Anticipating The Rally In Wheaton Precious Metals
by Mike Paulenoff
April 14, 2024 • 12:03 PM EDT
On March 13, amid a broad discussion about the emerging bull phase developing in the precious metals and miners, Mike Paulenoff posted this about WPM (Wheaton Precious Metals) to our MPTrader discussion room:
From a more Silver-Gold perspective (if FCX is perceived to be Copper-centric), let's notice that WPM strength is pushing up against its near-term resistance line in the vicinity of 45.80, which if taken out and sustained, will point WPM toward a challenge of its 4-1/2 year resistance line that cuts across the price axis at 51.00... Last is 45.60...
Mike followed up with a note on the afternoon of April 3:
WPM (Wheaton Precious Metals) is knocking on the door of a near 4-year upside breakout zone from 51.00 to 52.80, which if (when) taken out, will project an intermediate-term target zone of 60-62. Any forthcoming weakness into the 48.60 to 47.00 support area should attract major buying interest-- if it gets back down there... Last is 50.43...
Last Thursday-Friday (April 11 and 12), WPM thrust above Mike's initial target of 51.00, hitting a 3-1/2 year high at 54.30, a full 19% above the initial heads-up at 45.60.
That said, however, WPM sold off 4.5% in sympathy with many risk-on assets late Friday ahead of a weekend fraught with greatly heightened geopolitical uncertainties, closing at 51.80.
What does Mike's work tell him about the technical setup in WPM as well as the precious metals complex going forward? Will the geopolitical risk-premium continue to be a factor supporting prices? What influence will a Fed reluctant to cut interest rates have on gold and silver? And what about the US Dollar's position vis-a-vis the precious metals?
Login this week to join Mike and MPTrader members for their discussions about the issues mentioned above and how the various scenarios might impact the precious metals and miners, and as earnings season kicks in again, the setups in individual stocks, S&P sector ETFs, macro indices, Treasury bond and Energy ETFs, as well as Bitcoin.
On the Monday morning (10/09/24) after Hamas attacked Israel (10/07/24), Mike Paulenoff posted the following heads up for MPTrader members:Another "Crisis Opportunity" could be developing in RTX (formerly Raytheon Technologies) after a prolonged correction finally exhibits signs of downside exhaustion, and because the various combatants around the globe need weapons systems and missiles, lots of missiles... Last is 72.62...RTX established a multi-month corrective low at 68.56 on the Friday before the attack, down 35% from the 104.91 high on 4/19/23.
On April 5, Mike Paulenoff discussed the following with MPTrader members about the significant negative behavior of the equity indices in general and the SPY (SP 500 Equity Index ETF), writing:"... Yesterday's nosedive in the price action left behind a Bearish Engulfing Candle in SPY, SPX, ES, et al... My attached Big Picture Chart of SPY shows the powerful, relentless Oct-Apr. advance from 409.21 to 526.
Right after the opening bell on the morning of October 20, 2023, Mike Paulenoff posted the following GLD (SPDR Gold Trust) commentary to our MPTrader Discussion Room:"For all of the long-suffering Gold Bugs... As we speak, GLD is attempting to take out key 5-month resistance lodged between 181.20 and 184.40, which if successful and sustained, will point GLD to 188-190 next... Last is 183.88...
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