For a few hours this week, it looked like gold prices might wake up, despite this Gold Enthusiast’s best reckoning. You see, for a few months the technicals have been saying “the gold sector is asleep” pretty loudly, though not loudly enough to wake it up.
Despite good earnings by most gold stocks in January, investor interest stayed with risky equities and Bitcoin right up until, well, both of those fell off a cliff. But the drop wasn’t far enough to drive investors away, just enough to make them pause, apparently. Because Tesla’s (TLSA) recovered fifty bucks, and even Bitcoin showed signs of a pulse this week.
Gold prices briefly popped above 1360 during New York trading on Wednesday, bringing in some volume and even catching some headlines.
But it didn’t last long. China made conciliatory noises about tariffs, and Trump didn’t say anything stupid for almost eight hours straight. That calmed markets enough to let investor’s chill-pills take hold, and gold predictably settled right back down to where it was before. And it looks like it’s staying there today.
So until the next geopolitical disturbance takes hold (or if silver really is in dire straights right now), gold enthusiasts everywhere can go back to sleep. Set your alerts for 23.00 GDX and wait for earnings reports, I guess. Rolling over and going back to sleep now.
Signed, The Gold Enthusiast
DISCLAIMER: The author has no position in any security mentioned. The author is long NUGT and JNUG, and may trade these positions over the next 48 hours.
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