The Time to Buy Gold Is Now!

From caseyresearch.com: 

The Time to Buy Gold Is Now

by Justin Spittler

It finally happened.

On Monday, the price of gold topped $1,300 for the first time since November.

But gold didn’t just inch past $1,300. It blew past it.

Just look at the chart below. You can see that gold jumped from $1,298 to $1,315—a 1.3% gain.

Since Monday, gold has held steadily above $1,300.

This is a big deal, and not just because $1,300 is a big round number.

• Gold tried to top $1,300 three other times this year…

It failed each time it got close. Just look at this chart.

You can clearly see that $1,300 acted as a key resistance level. It prevented gold from rallying.

But it won’t anymore. That ceiling has been breached.

This is a major victory for gold bulls. But it’s not the only reason to like gold.

• A perfect storm has hit the gold market…

North Korea is launching missiles at Japan.

Donald Trump is threatening to shut down the government to pay for the wall.

And Hurricane Harvey has rocked Houston, America’s fourth largest city. Some estimates say the storm did more than $100 billion in damage. Now, the federal government will likely shell out billions of dollars in aid, and that means sinking deeper and deeper into debt.

 

RELATED ARTICLE: Here’s what James Rickards has to say about gold reaching $10,000 per ounce!

 

Long story short: investors have plenty to be nervous about right now. And that’s good for gold.

You see, gold has survived every financial crisis imaginable. It’s the ultimate safe-haven asset. This is why every investor should own a little gold. (We recommend having 10-15% of your money in gold at all times.)

But here’s the thing. Not everyone owns gold as a chaos hedge. Some people buy it for quick profits. They trade it.

And Monday’s big breakout could be the buy signal that many traders have been waiting on.

That’s because $1,300 was a key psychological level. It was keeping a lot of investors from buying gold.

But that resistance has been broken. And that means a lot of people who were on the fence about gold could become new buyers.

• If that happens, billions of dollars will start pouring into gold…

This is obviously good for people who own gold. But it’s even better for people who own gold stocks.

These stocks are leveraged to the price of gold. In other words, gold doesn’t have to rise much for them to skyrocket.

Just look at the VanEck Vectors Gold Miners ETF (GDX). This fund, which holds gold industry giants like Barrick Gold and Royal Gold, surged 3.6% on Monday. That’s nearly three times as much as gold rose on the same day.

• GDX is now up 16% since the start of the year…

That’s a big move for such a short period. But it’s likely headed even higher.

Just look at the chart below. You can see GDX just broke out of the downtrend it’s been in since February.

This is very bullish for gold stocks.

So consider buying GDX today if you don’t own any gold stocks already.

Regards,

Justin Spittler
San Francisco, California
August 30, 2017

 

READ MORE @ 

https://www.caseyresearch.com/the-time-to-buy-gold-is-now/

 

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