Precious Metals Show Signs of Bottoming

Precious metals and mining stocks are showing signs of a market bottom after a correction that began in January. An analysis suggests this correction is approximately 90% complete.

Gold is showing subtle signs of bottoming after testing its March low. The Gold Cycle Indicator closed at 33 on Wednesday, its lowest reading since October 2023. This indicates the metal is deeply oversold. Gold prices rebounded after President Trump softened comments regarding Iran.

Silver quickly recovered its 200-day moving average, suggesting prices may be forming a bottom. Platinum also formed a swing low. Prices need to rise above $1,900 to support a low for platinum.

Mining stocks immediately closed Wednesday’s price gap, supporting a potential bottom. Junior mining stocks also filled a recent gap. This further suggests a market low could be forming for the sector.

Bitcoin is consolidating in a small pennant formation after testing its February low. A sustained move above $65,000 would signal further upside. Conversely, a drop below $59,000 could open the door toward $50,000.