Gold/Silver Honing Cycle Low
June 27, 2015 – Gold & Silver are poised to bottom in July 2015…when a myriad of longer-term cycles (weekly, monthly, yearly & multi-year) project an important bottom. Many of these cycles are more precise in Silver…
June/July 2015 is when a pair of uncanny, multi-year cycles (7-Year Cycle & 11-Year Cycle) converge with a 15-17 month high (May ‘11)–high (Sept/Oct. ‘12)–high (Feb./Mar. 2014)–low Cycle ProgressionAND with a 25-month high-low-(low) Cycle Progression (May 2011 high – June 2013 low – July 2015 low).
July 2015 also perpetuates a ~4-month high-high-low-low-(low) Cycle Progression & a related ~8-month high-low-(low) Cycle Progression.
The 17–18 week high-high-low-low-(low) Cycle Progression – that amounts to that ~4-month cycle – pinpoints July 13–17th as the ideal time for a bottom. In the case of Gold, a drop into July 13–17th would also complete successive, 8-week declines – from mid-Jan. into mid-March & from mid-May into mid-July.
That (potential) 8-week decline has been corroborated by the June 18th high – creating a 4-week high-high-(low) Cycle Progression targeted for July 13–17th. These ~30-degree & ~60-degree swings (March 18th–May 18th–June 18th) also target July 17th for an intermediate turning point.
As precious metals trade through this decisive period, it is equally important to focus on what is expected – a resurgence of commodity inflation – to take hold in 3Q & 4Q 2015. Recent surges in the grain markets are corroborating that.
A couple technical indicators reinforce this possibility. First, there is the declining weekly 21 MARC discussed last week. As explained then, the first part of that pattern provides a descending resistance level (from now into mid-July).
Once (if) price action breaks through that resistance – or that resistance ‘leap-frogs’ current price action on its way down – it quickly flips and becomes a key support level and potential floor under prices. (That is most likely in late-July.)
Then, there is the weekly HLS – that was just tested & held in Silver. That pattern usually generates a multi-month low within 3 weeks… July 13–17th…
Bottom Line: As has been anticipated throughout 2015 – and for several years – Gold & Silver are entering a 3–6 month & 1–2 year period when many factors (cyclical, technical & even fundamental) should begin to support the price of precious metals and spur a new advance… lasting into – and at least half-way through – 2016.
Before that occurs, however, Gold & Silver need to complete their latest declines and then signal a reversal higher.”
Ideally, Gold & Silver would drop into July 17th and then begin to reverse higher on July 20–24th…
The 17-18 Week Cycle projects that (July 13–24th low).
The ~30 & ~60-degree cycle sequence projects it (July 17th/20th = fulfillment).
The weekly HLS projects it.
The weekly 21 MARCs project it (negative into July 17th; potentially turning positive on July 27–31st).
As reiterated in the June 2015 INSIIDE Track, Major support exists at 1087.0/GC & 14.570–14.650/SI.