Has this selloff reached a bottom yet?

Everyone wants to know if this selloff has reached a low or bottom yet and what to expect over the next 30~60+ days. Since October, the US stock market has reacted to the US Fed raising rates above 2.0% with dramatic downward price moves. The latest raise by the US Fed resulted in a very clear price decline in the markets illustrating the fact that investors don’t expect the markets to recover based on the current geopolitical and economic climate.

Over 5 years ago, our research team developed a financial modeling system that attempted to model the US Fed Funds Rate optimal levels given certain inputs (US GDP, US Population, US Debt, and others). The effort by our team of researchers was to attempt to identify where and when the US Fed should be adjusting rates and when and where the US Fed would make a mistake. The basic premise of our modeling system is that as long as Fed keeps rates within our model’s optimal output parameters, the US (and presumably global) economy should continue to operate without massive disruption events unless some outside event (think Europe, China or another massive economic collapse) disrupts the ability of the US economy from operating efficiently. We’ve included a screen capture of the current FFR modeling results below.

This model operates on the premise that US debt, population, and GDP will continue to increase at similar levels to 2004~2012. We can see that our model predicted that the US Fed should have begun raising rates in 2013~2014 and continued to push rates above 1.25% before the end of 2015. Then, the US Fed should have raised rates gradually to near 2.0% by 2017~2018 – never breaching the 2.1250% level. Our model expects the US Fed to decrease rates to near 1.4~1.5% in early 2019 and for rates to rotate between 1.25%~2.0% between now and 2020. Eventually, after 2021, our model expects the US Fed to begin to normalize rates near 1.5~1.75% for an extended period of time.

Additionally, our Custom Market Cap index has reached a very low level (historically extremely low) and is likely to result in a major price bottom formation or, at least, a pause in this downward price move that may result in some renewed forward optimism going forward. Although we would like to be able to announce that the market has reached a major price bottom and that we are “calling a bottom” in this move, we simply can’t call this as a bottom yet. We have to wait to see if and when the markets confirm a price bottom before we can’t attempt any real call in the markets. You can see from our Custom Market Cap Index that the index level is very near historically low levels (below $4.00 – near the RED line) and that these levels have resulted in major price low points historically. We are expecting the price to pause over the next week or so near these $3.50 levels and attempt to set up a rotational support level before attempting another price swing. As of right now, we believe there is fairly strong opportunity for a price bottom to setup, yet these are still very early indicators of a major price bottom and we can’t actually call a bottom yet. If our Custom Market Cap Index does as it has in the past, then we are very close to a bottom formation in the US markets and traders would be wise to wait for technical confirmation of this bottom before jumping into any aggressive long trades.

Lastly, our Custom Global Market Cap Index has also reached levels near the lower deviation channel range over the past 7+ years, which adds further confidence that a potential price bottom may be near to forming in the US markets. As we can see from the chart below, the recent selloff has pushed our Global Market Cap Index to very low levels – from near $198 to near $144; a -27.55% total price decline. Nearing these low levels, we should expect the global markets to attempt to find some support and to potentially hammer out a bottom, yet we are still cautious that this downward price move could breach existing support levels and push even further in to bear market territory.

There are early warning signs that the market may be attempting to form a market bottom and our research team is scanning every available tool we have at out disposal to attempt to assist all of our members and followers. We alerted you to this move back on September 17, 2018 with our ADL predictive modeling system call for a -5~8%+ market correction. Little did we know that the US Fed would blow the bottom out of the markets with their push to raise rates above the 2.0% level.

As the US Fed has already breached our Fed Modeling Systems suggested rate levels, the global markets will be attempting to identify key price support in relation to this new pricing pressure and the expectations that debt/credit issues will become more pronounced as rates push higher. In other words, the global markets are attempting to price in the renewed uncertainty that relates to the US Fed pushing rates beyond optimal levels. We expect the markets are close to finding true support near the levels we’ve shown on our Custom Index charts, yet we still need confirmation before we can call it a bottom.

We will continue to update you with our research and analysis as this move plays out and we hope you were able to follow our analysis regarding the Metals, Oil, Energy and other sectors that called many of these massive price swings. We pride ourselves on our analysis and ability to use our proprietary tools to find and execute successful trades for our members. Our ADL predictive price modeling system is still suggesting an upward price move is in the works for the US markets and we are waiting for our “ultimate low price” level to be reached before we expect an upside leg to drive prices higher again. Based on our current research, we may be nearing the point where the markets attempt to hammer out a price bottom – yet time will tell if this is the correct analysis.

Please take a minute to visit www.TheTechnicalTraders.com to learn how we help our members find and execute better trades. Recent swings in the markets have made it much more difficult for average traders to find and execute successful short-term trades. Learn how we can help you find greater success and read some of our recent research posts by visiting www.TheTechnicalTraders.com/FreeResearch/

S&P Breaks 2018 Feb Lows – What Next?

The ES (S&P e-mini contracts) broke the support level from the February 2018 lows immediately after the US Federal Reserve announced a 25 bp rate hike this week. This breakdown below the February 2018 lows is concerning because it indicates that previous support is not holding and we could be in for further downside price activity.

We are preparing a detailed research post for early next week regarding a broad range of US markets as well as how our proprietary price modeling systems are reflecting this recent price move. What we can suggest to all investors is play small positions at the moment and prepare for increased volatility. There is near-term support that may come into play soon, but overall the markets are reacting to a deleveraging event that could see prices push below 2400 before finding true support.

Visit www.TheTechnicalTraders.com to read all of our recent research posts and see what we believe will be the big movers in 2019.

Chris Vermeulen

ES Sets Up Major Double Bottom Ahead of the Fed

The downside price rotation in the US markets on Monday, December 17, set up a near-perfect double bottom formation near the 2530 price level and also prompted a dramatic price recovery after reaching these lows.  Currently, the ES has rallied over 35 pts from this low level and will likely pause before the Fed minutes are announced on Wednesday, December 19.

If the Fed holds true to their earlier promises of continued rate increases, we could see this 2530 level broken as price retreats from any relief rally and attempts to find lower support.  If the Fed changes the context of their message and adopts a slower and more insightful rate policy, the markets are poised for one heck of a potential rally.  The ES if down by a little more than 400 points (-13.75%) from the peak in September 2018.

We believe the markets have already priced in the expected Fed rate hike and we believe an additional rate hike could become a catalyst for a downside move towards 2300 if the 2530 level is breached.  We would like to see the Fed pause, or even decrease rate levels by 25 bp, allowing the markets to parse through the credit/debt issues that have started to plague the global markets before it causes the markets to “turn turtle” and prompt a greater crisis event.

Some of our earlier research, from 2013~2014, was a modeling system dedicated to the Fed interest rates, GDP, Population and Asset Valuations.  We modeled various outcomes of the global economy over the future 15 to 20 years including massive debt increases, massive debt decreases, slowing GDP, growing GDP, massive changes in population and asset levels and many others.  Overall, our research showed that the 2% Fed Funds Rate level should have been an upper boundary and should have been a near-term target back in 2015~2016.  As or right now, the Fed should be decreasing rates to allow for a smooth transition through a “deleveraging process”.

The Fed is behind the curve and is failing to properly navigate the future outcomes of global assets, debt and credit cycles.  If the US Fed is not cautious over the next 12+ months with how they manage the FFR, they could push the entire global economy over a cliff faster than they can spell “Powell”.

Everything rests on Wednesday, December 19 and the US Fed at this point.  Our predictive modeling systems are still suggesting we should see strong upside price activity throughout the end of this year and early next year – assuming the Fed does not pull the floor out from under this market and capsize the global credit markets again.

Learn how we can help you find and execute trades for better success.  Our analysis has been well ahead of these market moves for months and we’ve nailed some incredible trades.  Visit www.TheTechnicalTraders.com to learn more.

Chris Vermeulen

Natural Gas Breaks Lower Towards Our $3.00 Target

Just about seven days ago we alerted all of our followers to a massive breakdown move that was about to unfold in Natural Gas.  At that time, we predicted the price of Natural Gas would break below $4.30 and fall quickly towards the $3.00~3.20 level. Taking a look at that call now, with the price below $3.60, it seems our analysis was perfectly timed.

This Daily Natural Gas chart highlighting our predictive Fibonacci price modeling system shows the downside price targets that are waiting to confirm price support and a potential “deep V bottom formation”.  If you recall from our earlier research, we believe this downside move will end rather quickly with a deep V type of price bottom setting up near the end of 2018.  This means we expect the price of Natural Gas to begin to rally into 2019 after reaching the $3.00~3.20 level soon.

 

This is an incredible move for skilled traders.  We are watching a $2.50 price move in Natural Gas unfold right before our eyes – and it appears this rotation will complete before the end of February 2019.  -$1.40 to the downside, then +1.20 to the upside.  Just follow the predictive modeling systems and ride it out.

We’ll alert you when the bottom sets up and when the upside move it about to unfold, but for now, we are watching for NG to move into the support zone (near $3.20).  Once that level is reached, a technical price bottom should start to set up and the new rally back towards $4.00 will likely start in early January 2019.

Want to learn how our advanced price modeling tools can make calls like this weeks and months in advance?  Visit www.TheTechnicalTraders.com to learn about our research, services, daily videos, and more solutions to help skilled traders stay ahead of these market moves.  Our advanced predictive modeling solutions and years of market research provide our members with a clear advantage you won’t find anywhere else.  Consider joining our services as a Christmas Gift to yourself!

Chris Vermeulen
Technical Traders Ltd.

Expect Gold & Silver to pullback before the next move higher

Our team of researchers, at www.TheTechnicalTraders.com, believe the recent upward price move in Gold has reached a level where prices will pause and retrace a bit before the next big leg higher begins.

The recent downward pricing pressures in the US and global stock markets have prompted Gold to move well above recent highs near $1242.  We predicted this move over 40 days ago with this research post.  We still believe Gold and Silver are setup for a bigger move higher, yet we believe the recent upswing will briefly pause and retrace to levels we are showing, below, before attempting a bigger move to the upside.

This Daily Gold chart shows our Learning Fibonacci modeling system and highlights three key resistance levels.  We’ve also drawn a shaded RED range around the price levels predicted by our Fibonacci modeling system.  As you can see, the current Gold price has reached beyond the CYAN and GREEN levels and is just below the higher RED level.  We expect these resistance levels to briefly hold as price retraces back below $1230 (just below the BLUE support level).  At that point, the bottom will likely be a very quick, “V” type bottom, and prices will likely begin to rocket higher into the end of 2018 and through the early part of 2019.

This Daily Silver chart, the “other shiny metal”, is showing how recent highs, near $14.80, are continuing to restrict the upside price movement.  This resistance is similar to what we’ve seen in Gold and we expect a minor downside price rotation in Silver to play out before a much bigger move explodes higher.  Our Fibonacci modeling system is suggesting prices are capable of rocketing towards $16.00 on a strong price breakout and we believe some level of fear will enter the global markets throughout the end of 2018 and into early 2019.  This fear should push metals prices higher before briefly pausing near the end of Jan 2019.

 

Our predictive modeling tools are showing us that this initial upswing in Gold and Silver will most likely stall between February & March 2019 before starting a much bigger and more explosive move in April~May of 2019.  We will continue to alert you to new analysis when our modeling systems predict future price changes and this means we could continue to see increased volatility in the global equities markets for quite some time.

Want to know how you can profit from these moves in the metals markets and other sectors of the stock market?  Take a minute to visit www.TheTechnicalTraders.com to learn how we keep our members informed of future market moves using our proprietary price modeling systems and predictive modeling tools.  We have dedicated many years and thousands of hours into developing some of the most incredible predictive modeling tools on the planet.

Visit www.TheTechnicalTraders.com/FreeResearch/ to learn how we’ve been calling these markets and helping thousands of traders stay ahead of these market moves.

Chris Vermeulen

Natural Gas setup for a big move lower

Our proprietary Fibonacci predictive modeling system is suggesting Natural Gas is about to break down below the $4.30 level and move aggressively toward the $3.05~3.25 level.  This could be an incredible move for energy traders and a complete bust for existing longs.

This Weekly Natural Gas chart is showing our Fibonacci Predictive modeling system and highlighting the lower support price targets just above $3.00.  We believe price weakness will break the $4.30 level very quickly and drive prices well below the $3.40 level – very likely towards support near $3.25 over the next few weeks.

 

Our Advanced Adaptive Dynamic Learning predictive price modeling system is showing similar results.  It suggests a major price anomaly is setting up in Natural Gas that will prompt a massive downside price move over the next 2~3 weeks before an equally incredible price recovery takes place.  The total of this predicted price swing is nearly $2.00 ($1.00 down and then $0.85 back to the upside).  If this move takes place as our modeling systems are suggesting, this will drive a massive “washout move” pushing the long traders out of their positions on the way down and then pushing a massive short squeeze on the way back up to near $4.00.

This is the type of price swing that makes for incredible success stories if traders can play this move properly.  Pay attention to the fact that the lower predicted levels of our ADL system (shown near $3.20) may not be reached in this downward price swing.  Our predictive modeling system is suggesting these are the highest probability price outcome based on its internal price and technical analysis.  Still, when one takes a good hard look at this chart, it is easy to see the “price anomaly” setup where the current price of Natural Gas is nearly $0.80 above the currently predicted price levels (shown as YELLOW DASHES) and how the ADL Predictive modeling system is suggesting a big downward move is about to unfold.

Want to keep receiving incredible trade setups like this one and learn how our research team and specialized price modeling systems can help you find and execute better trades?  Then please visit Technical Traders Ltd. to learn more about our services and tools.  We have been helping traders find and execute better educated trading decisions with our specialized tools and research for years.  Visit www.TheTechnicalTraders.com/FreeResearch/ to read all of our most recent public research posts and to see how we’ve been calling these market moves over the past few months.

Chris Vermeulen

 

 

HOW SUSTAINABLE IS THE MOVE INTO SAFE HAVEN ASSETS?

Chris Vermeulen, Founder of The Technical Traders looks at the recent move into safe haven asset, gold, USD, and treasuries. We assess the overall strength of this move and most importantly how long it could last. With it seems the majority of investors now worried about a recession there are some things we can learn from history about how to trade around it. View related posts on: gold, Treasuries, US dollar, Yields

Click download link to listen on this device: Download Show

Is a deleveraging event about to unfold in the stock market?

As 2018 draws to a close and the global equities markets continue to find pricing and valuation pressures driving prices lower, a few questions come to mind for all investors/traders – Is a deleveraging event about to unfold?  What will it look like if it does happen and how can I protect my investments from such an event?  This research article is going to help you answer those questions and should help to resolve any lingering questions you may have regarding the true nature of this market rotation and volatility.

Our research team at www.TheTechnicalTraders.com has been digging through the data and charts in an attempt to identify key elements of this recent price move.  We are starting with our Monthly Adaptive Dynamic Learning Cycles chart of the ES (E-mini S&P).  As you can see from this chart, our ADL Cycles modeling system is showing a deep downside price rotation is likely to unfold over the next 8~12 months.  One thing to remember about this chart is that these cycles and the width of the future cycle peaks and troughs are NOT indicative of price target levels.  Therefore, this downside move is NOT suspected of reaching price lows near 1000 or 1200.  These cycles are representative of a magnitude of cycle events.  In other words, this current cycle, downward, is expected to be a major cycle event that establishes a major price bottom somewhere near the end of 2019 or early 2020.

We urge traders to understand the scope of this cycle event.  Look at the previous cycle events on this chart.  Numerous downside cycle events have taken place over the past 10+ years that represent somewhat similar down-cycle price moves.  The most recent was in 2015~2016.  This event represented a moderately deep down-cycle even that equated to a 300~400 point price rotation in the ES.  If the current cycle event is relative in scope to the last, then this current down-cycle event will likely result in a 600~800 point price rotation, and we have already experienced a nearly 300 point rotation in the ES.  This would suggest a potential price bottom near 2100~2300 on the ES if the scale and scope of the current cycle event are relative to the previous down-cycle event.

 

This next chart highlights key time/price cycles on the SPY Monthly chart to help us keep the timing of these events in perspective.  As we have suggested, above, a major down-cycle even may be unfolding that results in a deleveraging even across the global markets.  If this does, in fact, take place, there are a number of elements that will likely play out.  First, currencies will fluctuate dramatically as deleveraging takes root.  Capital will seek out and identify the safest and most suitable returns by rushing away from risky markets and into safer markets.  Additionally, a prolonged deleveraging of global equities may take place where valuations are reduced as capital attempts to establish a balance between expectations and true market value.  Overall, this is a very healthy event for the markets as long as it does not result in a total collapse of price, as we saw in 2008-09.

This SPY chart highlights three key components of the markets current setup.  First, the RED LINE (a 2.618 Fibonacci extension from the 2015-2016 price rotation at $266.50) is acting like a strong support level in the markets.  This level, along with the 2018 lows near $254.78, are important levels that we are watching to determine if any further downside price activity is unfolding.  As long as these two levels are not breached to the downside, we can confidently say that the upside trend is still intact.  Second, the two BLUE price channels, which originate from the 2009 market bottom, establish a powerful upside price channel that will act as critical support should price reach near the lower level of this channel.  This means that any downside price rotation will likely find solid support near $232.00 or higher.  Lastly, the vertical time/price series cycles are suggesting that May and Oct of 2019 are likely to prompt significant price reversal patterns/setups.  This helps us to understand that any potential breakout moves (up or down) will likely reach some critical inflection point, or reversal points, near May and October of 2019.

 

Next, we fall back to our Custom US Market Index chart on a Monthly basis.  This chart, again, shows the support level originating from the lows of 2009 in a heavy BLUE line as well as two price channel levels that represent current price ranges.  The first thing we want you to focus on is the breadth of the current rotation within the regression channel on this chart (the red/blue shorter price channel).  Currently, the price is within this standard regression channel and has yet to break the longer-term, more aggressive, upward price channel.  Additionally, we can see from this chart that the recent price activity is still measurably above the 2018 price lows near 374.12.  Secondly, the Pitchfork channel, originating from the 2009 lows and spanning the range of the 2015~2016 price rotation, provides additional confirmation that we are still well above the middle and lower areas of this price channel.  Even if the current price did fall by another 4~8%, the price would still be within the normal channel levels of this extended upside price channel.

So, when we consider the scale and scope of this current downside price rotation, we have to be very aware of the real expectations of the market.  Yes, it looks frightening when we see it on a Daily or Weekly chart.  But when we consider the real reality of the long-term perspective, we can begin to understand how the price is reacting to the recent upside acceleration since 2017.

 

Lastly, this Daily ES chart is showing what we believe is the most important data of all and why all traders need to understand the risks involved in this rotating market.  First, this chart shows our Adaptive Dynamic Learning Fibonacci price modeling system and the results of this chart are clear to our team or researchers – although it might be a bit cluttered to you.  So we’ll try to explain the basic components of this chart for you.

The heavy RED and GREEN levels that are drawn above and below the price action are the Fibonacci Price Trigger levels.  These indicate where and when we would consider a new price trend to be “confirmed”  As you can see, the most recent “confirmed” trigger happened on Oct 10 with a huge breakdown of price confirming a bearish price trend.  Since then, these Fibonacci Price Trigger Levels have expanded outside price as volatility and price rotation has also expanded.  This indicates that price will have to make a bigger push, higher or lower, to establish any new confirmed price trend based on this modeling system.

There are two heavy YELLO lines bordering recent price rotation on this chart that help us to understand a rather wide flag/pennant formation appears to be forming within these rotation/channel levels.  For example, the absolute low of the current bar touched this lower YELLOW level and rebounded to the upside very sharply.  It is very likely that a washout-low price pattern executed today that may provide further price support near 2626 in the ES in the immediate future.  Either way, the price will have to exit this YELLOW price channel if it is going to attempt any new upside or downside price trends.  As long as it stays within this channel, we have a defined range that is currently between 2626 and 2800.

Lastly, the LIGHT BLUE oblique has been our estimated critical support level in the ES since our September 17 market call that a 5~8% downside price rotation was about to hit the markets.  This level was predicted by our ADL predictive price modeling system and has been confirmed, multiple times, by price over the past few months.  It is very likely that this level will continue to act as major support going forward and will be the last level of defense if price attempts a downside price move.  In other words, as we stated above, 2600~2680 is a very strong support range in the markets right now.  Any breakdown below this level could push the markets toward the 2018 price lows (or lower).  As long as this level holds, we could see continued deleveraging in the markets as US Dollar, Energy, Commodity, Currency or global market price weakness while the US markets attempt to hold above the 2018 lows.

 

Pay very close attention to our Fibonacci price modeling and US Custom Index charts, above, because we believe these charts paint a very clear picture.  Yes, a deleveraging event is likely already unfolding in the global markets.  It has been taking root in various forms over the past 12+ months in all reality.  The US markets are continuing to shake off the downside pricing pressures that we’ve seen in other global markets, and this is likely due to the “capital shift” event that is also unfolding throughout the globe.

Our advice for active traders would be to consider drastically reducing your trading sizes as well as pare back your open long positions if you are concerned about a market breakdown.  Our modeling systems are suggesting we have many months of rotation within the market to reposition and evaluate our plans for future success.  Unless the 2018 lows and the multiple critical support levels we’ve highlighted are threatened, we believe this rotation is nothing more than standard price rotation with acceptable ranges (see the charts above again if you have questions).  Yes, there is still concern that a price breakdown may unfold and we are certainly seeing a deleveraging event taking place.  We are not calling for a price collapse at the moment, and we have explained the reasons why we believe our research is accurate.

Use the best tools you can to assist you, just as we do for our members.  The only thing you can do in a situation like this is taking factual data, evaluate the true price data and make an educated and logical conclusion about the markets.  If you want to learn how we help our clients find and execute better trades and how we are preparing to make 2019 an incredibly successful year with our members, then visit www.TheTechnicalTraders.com and see what we offer our members.

Chris Vermeulen

Waiting for Gold to Erupt

As we are watching the US and global markets rotate dramatically lower over the past few days, we have been advising our members that we believe this rotation is an over-reaction to economic impetuses and trade issues – not a massive downside price break.  Overall, some of our longer-term technical indicators are currently bearish, as one would think technical indicators would react to price activity and trends.  Our ADL, predictive modeling system, is still suggesting upside price activity and we believe our research team has hit on something that helps to put this end of year turmoil into perspective.

 

Where is the fear?  The news cycles had indicated that much of the “big money” investors had already exited the markets prior to Nov 1.  This leaves the retail investors and the market-makers to manipulate the markets.  Volatility has been much higher than the previous two-Quarters average and volume has been moderately strong in the ES.  This leads us to believe that quite a bit of retail and foreign investor activity has been taking place in the US Equities markets.

Yes, there are concerns arising from the likes of Apple, Caterpillar and other blue-chip symbols.  These arise from some concerns regarding future earnings capabilities in the face of increasingly complicated trade and global market conditions.  Yet, we have yet to see any of this fear fall into the normal outlets – GOLD.

When we take a look at monthly gold using one of our custom pricing indicators, we are seeing very moderate upside gold price activity over the past 60+ days.  All of this is taking place near a very tight pricing channel, setting up as a pennant or flag formation, that should prompt a bigger move in Gold in 2019.  But as of right now, nothing is evident to show that a massive amount of fear has entered the markets and is driving capital into the traditional safe-haven investment.

 

Therefore, we still believe this downside move is more technical in nature and will likely end near the 2620 level on the ES as support continues to hold near recent lows.  As we have been suggesting for many months now, we continue to believe this is the time to establish small long positions near these support levels in preparation for a broader market recovery near the end of December and into early 2019.

Please take a minute to visit www.TheTechnicalTraders.com to learn how we can help you find and execute better trades in 2019 and how we can help you navigate these market moves more clearly.  Our research team is dedicated to helping you understand these markets and find greater success.  Join our other members in making 2019 a fantastic year.

Chris Vermeulen

Renewed Economic Optimism Will Hold Metals Near Recent Lows

The US stocks are already up 1.5%, and gold 1.1% or more on news originating from Argentina from the G20 meeting.  The commitment from the US and China to restore talks and hold off on new trade tariffs for a 90-day period of time allows the markets some breathing room and some time to digest future expectations.  Combine that with the US Fed talking about taking a more dovish approach to rates and that rates are near “neutral” and we have a perfect setup for the global equity markets to rally back towards recent all-time highs.

This type of equity opportunity will push the metals markets towards recent price ranges/lows with almost no attempt at upward price activity.  In our opinion, we are looking for the next 14 days to be quite explosive in the equities markets and quite mute in the metal’s markets.

Gold will likely stay below $1250 for the next 10~14 days as a renewed global equities rally takes hold.  This is an excellent time to establish new long positions as our predictive modeling systems are suggesting that the metals markets should start to move higher near the end of 2018 and into early 2019.

Silver will likely stay below $14.40 for the next 10~14 days with the possibility of falling below $14 on a washout low price rotation near Dec 10th or 11th.  This would be an excellent time to look for and set up positional long trades in metals miners or SIL in preparation for the late December and early Jan price pop that our predictive modeling system is suggesting will happen.

 

The initial upswing price activity in the metals will push prices above recent price peaks ($1260 for Gold and $15.00 for Silver).  Our modeling systems suggest this price move will stall in late Jan 2019 and continue to stay muted till April or May of 2019.  At that point, a new upside price advance will push metals prices much higher.

This may be the last time you see prices near these lows, so be aware of the risks that are ahead of the markets.  Remember, the EU and the Brexit deals will likely play a role in the rise of the metals prices over the next few months, so take advantage of these setups before they vanish.

Follow our analysis to stay on the right side of this move.  Our predictive modeling systems have been calling these market moves 30~60+ days in advance.  Visit www.TheTechnicalTraders.com to learn how we can help you find and execute better trades.

Chris Vermeulen