After years of extremely low official inflation, the "I-word" is suddenly back on everyone's lips thanks to buzz around the incoming administration's big spending and stimulus plans.
Now, since gold is a classic safe haven for money - especially as a hedge against inflation - you'd think gold would be picking right up... But it recently hit a 10-month low.
This is a terrific opportunity to make some serious profits on gold, but my Money Calendar is telling me the biggest gains will come from buying on this date early next month...
This Is the Smartest Way to Lock in Gold Profits
Gold might not be on a lot of holiday wish lists, but it sure ought to be. If people could see my data, they'd be pretty excited about the yellow metal, too.
Gold is a commodity you can use to diversify your portfolio and really something you can consider as an investment when you don't feel confident in equities or the overall stock market. That's why it's been historically known as the safe haven for your money.
It's also a good place for you to park your money in the long term (beyond 20 to 30 days) for more conservative growth...
But not at this exact moment. Here's why...
I've pinpointed a gold pattern using my proprietary Money Calendar. I've analyzed more than 10 years' worth of price movements on the most popular gold stocks and exchange-traded funds (ETFs) during the 14 days before Dec. 25.
Of all of them, the one that tells the most compelling story, with the most profit potential, is the SPDR Gold Shares ETF (NYSE Arca: GLD).
This Play Comes Direct from the Money Calendar
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Below is an actual screenshot of the data I pulled right out of the Money Calendar. You can see in the top line that over the past 12 years, GLD has gone down in price an average of $1.58 (or a point and a half) 14 trading days prior to Christmas.
It gets even worse when you wait a day and analyze GLD the 13 days prior to Christmas. Over that time frame, the stock fell $2.02 (or two points) on average. That's almost half of a percentage point difference in just one day!
But it gets better. A lot better.
After Dec. 26, a strong upward movement begins.
But keep in mind, the last week of the year following the holidays tends to have lighter trading volumes.
So I'm waiting until Jan. 3, 2017, to pull the trigger on this one. The overall bullish trend will run right into all those traders and investors coming back from vacation, and normal volumes will make the trend that much stronger.
So we don't have too much longer to wait and plenty of time to free up some capital to take a bullish position here with some post-Jan. 6, 2017, or Jan. 12, 2017-dated calls. You could even play the shares directly and stand to make some money.
This all goes to show you how quickly these kinds of trades can pay off and how profitable they can be. My Money Calendar Alert readers, for instance, got the chance to play four trades on this very pattern for combined gains of 456.38% that came in less than 30 days.
I'll talk to you again soon. Enjoy the holiday season.
About the Author
Tom Gentile, options trading specialist for Money Map Press, is widely known as America's No. 1 Pattern Trader thanks to his nearly 30 years of experience spotting lucrative patterns in options trading. Tom has taught over 300,000 traders his option trading secrets in a variety of settings, including seminars and workshops. He's also a bestselling author of eight books and training courses.