trade’
Jesse Felder – The Felder Report – May 2, 2023
“There has been a lot of talk in recent months about the narrowness of the rally in stocks so far this year. It’s no secret that the majority of the gains for the index have come from just a handful of stocks while many smaller names have performed much more poorly in comparison. To wit, together Microsoft and Apple’s share of the the S&P 500 Index just rose to a new record high while the Russell Microcap Index just fell to a new multi-year low.”
“Some have explained the phenomenon by noting that investors now see Big Tech as the ‘new safety trade.’ People are looking for safety and comfort given the cross-currents in the market, and tech gives them plenty of ease, as JPMorgan sales trader Jack Atherton tells the Financial Times. That ease comes from the belief that Big Tech actually offers, in the words of Glenmede’s Jason Pride, “downside protection during more difficult times.”
“Investors crowding into these names better be right because they are clearly making a major bet that these companies’ financial performance will not only hold up through the economic “cross-currents” to come, it will actually benefit from them. How else can you explain that they are willing to pay 65-times aggregate free cash flow (less stock based compensation) for the five largest stocks in the Nasdaq (as of last year)?”
“Over the past decade, their average valuation has been less than half the current level. So it would appear there is a very real risk that if the economy enters recession and these companies are not immune to its effects their collective valuation could revert to some degree or another, a process that could prove inordinately painful given the extreme valuations they trade at today…”
https://thefelderreport.com/2023/05/02/the-trouble-with-the-new-safety-trade/
Just sounds like another intervention but a smaller target. Twelve years up was abnormal. Miners are abnormal. I would guess they are getting fat and lazy.
All has changed this am… regional banks tumbling down… good night!;-D The worst part is, the big banks will pick up assets for pennies.
Pacwest -59%, Western Alliance -38%, Zions Bancorp -14%
TD Bank glad to take a $225m penalty for not buying First Horizon for $13B… they can wait now and buy it for pennies later.
Cramer even said something this morning to the affect that having JPM as the last bank standing was not a good idea.
I’ve already heard talk of a ban on short selling the banks.
Where the F is Powell now? Hiding under his bed? He has been caught in another lie that the regional banks are in fine shape, he is a lying crook and should be fired on his ass.
lol………….firing his ass ……… will do NOTHING……………
KILL THE CENTRAL BANK……. will end the problem….
No disrespect intended…Dan
North Carolina joins FL, SD against digital dollar as states becomes key CBDC battleground
IMO Jesse is properly considering the high risk evident to those who are buying MAGMA stocks. They’re not the riskless trade wall street is making them to be. The guys at Hedgeye also agree with Jesse and they’ve been on the right side of winners and the macro condition of this economy since Jan, 2022. Might I mention that they are also into gold, silver and miners big time!
Incidentally, just yesterday their system labeled this Quad-4 condition through the 4th quarter. Doesn’t bode well for Old Wall Street!
EMO again has good drill results and gets the cricket treatment. What has been particularly interesting in recent drill results is the good gold grades. Lead and zinc have always got the attention with copper snd silver following… but the gold grades can also be in the “stand alone” category for a resource potential.
Those ignored gold readings go along with the decline in Emo price for the last year or so giving stronger support to the tin hat intervention theory being a real factual theory.
https://tinyurl.com/52euebw7
NatGas Vaguely Bottoms.
PMs Moon Bound!
(Mars?)
Mars is habitable
North Carolina joins FL, SD against digital dollar as states becomes key CBDC battleground
Let’s hope NY and DC joins in. Also need to get some tar and feathers. I understand it is on backorder.
NY and DC……… land of the banking scum…….. DC should not even exist…..
Point to Ponder:
The Sprott guy indirectly indicated he liked I-80 through his Paycore acquisition comment. Todays news had a release mentioning I-80 and Golden Lake (same area) were going to do some joint metallurgy stuff. Might as well throw in keeping Timberline in your Telescope view as they have 2 properties: one small property next to I-80 and Golden Lake, and one below Golden Lake. That puts I-80, Paycore, Golden Lake and Timberline kind of like sharing the same cul-de-sac, with I-80 buying one of them and growing tomatoes with another neighbor. (I own all of them)
Added to Guanajuato and bought back Silver Tiger. Silver Tiger had good drill results today (again) and price down to .22 USD.
Nice moves in PM mining stocks. One of my favorites, SSRM blasted off
https://stockcharts.com/h-sc/ui?s=SSRM&p=D&b=5&g=0&id=p07356944298&a=1406583125&r=1683221171905&cmd=print
Biotech is also making slow and steady gains
https://stockcharts.com/h-sc/ui?s=LABU&p=D&b=5&g=0&id=p72228876778&a=1406583347&r=1683221347370&cmd=print
Sugar is extremely weekly overbought after a nice 6 month move and might be done for awhile.
https://stockcharts.com/h-sc/ui?s=CANE&p=W&yr=3&mn=7&dy=0&id=p75889403781&a=1126862809
New 28 month high for GLD:XLF (Gold vs the financial sector):
https://stockcharts.com/h-sc/ui?s=GLD%3AXLF&p=W&yr=5&mn=0&dy=0&id=p39671051900&a=1397247331
The dollar is getting ready for a plunge and the higher gold can go before it does so the better.
https://stockcharts.com/h-sc/ui?s=UUP&p=W&yr=3&mn=11&dy=0&id=p87085974968&a=1311189634
Gold is now trading at $2059.30 U.S., maybe we will soon surpass the all-time high of $2074.88 reached on August of 2020. It would be nice to get a move into the precious metal stocks and this could be the shot that sets it off. DT