The Prospector News

Jordan Roy-Byrne – “Precious Metals Hit Resistance”

You have opened a direct link to the current edition PDF

Open PDF Close

Share this news article

Jordan Roy-Byrne – “Precious Metals Hit Resistance”






The precious metals sector may have begun a correction on Wednesday.



The miners (GDX, GDXJ) sold off after reaching significant resistance levels while the metals are trading just below significant resistance levels.



We mentioned these targets in our article last week.



GDXJ has pulled back a bit after testing 7-year resistance while GDX has pulled back after hitting a key pivot point and 50% retracement of the bear market.



 The metals (Gold & Silver) have yet to hit resistance at $1800 and $18.50, but we can call it close enough.



The chart below shows Gold battling resistance in the $1750 to $1800 range, while Silver has traded up into the $18 to $18.50 range. The resistance around $18.50 is hugely significant.



The miners often lead the metals at various points, and it’s possible Gold and Silver could push up to $1800 and $18.50, even as miners correct or consolidate.



In the larger picture, GDX remains in breakout mode with a measured upside target of $50. A retest of previous 7-year resistance around $31-$32 would be healthy and normal.



Meanwhile, a correction in GDXJ could set up the next move, an advance through 7-year resistance at $49-$50. GDXJ traded as low as $45.80 Thursday. There is gap support at $43, and $42 marks a retest of previous resistance dating back to 2013.


In a bull market and especially one in precious metals, you do not want to trade in and out. You will make the most money by buying the best stocks and holding.



Now isn’t a time to buy.



If we are wrong and the sector continues to push higher, then that would not be time to buy either as the following correction would be more severe than the potential one, which started Wednesday.



Here’s what to do.



If you are fully invested or close, hold your positions.



If you missed this rebound and have waited for a correction, then start paying closer attention. Wait for the market to approach the support, as mentioned earlier, and then pounce on your favorite stocks.



We continue to focus on identifying and accumulating the stocks that have significant upside potential over the next 12 months. To learn the stocks we own and intend to accumulate that have 3x to 5x potential, consider learning more about our premium service.



Posted May 22, 2020

Share this news article


Covid - 19 Event Changes - New Online Events from Metals Investor Forum and The Money Show

We continue with the Post Virus move online with 2 new events announced this past week The Me... READ MORE

May 26, 2020

The May/June 2020 Issue is Available for Download

Download Here 04&nbs... READ MORE

May 25, 2020

ORENINC INDEX jumps again as bought deals rule

ORENINC INDEX – Monday, May 25th2020 North Ame... READ MORE

May 25, 2020

David Morgan – “American Billionaires Got Richer During Pandemic” (Audio)

Listen Here America’s billionaires saw their fortunes soar by $434 bil... READ MORE

May 25, 2020

American Manganese Pilot Plant Work Ongoing (Audio)

Listen Here Great Article by Metal Tech News Courtesy of HoweStre... READ MORE

May 25, 2020

Copyright 2020 The Prospector News - Site design by Spyderbaby Productions