The usefulness of sentiment's stealth crystal ball is about to be revealed to the litany of unsuspecting precious metal bears and skeptics who have convinced themselves that gold's bull market is either over or, at the minimum, in need of lengthy ongoing retesting, restructuring and consolidation.
The 2004 and 2006 silver parabolic moves took CDE from being a $28 stock to the $75 neighborhood and quickly and the current silver parabolic is likely to surpass the magnitude of each of the four preceding silver parabolics.
The previous three gold and silver parabolics (2004, 2006 and 2008) had a common characteristic. Each exhibited a midpoint consolidation - a resting place that separated the character of the first half and second half of the parabolic move.
The current up leg in gold price that originated in October 2008, a study of the Fibonacci relationships of this price movement that are evident both in terms of price and time, and a projection of future price movement.
While miners rallied strongly higher during the final three months of gold's 1980 parabola, they were no match for the rocket launch of the precious metal itself, as gold literally more than doubled in this time period.
The C wave of the pattern has characteristically concluded with a parabolic, near vertical ascent of price. We are currently in a C wave and I expect that our immediate future will witness a truly exciting and hair raising parabolic advance.