1. Most analysts in both the gold and mainstream investment communities seem to be in “summer doldrums” mode.  They are nervous about stock markets because of rate hikes and the late stage of the business cycle.  That’s understandable.
2. Unfortunately, they also seem to be unaware of the fabulous uptrends developing in many gold stocks.
3. In contrast, I’m extremely excited by the price action in a wide array of gold stocks, silver stocks, and blockchain currencies.  I have predicted that the upside fun will continue and is poised to accelerate quite dramatically in the second half of this year.
4. Please click here now. Western governments focus on regime change in Mid-East while China takes another step forwards in what I call the gold bull era.
5. Morgan Stanley’s stock market indexes are a institutional benchmark, and China’s gold demand growth is strongly correlated with income growth, stock market performance, and overall GDP growth.
6. In terms of goods and services produced and consumed, China is by far the world’s largest economy.  Soon it will become the richest as well, leaving demographically-impaired and debt-obsessed America in its wake.
7. Gold investors in the West can choose to live in an emotional state of doldrums and boredom, or they can feel great comfort as they watch China put a relentlessly rising floor under the gold price.
8. I choose to enjoy the mild excitement and great comfort generated by the gold bull era.   
9. Please click here now.  While China expands its gold-oriented influence, India is functioning like a gold-oriented starship attached to a Chinese locomotive train with a gigantic rubber band.
10. As the strong season for gold in India begins in the summer, inflation has suddenly started a nasty turn to the upside.  Indians and Germans are the global citizens most concerned with inflation.
11. As inflation begins to stun most observers with the power of its surge over the next eighteen months, I expect Indian gold demand to begin a historic leg higher.  Germans will join the fun, and institutional money managers around the world will commit to substantial gold stock buy programs as that happens.
12. Please click here now.  Double-click to enlarge.  There are only four to six weeks before the strong demand season for gold begins, and does so against the background of more rate hikes, QT, a fading US business cycle, and inflation that could grow like “Jack And The Bean Stalk”.
13. There’s not much time to get positioned in my key $1310 – $1280 buy zone before the strong season and rising inflation raise the gold price floor above $1400 and keep it there for decades.
14. Nervous accumulators can mitigate their nervousness with a put options strategy, but even if bullion pulls down to $1280, I expect many miners to keep rallying!
15. Please click here now. I’m in absolute agreement with Pete Boockvar, and I’ll take his views a step further and suggest that in the current environment QT and rate hikes are going to make inflation grow like Jack and the golden beanstalk!
16. Please click here now.  My “line in the sand” head and shoulders top neckline for US T-bonds looks ready to break.  There could be some hesitation but I think a June rate hike and accelerated QT from Powell will seal this deal.
17. That could create an equity market panic and more concern about real estate mortgages.  Previous Fed hikes have coincided with the start of significant gold price rallies, and this one could turn into a real barnburner.
18. Please click here now. London’s biggest metals dealer has announced bitcoin and gold trading.  There’s a growing synergy between the blockchain and gold community.
19. I expect that to intensify quite dramatically as miners like Agnico and Goldcorp get more involved with the technology.
20. Please click here now. The excitement being generated by the blockchain currency assets is incredible.  ZCASH is a key currency and it has surged 40% just in the past twenty-four hours.  The Gemini exchange run by the Winklevoss billionaires just received regulatory approval for institutional and retail trading of more great blockchain currencies like ZCASH!
21. For bitcoin itself, I have an eighteen-month target of $50,000 a coin, and an ultimate target of $500,000. 
22. I’m a miner myself, and I’m installing a lot of solar panels to ensure I have more than enough juice to power my joyous blockchain era upside ride!  Investors who want to get richer with blockchain currency action can subscribe to my maverick www.gublockchain.com newsletter.
23. Please click here now.  Double-click to enlarge this important GDX chart.  Some individual component stocks of the GDX ETF are going to keep rising in the uptrend and others will pull back a bit before blasting higher.
24. At this point it’s simply unknown which route GDX follows before global inflation begins to grow faster than what I’ll call Jack and his bull era bean stalk!  What is known is that I want all gold community investors to be comfortably invested in key gold stocks so they build maximum wealth as the bean stalk of inflation begins to grow… and grow… and grow!

Thanks!

Cheers

Stewart Thomson , Graceland Updates

https://www.gracelandupdates.com

stewart@gracelandupdates.com

Stewart Thomson is a retired Merrill Lynch broker. Stewart writes the Graceland Updates daily between 4am-7am. They are sent out around 8am-9am.The newsletter is attractively priced and the format is a unique numbered point form.  Giving clarity of each point and saving valuable reading time.

Risks, Disclaimers, Legal

Stewart Thomson is no longer an investment advisor. The information provided by Stewart and Graceland Updates is for general information purposes only. Before taking any action on any investment, it is imperative that you consult with multiple properly licensed, experienced and qualified investment advisors and get numerous opinions before taking any action. Your minimum risk on any investment in the world is: 100% loss of all your money. You may be taking or preparing to take leveraged positions in investments and not know it, exposing yourself to unlimited risks. This is highly concerning if you are an investor in any derivatives products. There is an approx $700 trillion OTC Derivatives Iceberg with a tiny portion written off officially. The bottom line:

Are You Prepared?

1. Please click here now.  Double-click to enlarge this daily gold chart.  Gold has traded in a drifting rectangle pattern for most of this year.
2. Please click here now.  Double-click to enlarge this important weekly gold chart.
3. The rectangle pattern on the daily chart is part of a huge weekly chart base pattern.  That has been forming for about five years.
4. Note the enormous increase in trading volume over the past two years.  This is extremely positive technical action.
5. Trump appears ready to make an announcement concerning US government relations with Iran today.  That could re-open the oil-for-gold trade in Turkey and other countries.
6. It’s unlikely that anyone in China really cares very much about what the US government announces today, tomorrow, or in the future, and rightly so.
7. In another five years it’s unlikely that anyone in India will care what the US government does either.
8. This is the beginning of what I call the China and India oriented “gold bull era”.  It’s an era that is rekindling respect amongst global money managers for gold as the ultimate asset and portfolio returns enhancement tool.
9. I’m adamant that the correct minimum amount of gold that should be held in a stock and bond portfolio to maximize returns is 20%.  The ideal portfolio may be 30% bonds, 30% stocks, 30% gold, and 10% blockchain.
10. Regardless, long term precious metals investors should ignore short term market noise and focus on the big weekly chart base pattern for gold.  Note the price targets of $1500 and $1750.
11. That’s where to book some profits and/or buy put options in expectation of a significant pullback in the price.
12. Please click here now. Double-click to enlarge this dollar-yen chart.  Another bear market rally for the dollar is nearing completion.  That bodes well for a gold price surge towards my first target at $1500.
13.  Most analysts claim the dollar is rallying because of rate hikes, but the cold truth is that the dollar has collapsed after almost every recent rate hike.
14. I’m projecting this trend will continue and likely accelerate.  Please click here now. If investors are racing to buy US bonds to get higher rates, why does this T-bond chart look like something the cat dragged in?
15. Many investors are indeed buying bonds because of rate hikes, but the Fed’s QT program is countering their buying.  All the mainstream media hype about higher rates and the dollar has produced nothing more than wet noodle rallies for both bonds and the dollar.
16. It’s just a matter of time before more rate hikes and QT from Jay Powell push the T-bond under my 142 “line in the sand” zone.
17. When that price zone fails, panic amongst institutional money managers could begin.  That could usher in a substantial new leg down for the US stock market.
18. “Some investors and institutions may not be well positioned for a rise in interest rates, even one that markets broadly anticipate, and, of course, future economic conditions may surprise us, as they often do.” – Jay Powell, US Fed Chair, May 7, 2018.
19. I believe the surprising economic conditions that Jay alludes to in that statement are going to be surprisingly inflationary.
20. On that note, please click here now. Double-click to enlarge this GDX chart.
21. Many Western gold mining stocks are trading at 1998 prices, and a large part of the problem relates to the deflationary collapse in US money velocity that began in 1995.
22. A new era of inflation is beginning in the West.  That is going to turn gold stocks into the kind of safe haven that bullion functioned as during the previous 1995 – 2014 deflationary era.
23. GDX is trading in a tight rough range between $21 and $23.25.  All inflation and bull era enthusiasts should be buyers of GDX and component stocks in this range.  Use put options to manage emotional jitters.
24.  Aggressive traders can buy a two-day close above $23.25 with an initial target of $25, and this is likely the beginning of a much longer-term move that should see GDX rise to new all-time highs as gold reaches $1750.

Thanks and Cheers,

Stewart Thomson

Graceland Updates

https://www.gracelandupdates.com

Email:

stewart@gracelandupdates.com

Risks, Disclaimers, Legal

Stewart Thomson is no longer an investment advisor. The information provided by Stewart and Graceland Updates is for general information purposes only. Before taking any action on any investment, it is imperative that you consult with multiple properly licensed, experienced and qualified investment advisors and get numerous opinions before taking any action. Your minimum risk on any investment in the world is: 100% loss of all your money. You may be taking or preparing to take leveraged positions in investments and not know it, exposing yourself to unlimited risks. This is highly concerning if you are an investor in any derivatives products. There is an approx $700 trillion OTC Derivatives Iceberg with a tiny portion written off officially. The bottom line:

Are You Prepared?

China will halt iron, iron ore and seafood imports from North Korea starting Tuesday as it implements the new UN sanctions, the Chinese commerce ministry said Monday. According to Metal Bulletin Daily for Aug 15, 2017, China could lose up to a tenth of its lead concentrates supply from looming North Korea Ban within a ban.

Lead and lead ore exports are worth approximately $110 million per year to North Korea, according to UN estimates.  At, 51,000 tonnes, it accounted for a tenth of China’s lead concentrate imports over January to May.  In mined lead production, North Korea ranks eleventh globally and fifth in Asia in 2016, according to the World Bureau of Metal Statistics (WBMS).

This coincides with of the tightest international lead concentrate markets in years. Global lead market was in a shortage of 9,600 tonnes in the first months of 2017, according to the WBMS. The market reported a shortage of 172,000 tonnes in the whole year of 2016. As of late April 2017, global lead inventory expanded 2,000 tonnes, compared the level seen in late 2016. Global refined lead output was 3.95 million tonnes in the first four months of 2017, up 13.3% for the year.

The International Lead and Zinc Study Group (ILZSG) said in its July report that the metal was in a 91,000-tonne deficit for the first five months of the year, and treatment charges (TCs) for lead concentrate remain low.   This has been reflected in fund appetite for the metal: lead net longs from LME traders are the most bullish since the exchange started publishing data on it.

Although China is the biggest producer of mined lead, it lags behind the rest of the world in terms of secondary lead output. While the US produces 70% of its lead from recycled batteries, the European rate is below 60% and that of China is around 50%, according to the International Lead Association.