Gold is only dollars away from hitting a new all-time high, but here is the big surprise.

Sentiment And Gold
January 25 (King World News) –
Graddhy out of Sweden:  Same thing repeated this time around. I stated gold was most probably in a consolidation pattern. But the “permabull” and “goldbug” comments were raining once again, just like at e.g. the gold low back in 2022. Also heard “gold can never go up again” and “silver is crap” etc.

These are sentiment indicators. At weekly cycle highs people think it will go on forever. At weekly cycle lows they are locked in their emotions and can not buy. And they follow the sentiment not realizing that most have to be wrong at turns, since sentiment needs to be extreme to one side before a turn.

Back in 2020 I called the bear market low for silver, and warned that we should not expect this bull market to be easy but should expect it to be hard. Very hard for many reasons.

Can things change very quickly if the charts start showing a major market event is approaching? Yes, they can. But for now, gold has a new breakout from yet another consolidation pattern.

KING WORLD NEWS NOTE: Another Upside Breakout For Gold

The Big Surprise: Miners Have Already Broken Out
Graddhy out of Sweden:
  Bias is a strong emotion. Many say tech will continue to outperform precious metal miners. That is how we work – the mind makes you think things will go on as they have forever. But charts do not lie.

The chart below shows that gold miners reversed the big picture trend vs the leading tech sector already 10 months ago. The chart talks about global capital flows changing right now, a historical sector rotation in the making.

KING WORLD NEWS NOTE: HUI Gold Mining Index Has Already Broken Out vs Tech Stocks (SOXX Index). This Means Gold Miners Will Radically Outperform Tech Stocks In The Future

Catching huge trend reversals and sector rotations early, is one piece of the puzzle to making the really big gains. 

The largest percentage gains are always from the very lows. Profit is made when you buy.

Precious Metals Bull
Graddhy out of Sweden:
  This precious metals bull will last many more years, so do not get beat down by the declines, or lose interest during them. Understand them, be ready for them. And whatever one does, keep your eyes on the big picture. 

Most play the market with their emotions. They react to everything, plus have no strategy or trading/investing rules of their own. They do the same thing over and over without changing. To succeed in trading/investing, it is vital not to participate in this recurring emotional roller-coaster, but make use of it instead. 

And it is then, when gold and silver are in a much needed consolidation / pullback, that one needs to plan for what to do when the sector bottoms. If you do not understand the sector movements plus do not get mentally ready for what is coming, you will yet again not be ready to buy the lows. Then you will yet again buy when the sector is already up hugely.

The market is not the major hurdle, that is the easier part. The more complicated part to get right in order to succeed with trading/investing is ourselves. And most cannot understand this, or change themselves. Most need help with understanding how they work, plus changing their behaviour.

KING WORLD NEWS NOTE: Multi-Decade Cup & Handle Formation Show Silver Is Coiling To Explode Above $50 All-Time High

Gold Attacking All-Time High!
To listen to Alasdair Macleod discuss gold attacking all-time highs as well as what to expect from silver and mining stocks CLICK HERE OR ON THE IMAGE BELOW.

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