Why Gold Can Keep Climbing Higher

There's nothing better than a stealth bull market...

In a typical bull market, when prices begin rising, it almost always draws attention. Folks see the gains and assume they can make easy money. So the crowd jumps in. The excitement leads to more upside, for a while... but it eventually creates a painful bust.

But a stealth bull market is different. Most folks don't even notice the rally. Investors don't become euphoric... which means the gains can last longer than anyone believes possible.

That's what's happening right now in gold. The metal has soared to $4,000 an ounce. But most investors don't understand what's going on.

Plus, the metal just achieved something rare. It jumped for eight straight weeks... And according to history, that means we should expect higher prices in the months ahead...

This Rare Signal Points to a Continued Gold Rally

It's rare for a bull market to be a one-way march higher.

Typically, assets rise for a bit, then give back some gains. After that, the uptrend resumes.

That's not happening in the gold market right now. The metal has risen for each of the past eight weeks. Take a look...

Gold is clearly in a powerful bull market. Few investors seem to care... But this stealth boom is accelerating.

Importantly, this string of positive weeks is a rare setup. We've only seen seven similar situations over the past 50 years. And according to history, those moments were darn good times to buy gold.

Here's what happened after similar setups since 1975...

Many investors view gold purely as a portfolio hedge or diversifier. But it's more than that. Gold has produced a healthy 6.2% annual return over the long term.

Still, you can do much better if you buy when gold is in the middle of a powerful bull market – like it is today.

Setups like this have led to gains of 5.5% over six months and 12.7% over a year. That's more than double the typical annual return for the metal... Plus, gold was higher a year later 71% of the time.

Gold is up more than 50% this year. But most investors aren't paying attention. That tells us the boom isn't over yet.

Folks will wake up eventually... They'll buy in droves, pushing prices much higher. And their overenthusiasm will set the stage for a bust.

We're not there yet. And that means we expect the gold bull market to continue.

Good investing,

Brett Eversole