For precious metals investors, understanding seasonality can help to determine when to buy and sell at optimal price points. Analysts often mention gold’s seasonality and refer to the “Summer doldrums” as a buying opportunity and the Winter months as the high season. To verify gold’s seasonality and identify opportunities to profit from the trends, I decided to update the data and charts that I had originally created a few years ago. [Take a look.] Words: 295
So says Jason Hamlin (www.goldstockbull.com) in edited excerpts from his original article* entitled Gold Seasonality Chart Shows November as Strongest Month.
Lorimer Wilson, editor of www.FinancialArticleSummariesToday.com (A site for sore eyes and inquisitive minds) and www.munKNEE.com (Your Key to Making Money!), may have edited the article below for length and clarity – see Editor’s Note at the bottom of the page. This paragraph must be included in any article re-posting to avoid copyright infringement.
Hamlin goes on to say, in part:
The new chart below has some variations from the past, but the overall trends remain mostly the same.
The Winter months remain the strongest seasonal period for gold, particularly November through February. The Summer months tend to be the weakest seasonal period for gold, with the month of June showing the only average decline. May and September are anomalies, when the gold price tends to advance strongly during these months, but not in the immediate month before or after.
Here is the chart in bar format as some prefer…
Heading into the first full week of November, the charts suggest that investors can expect the gold price to advance sharply this month and continue higher through February of next year. This is partly due to gold dowries for marriages in India, as this period is considered a lucky time of the year to get married.
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The above mentioned data points are averages and there are always variations and outliers. Nevertheless, this is an important tool that investors may find beneficial in deciding the best time to buy more gold or take some profits off the table.
*http://www.goldstockbull.com/articles/gold-seasonality-chart-shows-november-as-strongest-month/ (The Gold Stock Bull newsletter has been recommending streaming companies for several years now. If you would like to check it out, click here to view a recent sample of the newsletter. If you would like to receive the newsletter and view all of the stocks in the GSB portfolio, click here to sign up now! or Sign up for FREE email updates)
Editor’s Note: The above post may have been edited ([ ]), abridged (…), and reformatted (including the title, some sub-titles and bold/italics emphases) for the sake of clarity and brevity to ensure a fast and easy read. The article’s views and conclusions are unaltered and no personal comments have been included to maintain the integrity of the original article.
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What’s the best time to buy gold on a seasonality basis? November! Over the past 40 years (basically since gold became legal for private ownership in the U.S.) November and December accounted for almost HALF of the year’s gains for gold…If this year is anything at all like the previous 40, we’ll see about 44% of the year’s gains in November and December. That’s huge. [That being said: Don’t delay a day. NOW is the BEST time to purchase some gold.] Words: 700
A basic understanding of gold price phases throughout the year [provides the answer to the question:] “What’s next for the price of gold?” Let me explain. Words: 758
If you aren’t already in, this coming Monday or Tuesday (Nov. 5-6th) should represent an exceptional buying opportunity as gold moves into its final intermediate cycle bottom. Now that the 38% retracement has been breached I would look for a final exhaustion move to test the 50% level early next week as we move into the elections. Words: 284
The upside potential following this correction still looks huge for Gold and for Silver. We expect Gold and Silver to soon make a run back up to the recent highs – but at a sharper angle than they fell. [Let me explain why this will likely be the case.] Words: 528
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Gold could become very bullish once it breaks through the upper horizontal resistance line at $1,800/ozt. Likewise for silver once it breaks through $36. Once these prices are surpassed the HUI should also take off. Check out my technical analysis below for details.