Stock Market Set to Push Higher – Gold Washout Potential

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It is time for the US stock bull market to end. That was per the cycle analysis by Peter Eliades we reviewed several weeks ago. Meanwhile, we could not even get a blip let alone a correction until Greece (with a side of China) got in the MSM.

Now we have a correction. The fact that it is underpinned by media hysterics is bullish, not bearish. At least that is how all such media events have been throughout the cyclical bull market that was concocted by policy designed to reward greed and speculation. Cue the chart… 

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Junk to Quality bond spreads indicate that greed continues to lurk beneath the surface of the US markets. So we are open to a final push higher. Not predicting it but sure as hell allowing for it.

Watch the Semiconductor sector, which has been a consistent (though sometimes volatile) leader since 2012.

Global markets are much more a mixed bag. Discretion is advised between countries and economic zones.

Commodities are not of interest in the least right now.

Precious Metals are of interest but only when the macro turns. Some indicators have been turning for a long while now, but others remain holdouts. Only when speculation starts to fail and safe havens and insurance start to be valued again will the sector be ready, macro fundamentally speaking.

In that event, quality gold stocks would one day leverage gold’s out performance to most other items. But first, a final washout is still a potential that is in play. It is also the preferred scenario in order to get the contrarian juices flowing. 

…continue reading this premium report with 40 charts that support each summary above HERE