Note: This is not financial advice.  I’m not a financial advisor and I’m wrong 100% of the time.  Investments are risky and nothing mentioned here should be considered financial advice.  Invest at your own risk.

While I’ve known that we are at the start of a gold bull run for some time, I just saw a video by a technical analysis guy I watch named John Howell who overlaid GLD and SLV with the psychology of market cycles.  I’ve seen the market cycle chart before – BUT – I have never seen it overlaid with these and the correlation appears to be 99%.

Take a look at his video, here.

In it – he basically states that for traditional equities we are at the “complacency” stage.  The government is doing all it can to keep the Dow and S&P inflated.  However – this cliff is about to fall off at some point.   With COVID, 2020, elections, the Fed – can you honestly tell me that after 10 years of the longest bull market run in history that we are not at the complacency stage?

Psychology-of-Market-Cycles1

What he does point out is that just as these markets are about to drop, the gold (and later silver) markets are poised for a long, long bull run.  These markets tend to work in tandem.  Risk on/risk off.  If times are good – people take the money out from the couch cushions and invest in businesses.  When times are risky, they buy gold and silver.  I’d like to now present to you…2020.  Where murder hornets have been the least of our issues only to be outdone by meth gators.

However, what convinced me 100% is that he did an overlay with GLD and SLV, and WOW….just WOW!  This is a short video, but a MUST WATCH for anyone with more than a couple of dollars in the market.

It may really give you some pause when you see the next draw back.