Are we witnessing the biggest metals bull cycle in decades?
Today I’m starting with silver… not gold. Why? Because what’s happening on the silver chart is not a minor detail.
Silver has recently broken above the “34-day cycle low” a technical signal that often precedes strong upward moves. This time, it could be even more powerful than usual.
Meanwhile, mining equity ETFs like GDX and GDXJ have also reached the same time cycle point, but they haven’t yet caught up with the major rally in metal prices.
And here’s where the gap appears:
• If these stocks are to return to their historical relationship with gold and silver:
→ GDX may need to double
→ GDXJ may need to triple
Simply put: the market hasn’t priced in what has happened in metals yet.
As for gold… the situation is slightly different.
Gold is still below its latest cycle low, which opens two possibilities:
• Either a quick move toward $5,000
• Or a sideways phase with a potential retest of the lows
But even in the worst-case scenario, I see the $3,900 area as strong support potentially a launch point for a new upward wave.
$XAU $XAUT
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