GNCC Capital Inc (GNCP)

[place_your_bets]

GNCP gonna buy more of this gold mne stock imo The PIVITAL monent has arrived imo

Gold: A Pivotal Moment Has Arrived
Feb. 14, 2018
(763 followers)
Summary

Gold continues to follow the yen's bullish lead in the near term.

Investor uncertainty remains high as gold's safe haven bid returns.

A critical test of a benchmark trading level will be made this week.

You wouldn’t know it by how much stock market volatility has declined in recent days, but investors are still feeling the urge to hedge their bets in what has been a nerve-wracking past two weeks. While the bond market is being passed over by safety-minded investors this time around, gold and the yen currency are benefiting from heightened fears. In this report, we’ll discuss the relationship between these two assets which investors are now favoring as they wait for the market’s latest bout of jitters to pass.

What’s interesting to note about the recent stock market plunge is that U.S. Treasuries weren’t the go-to safe haven among worried investors. Instead, it was the old standby - the Japanese yen - and the yellow metal. On Tuesday, the yen rallied to a multi-month high and gained almost 1 percent. The yen far outshone other safe havens, and it proved that there is still an undercurrent of fear beneath a financial market which is desperately trying to stabilize.

Shown here is the Guggenheim CurrencyShares Japanese Yen Trust ETF (NYSEARCA:FXY), which was highlighted in my February 12 commentary. As I previously asserted, sustained strength in the yen normally bodes well for the near-term gold price outlook. From this perspective, Tuesday’s rally in FXY suggests that gold will soon attempt a similar upside breakout.

CurrencyShares Japanese Yen Trust

(Source: BigCharts.com)

As far as the yen goes, however, Tuesday’s upside gap in FXY may represent the start of an exhaustion-type move in the currency’s rally. Given that FXY experienced a similar occurrence last September when it attempted to rally above the $89.00 level, we should certainly expect at least some type of pullback in the fund's price line after its recent strong showing. If the yen does pull back from here, it wouldn’t necessary spell doom for the near-term gold outlook. I’ll have more to say about this in the next few days, but suffice it to say for now that gold should benefit from both the market’s current inflation concerns as well as any lingering fears over the near-term equity market outlook.
https://seekingalpha.com/article/4146835-gold-pivotal-moment-arrived