For there to be a lasting blow‑off capitulation up‑thrust (and reversal downward) in gold, the stage needs to be set.

Reports like the one at this link help to set the stage for investor panic.

Personally, I appreciate Greg Hunter’s weekly wrap up and have watched it for years.  Mr. Hunter was an investigative reporter, unique in his style and ideas … as is typical of someone with an edge or focused capabilities, he found himself on the receiving end of a corporate pink slip; or as he put it, ‘We have chosen not to renew your contract’.

On the flip side and by definition, Mr. Hunter’s guests are part of the masses; they are in the public eye.  In that case, their ideas are public and mainstream.  In the final outcome, the total of all mainstream and public (trading) ideas must result in loss.

Will this time be different?  Will gold and silver see a blow‑out move to the upside and keep on going?  Certainly, it could happen.  Anything can happen.

As has been reported previously, sentiment indicators do not favor a long term sustainable upside move.  There is too much bullishness.

What’s more likely, is some kind of penetration above known resistance with the attendant mass hysteria about “This is it!”

If and when that happens, we’ll be on the sidelines monitoring volume and price action … with an eye on going short.  If so, we’ll be positioned for a potentially dénouement down move in the precious metals and mining shares.

For technical research and analysis of the precious metals and other sectors, please visit our parent site at ten-trading.com