Steve says not to expect a repeat of 2008 with the metals crashing alongside the stock market. Old Vintage West Cowboy LF1587 Boots Womens Goodyear Leather Vintage 28886 Charcoal LF1587 5c4790a Here’s why we’ll see a much different outcome…
While many investors believe the gold and silver price will crash during the next market meltdown, I see a much different outcome. Yes, it is true that the metals may sell off initially in the beginning, but I believe gold and silver will disconnect from the broader markets and move up much higher.
The reason I see the precious metals disconnecting from the broader markets during the next major correction is due to the much different setup today in the gold and silver market than it was in 2008. Precious metals investors forget just how overvalued the gold and silver prices were based on technical analysis. Of course, I am not talking about the true “Store of value” properties of the precious metals, but rather, how they trade in reference to the market in general.
As I have stated many times, the paper trading market determines the price of gold and silver, not the physical buyer. Thus, the paper market will continue to control the gold and silver prices until investors realize the dollar is just another worthless fiat currency.
In my newest video, How Will Gold & Silver Trade During The Next Market Crash, I use a few indicators to explain why I don’t see a huge crash in the gold and silver prices during the next major market correction:
In the video, I
discuss how the broader markets are setting up for a significant correction
lower while the precious metals are behaving more like a coiled spring. Although, in the initial stages of
market meltdown, we could see a broad-based selloff across all markets.
Furthermore, another indicator, the Gold Hedgers Chart also provides more evidence that gold is EOS Portugal WILLOW BLOOD ORANGE Leather Boots RRP$219, Sale!Super comfortable!! , Gothic Goth Rock Punk Removable Bat Buckle Vegan Black Platform Shoes Demonia , New in Box Camper Right Nina Dark Green Leather 42 10 10.5Nina Emma Jeweled Ankle Strap Wedge Dress Pumps 612, Ivory Crystal, 9 US / 39 EUMen's/Women's j crew sandals 9 Innovative design comfortability uniqueSalomon City Cross Women's Trekking Trainers Running Nordic Walking ShoesNIB Anthropologie $244 Antelope 722 Platform Wedge Sandal 37 EU, 6.5 US Powder , adidas StellaSport Irana by Stella McCartney Womens Fitness Sneakers - BlueAdidas Superstar Weave Pack Men's Shoes Tomato/White s77929 , NIKE AIR JORDAN 13 XIII RETRO Dirty Bred Black Gym Red Nike 414571-003 Size 12Men Calvin Klein Shoes Keller City Fashion Black Size 11.5 , 852614-400 Nike Men Lunar Magista Ii Flyknit College Navy Racer BlueAutumn Outdoor Men Ankle Boots Casual Anti-Skidding Boots Adult Footwear Sneaker , Wolverine Men's Jenson Made in USA 6" Waterproof Winter BootConverse Pro Leather 76 Mid White/White/White Mens 10 Womens 11.5 155335C$160 Kenneth Cole Men's Shore Fit Cognac Slip-on Loafer Leather 8Mens Cole Haan C12492 Batlin Oxford Wingtip Black Shoes Size 11Keen RIALTO 3 POINT Mens Dark Earth Brown Black 1016643 Sport Sandals ShoesSkechers Cali Women's Flex Appeal 2.0-Deja Vu Sport Sandal , Nike Womens Dual Fusion Tr Hit Running Trainers 844674 Sneakers 001 , NEW HUNTER WOMENS WOMEN'S ORIGINAL HI CANVAS SNEAKERS: NEGRO/BLANCONike Air Zoom Pegasus 34 Womens 880560-603 Pink Berry Running Shoes Size 10 , Wmns Adidas NMD R1 W PK, Sea Crystal Turquoise, CG3601, Sz 9Mr/Ms NEW DSQUARED2 WOMENS ESPADRILLES Excellent craft Sufficient supply businessNike WMNS Air Max 1 LX [917691-801] Women Casual Shoes Guava Ice , Stylish Womens Round Toe Rhinestone Zip High Block Heels Suede Ankle Boots Shoes , Sam Edelman 'Shay' Black/White Color Block Ankle Bootie. 2.5 Inch Heel. NIB. 8.5 , H BY HALSTON A269760 NAOMI WOMEN'S SIZE 6W GRAY KNEE HIGH BOOT NNBMr/Ms UWEZO Women's Desert Boot The color is very eye-catching Orders are welcome Maintenance capabilityAlfani Womens Harrley Closed Toe Knee High Fashion Boots Black Size 5.0 9Tm5 , become oversold, rather than overbought:
The gold short hedge position is now back to almost the same level as it was at the beginning of 2016 when gold was trading below $1,100 an ounce. This chart shows that when the gold hedgers position moves back towards the zero line, then the gold price is forming a bottom.
Lastly, when the Dow Jones Index fell 2,000 points at the beginning of 2016, investors flocked into gold and silver. As gold shot up in the first quarter of 2016, flows in the Gold ETF’s were the second highest in history. The quarter with the most Gold ETF inflows was Q1 2009 when the market was crashing to its lows. So, what do you think will happen when the Dow Jones falls precipitously this time around??
If you want to receive my newest videos, please consider subscribing to my: SRSrocco Youtube Channel.
Old Vintage West Cowboy LF1587 Boots Womens Goodyear Leather Vintage 28886 Charcoal LF1587 5c4790a - lilianasecorations.comOld Vintage West Cowboy LF1587 Boots Womens Goodyear Leather Vintage 28886 Charcoal LF1587 5c4790a
My goal is to reach 500 PATRON SUPPORTERS. Currently, the SRSrocco Report has 195 Patrons!! I would also like to thank those foundation supporters, who have chosen to become a member by making donations through PayPal to further the research and publishing work at the SRSrocco Report.