Trouble at COMEX
Something big is happening with gold. Over the past few years, if you bought and owned gold and gold mining shares, it’s been frustrating with gold prices in the doldrums of 2015, 2014, 2013, 2012. That’s four years of downside correction. But, that was then, and this is now. Let’s discuss what’s happening and nail down some serious opportunity…
Follow the money and right now money is moving into gold and select miners. In fact, there’s so much interest in “paper” gold that physical supply has utterly broken down. As in… crashed and about to burn in a roaring fireball!
This is critical. The amount of physical gold in storage in Comex versus the number of registered “owners” against each ounce is nuts.
From a few owners per ounce, it jumped to 542 by this March!
Own physical gold. If you don’t have some, get some. Go for basic bullion coins. Don’t worry about numismatic coins. Don’t pay big premiums. Just get U.S. Gold Eagles, Canadian Maple Leafs, South African Krugerrands, etc. Build your stash while you can, because some day, you won’t be able to get gold, period.
Second, you should strongly consider quality mining stocks. Right now, my stock-buying focus is on well-capitalized miners in production with a solid reserve base. Some of these companies have been beaten up so badly over these past few years, their upside is practically unlimited when gold really takes off. It’s been so bad that it’s actually getting good. It’s called a “buyer’s market.”
My view is that we’re in a sweet spot. Any rebound (short or long term) can vault you high and far when the turnaround hits. And it will hit.
Sooner or later, it will hit.