LIVE Gold Prices $  | E-Mail Subscriptions | Update GoldSeek | GoldSeek Radio 

Commentary : Gold Review : Markets : News Wire : Quotes : Silver : Stocks - Main Page >> News >> Story  Disclaimer 
Latest Headlines

Precious Metals Update Video: Gold consolidating
By: Ira Epstein

Gold & Jackson Hole: No Cause For Concern
By: Stewart Thomson, Graceland Updates

GDP Ain’t What it Used to Be!
By: David Haggith

The Case for Gold Keeps Getting Stronger As Negative Interest Rates Spread
By: Clint Siegner, Money Metals

Precious Metals Update Video: Gold consolidating
By: Ira Epstein

GoldSeek Radio: Gerald Celente and Bill Murphy
By: Chris Waltzek, GoldSeek Radio

SWOT Analysis: Gold Equities Have Room to Run…
By: Frank Holmes, US Funds

Technical Scoop: 200 Years - Gold/Gold Ratio, Precious Metals, equity, bond market updates and more
By: David Chapman

Gold Set to Correct but Internals Remain Bullish
By: Jordan Roy-Byrne CMT, MFTA

The Market Has Gone Nowhere In The Last Twelve Months
By: Avi Gilburt


GoldSeek Web

Gold: Tactics For The Price Sale

 -- Published: Tuesday, 14 August 2018 | Print  | Disqus 

Graceland Updates

By Stewart Thomson


1.    It’s very important for investors to act prudently and professionally with their investment capital in the gold market.  As a particularly interesting example, most North American gold stocks had a big sell-off yesterday, while my entire “Thunder Down Under” portfolio of Australian gold stocks was up overnight!   

2.    My current mindset is to be a very modest buyer of North American miners trading at generational lows, and a very modest seller of the Aussies that are moving to fresh all-time highs.  I cover the key Aussie stocks action at to keep investors smiling.

3.    Please click here now.  Double-click to enlarge.  Most of what is happening in the gold market from both a fundamental and technical perspective is pretty mundane.

4.    There’s shoulder symmetry being “sculpted” onto this fabulous weekly price chart.  That left and right shoulder symmetry occurring in the late stages of a giant inverse head and shoulders bull continuation pattern.  It takes many years for these patterns to form and be completed.

5.    That’s because charts are created by fundamentals.  The system risk fear trade of the West is giving way to the more sustainable price drivers of long term inflation and the Chindian love trade.  The transition takes many years and investors should savour the process, like savouring a fine wine.

6.    When gold was trading near $1370 I cautioned excited investors that a pullback to $1180 was required to give this pattern “Michelangelic” symmetry.

7.    That’s happening now.  As expected, the volume is declining as the price meanders down towards my “ultimate symmetry” $1180 target zone. 

8.    Please click here now.  Double-click to enlarge this interesting gold and COT report chart, courtesy of 

9.    The smart money commercial traders (producers and swap dealers) are eager buyers as gold meanders towards $1180, and that’s good news.

10. May gold investors in the East are also buyers.  Chinese dealers report very solid demand.  As of Sunday, Indian dealers were waiting for further weakness before doing additional buying.  I expect to see them buy aggressively if gold does make it to $1180 before turning higher.

11. A lot of gold bugs in the West are also eager buyers of this fabulous price sale, but some may be nervous and unsure of what tactics to employ for risk management.

12. The most important tactic is to function more as a shopper in a grocery store than as a gambler loading up a dump truck at a magical moment in time.  The buy size should be very small and there will always be more price sales in the future. 

13. The gambler armed with a leveraged dump truck to buy and a space helmet to project the price to Pluto is unlikely to survive, especially after getting a few market calls wrong. The shopper with a grocery cart will be around for gold’s glorious future, a future that I confidently refer to as the “bull era”. 

14. Please click here now.  Double-click to enlarge.  Any gold bug who finds themselves feeling uncomfortable during any of gold’s regular price sales should deploy portfolio insurance.

15. GLD put options and GDX put options are the simplest way to insure a gold stock portfolio against price weakness that makes the investor uncomfortable.

16. Amateur investors should spend the time needed to get acquainted with put options.  It’s really not any more complicated than buying car insurance or house insurance.

17. GLD-NYSE is an ETF proxy for gold bullion.  Each “GLD-NYSE September $120” put option has provided superb price weakness insurance for 100 shares of GLD-NYSE stock. 

18. Please click here now.  Double-click to enlarge.  The “GLD-NYSE December $112” is my insurance vehicle of choice as of today, replacing the September $120.

19. The September $120 put is trading at about $7, and the December $112 put is about $2.  Each option represents 100 shares of GLD-NYSE, so the September option is worth about $700.  Investors could now move into the December put option for a cost of about $200.

20. In a nutshell, nervous gold market shoppers can insure about $11,200 of bullion or GLD-NYSE stock until December, for a cost of only about $200! 

21. The current price area of about $1195 for gold is a superb entry zone, and with the use of my put option insurance it’s a play that is massively skewed on the side of reward rather than risk.

22. Investors need to remember that fundamentals make charts.  On that note, tariffs and sanctions news is pushing money out of Asian markets and into US markets.  While most of this gold-negative tariffs/sanctions news appears to be mostly priced into the gold market now, if there’s a new surprise, the weekly chart pattern symmetry could get damaged and gold’s price sale may not end until the $1120 area. 

23. The bottom line: While investors shop for more gold and related items during this great price sale, the GLD-NYSE put option portfolio insurance that I’ve outlined is the best way to manage the risk of a further decline to $1120.  If the price does decline to $1120, investors who employed the strategy should be totally comfortable buying at $1120.

24. Please click here now.  Double-click to enlarge.  GDX is a little softer than gold right now, but still in my key $23 - $18 accumulation zone for investors.  I’m an eager buyer in the entire zone, anticipating a rally that is most likely to commence from the $1180 area for gold bullion!






Stewart Thomson 

Graceland Updates


Note: We are privacy oriented.  We accept cheques, credit card, and if needed, PayPal.


Written between 4am-7am.  5-6 issues per week.  Emailed at aprox 9am daily.





Stewart Thomson is a retired Merrill Lynch broker. Stewart writes the Graceland Updates daily between 4am-7am. They are sent out around 8am-9am. The newsletter is attractively priced and the format is a unique numbered point form.  Giving clarity of each point and saving valuable reading time.


Risks, Disclaimers, Legal

Stewart Thomson is no longer an investment advisor. The information provided by Stewart and Graceland Updates is for general information purposes only. Before taking any action on any investment, it is imperative that you consult with multiple properly licensed, experienced and qualified investment advisors and get numerous opinions before taking any action. Your minimum risk on any investment in the world is: 100% loss of all your money. You may be taking or preparing to take leveraged positions in investments and not know it, exposing yourself to unlimited risks. This is highly concerning if you are an investor in any derivatives products. There is an approx $700 trillion OTC Derivatives Iceberg with a tiny portion written off officially. The bottom line:  

Are You Prepared?



| Digg This Article
 -- Published: Tuesday, 14 August 2018 | E-Mail  | Print  | Source:

comments powered by Disqus


Increase Text SizeDecrease Text SizeE-mail Link of Current PagePrinter Friendly PageReturn to >> Story

E-mail Page  | Print  | Disclaimer 

© 1995 - 2019 Supports

©, Gold Seek LLC

The content on this site is protected by U.S. and international copyright laws and is the property of and/or the providers of the content under license. By "content" we mean any information, mode of expression, or other materials and services found on This includes editorials, news, our writings, graphics, and any and all other features found on the site. Please contact us for any further information.

Live GoldSeek Visitor Map | Disclaimer


The views contained here may not represent the views of, Gold Seek LLC, its affiliates or advertisers., Gold Seek LLC makes no representation, warranty or guarantee as to the accuracy or completeness of the information (including news, editorials, prices, statistics, analyses and the like) provided through its service. Any copying, reproduction and/or redistribution of any of the documents, data, content or materials contained on or within this website, without the express written consent of, Gold Seek LLC, is strictly prohibited. In no event shall, Gold Seek LLC or its affiliates be liable to any person for any decision made or action taken in reliance upon the information provided herein.