Paul Eberhart - Senior Metals Market Analyst & Columnist
Senior Market Analyst and Columnist
Paul Eberhart has been actively trading and writing about precious metals for more than a decade. A U.S. Army Iraq War Combat Veteran, he holds an AS in Information Systems and Security from Western Technical College and a BA in Spanish from The University of North Carolina at Chapel Hill.
His market analysis has been enjoyed by hundreds of thousands of investors and shared on several platforms in the gold and silver online community.
And since the silver price is surging, today, I'd like to make this Midweek Market Report silver-centric, meaning that I will discuss each and every chart as it pertains to silver, and I also have many different timeframes of the silver charts to share.
Recall that just weeks ago, the technical set-up for silver was looking like a classic head-n-shoulders chart pattern, and silver had just completed the right shoulder. Needless to say, the outlook was rather bearish in the short-term. The set-up to the head-n-shoulders happened very quick, in fact, in less than 20 trading days, which is about as fast as a chart pattern such as this one can develop, but something interesting happened once the right shoulder was completed: Silver paused, and then began to rally and rally hard.
A few things seem to be maintaining the bid on gold, and they're all fundamental in nature. Perhaps this is one of the reasons many technical analysts keep calling for deeper pullbacks which continually end up being both shallow in price and short in duration?
The question for the technical analysts now would be, has gold confirmed it's a move above $1800?
Indeed, $1800 acted as major resistance coming off of the 2011 run, and it is safe to say that the psychologically important level is the last major resistance for gold on its way to new, all-time record highs, much in the same way that $1350 had been acting as major resisance over the last few years.
What gold bugs are looking for now is for gold to hold above the $1800 level, meaning that this isn't a false break-out. Nonetheless, one thing is certain: Excitement is coming back into the gold market now that gold is just a stone's throw away from $1900 and beyond!
The keyword there is "was" because 2020 happened, and so did Black Swan after Black Swan.
Now, halfway through 2020, It seems the Trade War with China is heating up again. Indeed, many analysts are wondering if trade talks or trade itself is breaking down. Two days ago it got the point where President Trump even put out a late-night Tweet about China and Trade.
The US stock market had a hiccup last Thursday, and that hiccup has many analysts, traders, and investors wondering: Is the "bear market rally" over, or was this the first pullback of a new bull market?
If developments in the United States over the last week are any indication, however, it would seem that upcoming market intervention errs on the side of the latter. Specifically, both the Federal Reserve and the Trump Administration...
Last week we witnessed one of the most controversial economic releases in years from the Bureau of Labor Statistics. To say the Employment Situation Report for May 2020 was a shocker is putting it lightly.
While nearly everybody was in agreement that there would be millions of job losses in May, it was only a question of "how many millions"?
The saying, "out of the frying pan, into the fire" comes to mind. That is to say, just as more and more cities and states across the United States begin the challenge of opening back up and trying to bring their economies back to life, America, as a whole, takes a turn for the worse.