Gold Prices Are Rising: Here’s How to Play the Rally
While the broader market slumped in May, one natural resource mounted a huge rally.
Gold prices rose above $1,300 per ounce.
We’ve seen gold outperform the markets several times in 2019.
The SPDR Gold Shares exchange-traded fund (ETF), which tracks the gold bullion price, rose 2.4% in May. At the same time, the S&P 500 fell nearly 6%.
Many analysts pegged May as one of the worst trading months since 2010. But gold traders stayed ahead of the noise and profited while the markets sank.
Traders are looking for safe-haven investments. And gold is a solid hedge in volatile times.
We asked our expert Chad Shoop for his view on gold’s continued rise. And he explained one key factor he’s watching before going all in:
I’m bullish on gold. I believe the precious metal is on the cusp of a long-term bull market. But it has a strong resistance around $1,350 an ounce. I’m just starting to add exposure to the gold market. I want to see it break above that level before I go all in. That is my cue for getting extremely bullish.
Chad has recommended several profitable gold stocks over the past three years. Back in December 2018, he recommended a metal miners position that netted his readers gains of more than 30% … in less than three months!
It’s why he’s confident in gold’s potential to rally higher this year.
And our senior analyst John Ross offered this observation on the yellow metal’s rise relative to the U.S. dollar’s drop:
The price of gold jumped by almost 5% in just the last two weeks. Now, it has the chance to prove its mettle. There is a lot of technical resistance for gold to overcome in the weeks ahead. But there’s something that leads me to believe gold will continue to move higher. When gold jumped this week, the U.S. dollar fell. That’s because the backdrop is changing for the U.S. dollar. The yellow metal rises when the dollar falls because of how interest rates and growth influence investor expectations.
John tells us he plans to recommend a gold fund to readers of Winning Investor Daily next week.
And he’s excited to bring you more ways to play this precious metal.
In fact, John Ross and Matt Badiali are planning profitable trades in gold and other natural resource stocks. It’s all part of a new service they’re launching in the coming months.
We’ll bring you more details about their new service right here in Winning Investor Daily.
Our experts have more to tell you this week!
Our Experts’ Latest YouTube Videos!
John Ross let viewers know about three charts he’s following during this historic wave of volatility.
Each one tracks a way that you can trade to profit from the uncertainty and risk inherent in the markets. Just click the image below to find out more.
Chad Shoop recently explained why the period from May through October typically signals a broader market slump.
Tech companies such as Apple and Intel typically outperform the markets during this period. That’s why he recommends one tech ETF to play this seasonal weakness for profits.
Anthony Planas posted another episode of his Marijuana Markets: A POTcast this week. He explains why the lower prices in cannabis stocks provide a great opportunity to buy in during the current trade-war volatility.
He also covers Illinois’ recent bill legalizing the sale and possession of recreational marijuana and much more in this week’s episode. You can check out his video below.
We’d love to hear from you! What’s your favorite way to buy gold in volatile times?
Just write to us at email@example.com to be part of the conversation.
Our experts keep a close eye on the markets. They want to make sure they can offer the best trading advice.
Read on to see the topics they’re following this week.
The Winning Investor Daily team
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