Jeff Clark: Gold and Silver's Next Cycle is Coming, it's Time to Get Long
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"I think this is the time you need to get long," said Jeff Clark of TheGoldAdvisor.com. "I don't think — gold's not going back down to US$1,500, silver's not going back down to US$15."
With gold around US$2,000 per ounce and silver close to US$25 per ounce, investors want to know what's next.
Jeff Clark of TheGoldAdvisor.com thinks gold has the potential to hit US$2,500 this year, while silver could reach US$30.
"I think this is the time you need to get long," he told the Investing News Network. "I don't think — gold's not going back down to US$1,500, silver's not going back down to US$15. The only way they would have a crash at this point is if all markets crashed like we saw in the COVID crash — everything crashed temporarily. That's the only thing that's going to cause that."
Speaking about whether it makes sense to buy gold at this high level, Clark said the precious metal should be viewed as insurance and mentioned that he added three ounces to his portfolio the day Silicon Valley Bank collapsed.
"What if US$2,000 gold is low? What if gold's going to US$2,500, what if it's going to US$3,000?" he questioned. "Those levels are definitely possible this year — I could easily see it going to US$2,500. So the current price would be low."
When it comes to silver, Clark noted that the white metal tends to outperform gold when it starts to move.
"I do still think silver is going to go to US$30 this year. The reason is because once silver gets going, silver is very spiky, it's very volatile. It's almost violent sometimes in how much it rises or falls, so if you have a rise in gold, silver's going to outperform it. We've seen this repeatedly throughout history," he said. "So if gold does rise, silver is going to follow it."
When asked why gold stocks aren't higher, Clark said it comes down to sentiment.
"I think frankly when (gold) makes new highs, and if it stays there and it's sustainable, I think that will draw a lot of people in from everywhere — from technical analysts and momentum chasers to the mainstream institutional fund managers," he said.
Watch the interview above for more of his thoughts on gold, silver and mining stocks.
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Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.
