The Week Begins, And Gold Is Spiking

The weekend is over, and markets are whirring to life.

The first big move: Gold is spiking.

Screen Shot 2013 07 21 at 6.33.18 PM

The big event over the weekend was the Japanese election, where the party of Shinzo Abe scored a big victory in the upper house, giving him the flexibility to continue to perform economic reforms.

  • Dow Jones 30,000 Trigger Leaked by 27-Year-Old Stock Research Firm CLICK HERE
  • The Inevitable: Dow Jones 30,000 CLICK HERE

Source: http://www.businessinsider.com/gold-july-21-2013-7

Here Is A Huge Key To The Markets

With global stock markets on the move, investors and professionals are wondering where the markets are headed from here.  KWN thought it would be a good time to pass along key indicators which help provide a clue as to the future direction based on sentiment.

Here is the latest Investors Intelligence report along with the all-important sentiment chart:  “Stocks rallied further last week with more indexes ending at new closing highs.  Many show new records while the NASDAQ highs are from 2000 … Indicators are bullish but also overbought with many at prior highs.  The quick recovery from June’s selloff was hard to ignore and more newsletter editors turned bullish.  That figure would have been even higher except for a few shifts away from that outlook from advisors who noted negative divergences with the new highs.

  • Dow Jones 30,000 Trigger Leaked by 27-Year-Old Stock Research Firm CLICK HERE
  • The Inevitable: Dow Jones 30,000 CLICK HERE

The Roadmap From A Gold Bottom To A Mania

On the heels of historic movements in key global markets, today 40-year veteran, Robert Fitzwilson, put together another tremendous piece. Fitzwilson, who is founder of The Portola Group, laid out the roadmap from a gold bottom to a coming mania. Below is Fitzwilson’s outstanding and exclusive piece for KWN.

Fitzwilson: On June 27th, in a note to clients and friends of the firm, we suggested that the panic in the metals and mining sectors was so extreme that it had to be a bottom by everything we have experienced and studied in our careers. The chart below suggests that our call was correct, at least based upon what has ensued so far.

  • Dow Jones 30,000 Trigger Leaked by 27-Year-Old Stock Research Firm CLICK HERE
  • The Inevitable: Dow Jones 30,000 CLICK HERE

The top line is the Amex “Gold Bug’s Index” (HUI) which represents a basket of gold mining companies. The bottom two are for the S&P 500 and gold. The returns in the chart are for the period since our call to the close of trading last week. As you can see the Index nearly tripled the return of gold itself….

“It is also interesting that the Index nearly tripled the return of the S&P 500 Index in that same period. Hardly a trading session goes by without the headline being “The S&P 500 and the Dow Jones Indexes hit new highs”. The reality is that the bulk of the stock market strength that had been so loudly touted occurred during the first quarter of this year.

Source: http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2013/7/21_The_Roadmap_From_A_Gold_Bottom_To_A_Mania.html

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