Financial Survival Network, Released on 3/15/21

The big picture. Gold bottomed at 1050 and just about doubled to 2063 in August 2020. It has now retraced 30 percent of its gain, exactly. The decline was orderly in the metal and the stocks as well. We had a parabolic move in gold and of course it’s going to retrace. It’s a very healthy correction. I could come down and test the 1580-1600 level. The algos. As predicted from 1850 down to 1670

The Dow Jones Industrials have become the stock market leader. The louder the cries of a crash, the more the shorts are going to get hit. Yields have had an impact. But Friday, gold had an upside reversal in spite of yield. The gold miners started showing relative strength in the face of the metals decline.

Silver has been holding its own. It hasn’t broken $30 yet, but that’s a major resistance point. It’s not even close to it’s $50 high. It’s maintaining. The silver juniors predicted the move. They’re building a base to go higher. It’s always a bullish sign when silver shows strength in the face of lower gold prices.

This is actually a gift. All the juniors are cashed up. Money keeps pouring into the sector. A lot of quality juniors have corrected 30-40%. But they’re up several times. They’reat a great entry point. It’s an amazing time. In spite of or maybe because of the trolls.

Dr. Copper is sounding the alarm on inflation, among other things. Rising rates are supposed to kill commodities, but the converse is true. Rising rates are actually a net positive for metals.

David sold a few stocks for company specific reasons and to raise cash ahead of the Fed.

David Erfle is a self-taught mining sector investor. He stumbled upon the mining space in 2003 as he was looking to invest into a growing sector of the market. After researching the gains made from the 2001 bottom in the tiny gold and silver complex, he became fascinated with this niche market. So much so that in 2005 he decided to sell his home and invest the entire proceeds from the sale into junior mining companies. When his account had tripled by September, 2007, he decided to quit his job as the Telecommunications Equipment Buyer at UCLA and make investing in this sector his full-time job. David founded the Junior Miner Junky subscription-based newsletter in April, 2017 and writes a weekly column for precious metals news service Kitco.com.

  David Erfle, gold