Analyst Larry Edelson revisits his prescient bearish call on gold and silver, and finds that the sell-off in precious metals — as well as mining stocks — is probably not over yet.
Please don’t take this as boasting, but for months now I’ve been using my cycle analysis and AI software to warn everyone I could that gold and silver and miners were headed lower, not higher.
And I gave a date. I stated they were headed lower into today, October 5. I made that forecast as many as seven or eight months ago.
Since then, we’ve seen gold plunge from as high as $1,377 to yesterday’s low of roughly $1,266 — a $111 drop, or just over 8.0%. The loss in silver has been similar.
I got my share of hate mail for that forecast, especially from those following the trading analysts out there who keep calling for the death of the dollar and who use every piece of news they can find to make an excuse for higher metals prices.
Unfortunately, they don’t understand the precious metals market. They can’t possibly understand it because most of them have never traded it. Most of them are unaware of the history of gold and most of them are simply fear-mongerers.
Not me. I tell it like it is, with my Artificial Intelligence Model and the waves, or cycles, I follow. My sole mission is two-fold …
Right now, due to the severity of the selling, I cannot claim the low is in and the next leg up is about to start.
So we have to wait a few days to watch the action, which I will do for you.
Meanwhile, stay alert, the markets are really heating up.
The Market Vectors Gold Miners ETF (NYSE:GDX) fell $0.16 (-0.68%) to $23.24 per share in Wednesday afternoon trading. Year-to-date, the largest ETF focused on gold mining stocks has gained 69.31%, although the fund has now fallen 27% from its multi-year highs set in early August.
This article is brought to you courtesy of Money and Markets.