Cart
Stock Market Investing Insights Amid 2025 Highs
Vermeulen's strategy, rooted in technical analysis, helped him anticipate and react to the shift from a market bounce to a sustainable rally. “Now we’ve broken to new all time highs. And I like the S&P 500 now.” While he initially expected a reversal, he adapted as the charts proved otherwise. This adaptability allowed him to remain long through the rally, pointing to key technical signals like momentum, cycles, and money flow to determine trend strength. “People who missed the whole bounce… are piling in as well.”
He further warned of a potential market correction of five to nine percent, citing overbought signals and extreme leverage. “Everybody’s buying call options, betting leverage at the markets going higher.” This sentiment euphoria could signal a short-term peak. Still, his advice to investors is to remain long while preparing an exit strategy for any correction phase. Vermeulen emphasized that while the broader trend remains bullish, especially for growth stocks like those in the ARK ETFs, caution is warranted. For those interested in equities, staying informed with market cycles is essential.
Buy Gold As Safe Haven Against Uncertainty
As the conversation turned to gold, Vermeulen drew comparisons between the present market conditions and the 2007–2008 financial crisis, suggesting a similar setup may be developing. “We’re poking to a nominal new high… Gold is primed and ready. It’s been holding its value to shoot higher.” He recalled how gold spot price surged while the S&P 500 topped and declined. In a similar vein, he sees gold moving dramatically higher if market uncertainty returns, especially amid renewed tariff talk and overbought stock conditions.
“Gold could skyrocket and shoot for another big move, and gold’s pointing to about 4,100 to the upside.” This projection reflects not only Vermeulen’s technical targets but also his confidence in gold’s resilience in the face of market volatility. His analysis of historical bull flag patterns and Fibonacci extensions supports his thesis that gold may have a substantial leg higher, potentially a 25% rally from current levels.
Seasonality also aligns in gold’s favor, as Vermeulen explained, “July and August… usually has a multi-month rally into October. So we’re coming into that summer golden rally.” Technical structures and seasonal factors together provide what he sees as a well-timed window for investors to buy gold.
Silver Spot Price Poised For Breakout
Silver, meanwhile, is catching investor attention with some of its strongest weekly and monthly closes in over a decade, according to Vermeulen. “Silver is at a pretty key level. It’s tagged right here, which is similar high that we saw back in 2012.” The potential breakout from this level carries both promise and risk. He cautioned that silver’s chart pattern resembles a running correction, which typically leads to either a volatile upside move followed by a collapse or a sharp breakdown and reset.
But from a daily chart perspective, silver looks bullish. “It has got a bull flag pattern… it’s now hit the second half of that move… the next two moves are about 38.70 up to about 40.80.” This represents a 5–10% upside, which he considers meaningful for silver. “I like gold and silver going forward here more than the miners because what could happen… we saw in 2008, gold and silver moved up percentage-wise the most.”
He underscores that physical silver may outperform mining stocks, especially during stock market downturns. “Miners are a stock stuck in the stock market… the best play, the highest probability play to me is gold and then silver. And I’m not that interested in the miners.” His preference reflects a fundamental belief that physical precious metals act as safer assets in volatile equity environments.
Silver investors should closely monitor spot price levels and resistance areas between $38 and $41. Vermeulen emphasized that a blow-off top scenario might be ahead: “Sometimes it has this, I call it icing on the cake. It’s a blow off move… but then it does crash down and reset.” For those looking to capitalize, physical silver could be a compelling investment.
Mining Stocks Lag Behind Physical Gold And Silver
Despite rising gold and silver prices, mining stocks are not Vermeulen’s favored investment. Though they’ve “really started to take off and outperform gold” in recent months, he remains cautious. “It was very volatile, meaning you’re positive, you’re negative over the next… one to two months. And it really didn’t generate any real return.”
Mining shares, he explained, are vulnerable due to their integration into the broader stock market ecosystem. Even when gold and silver rise, mining companies can falter if broader equities decline. “When the stock market tide goes down, it naturally wants to pull down on gold miners.” That makes physical gold and silver far more attractive in his view.
Another factor to consider is seasonal production adjustments in mining. As highlighted by Craig Hemke, “A lot of the big producers will shove a lot of their production into fourth quarter… and then sometimes they come in a little under.” This earnings manipulation can result in inconsistent quarterly performance, adding further risk for investors seeking stability.
So while silver and gold show promising technical signals, Vermeulen believes that direct exposure through physical bullion is more reliable than mining equities. “The best options, just maybe pick both,” he said. But his focus is clear: own physical metals, not the paper claims of mining companies.
Invest In Gold And Silver Now
Chris Vermeulen’s analysis throughout the Sprott Money discussion presents a compelling case for investors to buy gold and buy silver. With technical indicators aligning across multiple timeframes and historical patterns hinting at massive upside, now may be the ideal window to gain exposure to precious metals.
Whether you're protecting against volatility in equities, leveraging seasonal strength, or avoiding stock-based risks in the mining sector, physical gold and silver stand out as the best plays for the second half of 2025. As Vermeulen put it, “I’m definitely leaning bullish on precious metals… I think we could see that $38 to $41 per ounce hit very quickly.”
Bullish Charts and Market Sentiment Shifts
The conversation opened by acknowledging the rollercoaster of recent months: "April just straight down in stocks and then back up in May," said Craig, highlighting the instability. Chris responded by pointing to the technical picture in the S&P 500, noting, “This bullish chart pattern is actually pointing to… a 3 to 4 percent move bring us up to all-time highs maybe a little bit higher.” Yet this near-term optimism masks deeper concerns. Chris emphasized that investor sentiment is overly bullish, which he considers a bearish indicator: “Everybody’s decided for some reason that it’s buy the dip mentality... and the bullishness is actually getting fairly strong… that is a bearish sign.” He projects that while another short rally is possible, trouble is brewing under the surface, which could benefit precious metals, particularly gold. He forecasts a significant leg higher: “We’re gonna see gold have another leg higher and push up to potentially $3,750 per ounce potentially.” This aligns with the view that precious metals often serve as safe-haven assets during economic stress or equity market volatility.
Gold Spot Price: The Dollar Decline and Historical Parallels
As the conversation pivoted to the U.S. dollar, Chris offered a sobering technical analysis. He called the dollar index chart “a pretty interesting and scary looking chart,” referring to its downward momentum. He continued, “It’s like clinging on trying to hold the lows from this year… if this breaks, it could actually extend and have a pretty big drop.” This scenario, he warned, could act as a powerful catalyst to push the gold spot price significantly higher.
Chris drew historical parallels with the 2007–2008 financial crisis. “Price action always does the same thing… it’s either going up with fear of missing out and people greed, or it’s selling off because people are fear[ful] of losing more money,” he said, emphasizing how market emotion cycles fuel similar patterns. He explained that before the 2008 crash, gold had begun rising, “and then gold shot higher, became the number one top performer.” This suggests that we may be on the verge of a similar trajectory.
The chart overlay showed a “20% correction” in the stock market, followed by a bounce, much like the setup before the 2008 crash. Chris noted, “Gold surged and took off right as the US stock market was just hitting new all-time highs… and the dollar’s in the lower right-hand side again… and it’s hated.” This pattern could mean the next gold super cycle is imminent, particularly if the dollar breaks lower. Investors interested in monitoring the gold spot price can view real-time charts on MarketWatch.
Buy Silver: Flag Patterns and Explosive Potential
Shifting to silver, Chris noted the metal has been trading in a tight sideways range: “trading sideways between about 32 maybe 33, 50, 34… bullish cross of the 20-day moving average up through the 50-day.” These are promising signs for technical traders. Chris emphasized, “Silver’s got quite a bit of upside. Obviously, it can move so quickly, but it has a very strong chart pattern.”
He identified the bull flag formation, which he described as a classic setup for explosive moves. Using Fibonacci extensions, Chris pinpointed several upside targets: “The first target is the golden ratio, which is six one eight… if we hit this level and pause, it’s usually a very good sign… and that shows we should go up to about $38 per ounce.” He warned, however, that $38 could act as strong resistance, potentially triggering short-term pullbacks: “If it gets up there, it’s probably going to get rejected very, very quickly and sold back down.”
Nonetheless, for long-term investors, these pullbacks may present excellent buying opportunities. Chris concluded, “I’m still bullish on both of these… if we just look at gold typically June July August is when kind of gold you know starts to bottom out or just trade sideways.” This seasonal pattern may provide a tailwind for both gold and silver. To understand more about silver’s market dynamics, Silver Institute provides data-rich insights.
Silver Spot Price: Miners Lead the Charge
In perhaps the most bullish segment of the discussion, attention turned to mining stocks, particularly GDX and GDXJ ETFs, which are showing breakout behavior. Craig Hemke noted, “GDX… had this mother-of-all-penance pattern… broke out and went well.” Chris concurred, saying, “They’re actually leading the way higher… before gold is and before silver is… This is a very good sign.”
This leadership by miners is often a key precursor to a broader move in precious metals. Chris elaborated, “The charts are all pointing to all the precious metals and miners are actually pointing to one big another push to the upside as a defensive play.” This behavior, he warned, also mirrors what was seen in 2008 just before the financial crisis. “Miners are rallying with the stock market too right now… that is telling us people… are saying, get me into gold, silver and miners because something bad is about to happen.”
He identified a target of $82.30 for GDXJ, representing an 18% upside from current levels. He also mentioned that while the volume isn’t “raging,” the break to multi-year highs is noteworthy. This kind of behavior suggests that market participants are moving into defensive sectors ahead of a possible economic downturn. For a deeper dive into the structure of mining ETFs, investors can visit ETF.com.
Invest In Gold And Silver Before The Next Financial Crisis Hits
As Craig Hemke wrapped up the session, he reminded viewers of how quickly things can change. “It was March of 2008 and gold hit a thousand dollars an ounce for the first time… three months later it’s 700… three years after that it was up two and a half times to 1900.” The lesson is clear: identify the trend, and ride it.
Chris reinforced this message with a comprehensive final chart showing a possible “massive double top” in small and micro-cap stocks. “Most people aren’t up. They haven’t made any money in four years,” he observed. This stagnation in the broader equity market combined with leadership from miners and falling confidence in the dollar makes a compelling case for rebalancing portfolios into precious metals.
Looks like there are no comments yet.