Paper assets are struggling this year.

Both the S&P 500 and 10-year Treasurys are down around 3%.

Meanwhile, gold prices are on the move.

Shares of the SPDR Gold Trust (NYSE: GLD) are up nearly 4% in 2018. And I’m forecasting another 7%-plus gain over the next two months.

The once-loved precious metal was left for dead for the past several years. But a recent rally is bringing it back to life.

If you missed out on that move, here’s your second chance to make good gains in gold…

Gold rallied from $117.50 to $129.50 between mid-December and the end of January – a roughly 10% gain in just six weeks.

That “too-far-too-fast” move was naturally followed by a pullback, forming a chart pattern called a “bull flag,” highlighted by two blue lines above.

Bull-flag patterns typically resolve with a bullish breakout. And when they do, you typically see a “second-chance” rally of equal or greater magnitude as the rally that preceded them.

In this case, GLD rallied $12 before forming the bull flag (from $117.50 to $128.50).

GLD made a bullish breakout last week, when fears of Trump’s global trade war prompted it to leap higher and clear the top of the bull flag, at $126 a share.

Projecting another $12 run, from $126, gives us a near-term target for gold of $138. That’s a potential gain of 7%-plus, which could take just a month or two to capture.

If you’re finding yourself even a little worried – about stocks, inflation, or geopolitical unrest – now’s a great time to add a gold hedge to your portfolio.

You stand to gain 7% or more as we head into summer.

I have my Cycle 9 Alert subscribers in a bullish gold play. They’re already up 20%. And if we hit our $138 target by June, we stand to make gains of up to 200%.

Adam O’Dell
Editor, Cycle 9 Alert
Follow me on Twitter 
@InvestWithAdam

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Adam O'Dell
Adam O'Dell has one purpose in mind: to find and bring to subscribers investment opportunities that return the maximum profit with the minimum risk. Adam has worked as a Prop Trader for a spot Forex firm. While there, he learned the fundamentals of trading in the world’s largest market. He excelled at trading the volatile currency markets by seeking out low-risk entry points for trades with high profit potential. An MBA graduate and Affiliate Member of the Market Technicians Association, Adam is a lifelong student of the markets. He is editor of our hugely successful trading service, Cycle 9 Alert.