Posts by Adam Baratta

October 18, 2017 |

Is Gold on the Verge of a Major Breakout?

Rally

The gold market is showing some impressive signs of strength in recent weeks after pulling back from the highs seen in mid-September. The market is trading back above the $1300 level and holding its ground. The yellow metal could potentially make a quick run back to those highs seen last month around $1350. The question is: Will the market be able to make a sustainable move higher? Gold has a number of key issues currently working in its favor, with two potential hurdles. The market... Continue Reading

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October 12, 2017 |

Geopolitics Remain a Key Driver

Gold has gotten the week off to a strong start, moving sharply higher on Monday and seeing follow-through upside on Tuesday. The metal is likely seeing renewed buying interest as the geopolitical landscape continues to warrant risk aversion. The recent vote by Catalonia to secede from Spain is just one of several key issues that could potentially fuel risk aversion. Over the weekend, thousands of Spaniards protested the potential move, and it remains unclear if the region will in fact break away from the rest... Continue Reading

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October 6, 2017 |

Could Higher Rates Derail Gold?

Interest Rate Block

It seems that a big deal has been made of the latest FOMC meeting at which the Fed reiterated its plans for another rate hike in 2017, and three hikes next year. Will the Fed make good on its promise? That’s an entirely different question. It is important to keep in mind that the Fed was originally planning on raising rates three times in 2016, yet only one hike actually materialized at the end of the year. Could the Fed end up electing to hold... Continue Reading

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September 26, 2017 |

Buying Opportunity

The price of gold has seen some moderate declines in recent days. Although some may attribute these declines to the FOMC meeting commentary on Wednesday, there may be other, simpler forces at work. On Wednesday, the Fed reiterated its plans for another interest rate hike this year, and the central bank says it remains on track for another three rate hikes next year. The Fed seems intent on following through with its plans despite a significant lack of inflation and other issues that could potentially... Continue Reading

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September 20, 2017 |

With or Without Tax Reform Gold Likely to Win

Markets have been on more solid footing in recent days as a quiet North Korea and the notion of tax reforms stoked investors’ appetite for risk. Much has been made of the potential Trump tax reforms, and the President is attempting to make good on a key campaign promise. At the same time that hopes for a tax plan have been seemingly rekindled, the U.S. reached a significant milestone in its ongoing debt problem. In fact, as of the Friday before last, the nation was... Continue Reading

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September 8, 2017 |

Time for Some Back and Fill?

highs near

As we have stated for some time now, gold could be at the early stages of a multi-year protracted bull market. In recent action, gold has eclipsed its previous swing highs and has covered some serious ground in a short period of time. Although we believe that further upside-and lots of it-is likely to be seen in gold in the coming weeks and months, no one has “missed the boat” as of yet, and now is as good a time as any to start adding... Continue Reading

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September 4, 2017 |

A Sea of Black Swans

Let’s be clear about something: The ongoing escalation in tensions with North Korea may be having an effect on the gold market, but is it not the primary driver of gold. Gold had a very strong session on Monday to begin the trading week before news of another missile test by North Korea hit the wires. The fact is, there are numerous potential black swans that could really derail global equity markets and drive a massive spike in risk aversion and overall market volatility. North... Continue Reading

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August 29, 2017 |

3 Reasons You Should Be Buying Gold Right Now

More Trouble Ahead

Although the reasons to buy physical gold are many, there are currently three primary themes that make buying the yellow metal at current levels a potentially great decision. Stocks could finally be on the verge of a catastrophic collapse: The bull market is a decade old-a decade- and is finally showing signs of total exhaustion. With the economy continuing to produce sub-ideal growth and with stock valuations arguably stretched at current levels, the time may be ripe for the next major stock market crash. A... Continue Reading

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August 17, 2017 |

Is Gold on the Verge?

strength in gold bars and coins

Gold has been quietly moving higher for some time now, and the yellow metal could be gearing up for a significant upside breakout. Numerous issues have helped propel the metal higher in recent weeks, including but not limited to geopolitical tensions, worries over the debt ceiling, a dovish Fed and potential topping action in equity markets. In a recent article from Kitco.com, Dennis Gartman, author of The Gartman Letter, suggested that gold is about to finally breakout. He was quoted as saying “Gold is about... Continue Reading

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August 11, 2017 |

A Scary Place

North korea missile

The ongoing escalation in tensions between the U.S. and North Korea could unfortunately be headed to a new level. According to a report by the Washington Post, North Korea has produced a miniaturized nuclear warhead that can fit into its missiles. The newest development in the ongoing saga brought harsh rhetoric from U.S. President Donald Trump who stated that “North Korea best not make any more threats to the United States. They will be met with fire and fury like the world has never seen.... Continue Reading

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