After the market recovered from an initial sell-off in the Monday session, stocks noted a strong move back to the downside throughout the session yesterday. With the massive fall on the day, the DJI plunged to its lowest closing mark in well over a month.
The leading indices ascended well off their lows “buy the dip” - The sentiment to purchase the dip shows to be even more potent than what we observed in the culminating months of dot com bubble market in the 2000s and also in 2007, reminding us of how investing people were conditioned in the boom 1920s to buy every dip.
The S&P 500 slumped 48 points or 1.7% to close between two Key Sup levels 2877 and 2898. The DJI tumbled 473 points or 1.8% to finish at 25965, while the Nasdaq 100 plunged 154 points or 1.65% to close at 7640.
The sell-off came as selling demand was reignited after US Trade boss Robert Lighthizer affirmed that the United States plans to hike tariffs on over $200 Billion worth of Chinese consumer goods to 25% on May 10.
Aside from the stock market, the greenback was virtually unchanged, except versus the Chinese currency Yuan, fixed income was a tad higher, while the precious metals were flying in overnight trading, however, then decreased early on yesterday's session. By day’s end session, both Gold and Siver were mixed with a small advance.
The precious metal market is now set to begin the most dramatic bull markets that our modern world has ever witnessed. This precious metal is like a coiled spring as we will see fast movements to the upside in Gold as well as Silver.
We firmly believe the first mark for Gold, which might be attained swiftly, is $1600 level, while, Silver will most likely go to somewhere of $25 range.
As we have discussed before, sadly, a much higher Gold and Silver prices are connected with challenging conditions in today's world, equally socially, and economically. However, the initial move will occur before the hard times begin.
To ensure wealth preservation investors and traders alike must keep in mind that the prediction mentioned is about short-term timing and not about preserving your assets.
The risks level in the today's world is present to the degree that any strong-minded investors who want to evade destruction of their wealth need decrease their vulnerability to all the bubbles - stocks, bonds, the property, as well as the modern banking system.
Both metals have invariably been the ultimate protection in any phase of the crisis. As the following breakdown is likely to be bigger than anything has ever seen in the past, the safeguard versus the immediate risks in the financial system must also be noted.
In these conditions, we estimate that 25% in precious physical metals such as Gold and Silver is an outright lowest amount. We understand that this warning sounds dramatic to many investors; however, what is going to happen to the global financial market(s) and economy will likewise be spectacularly climactic. Hence, it's utterly essential to secure adequate security.
Trading Signals On Demand And What Should You Know!The TradingSig signals on demand of the Trade Selector Signal (TSS) system are based on functions such as measuring the rate and speed of price change, volatility, momentum, and harmonics. Then filter the noise and provide a forecast...