VIDEO — Jeff Clark: Keep Holding On — Gold and Silver Have History on Their Side

Jeff Clark: Keep Holding On — Gold, Silver Have History on Their Sideyoutu.be

After a strong performance earlier in the year, the gold price has trended down, leaving investors wanting more.

But for Jeff Clark, metals and mining analyst at TheGoldAdvisor.com, the current price level represents an opportunity to buy.

"We're in a down cycle now. Three guesses what comes next — an up cycle," he said. "We just don't know the timing of that — when it's going to happen, how big it will be, what price point it starts at. But you need to be prepared now."

A pivot from the US Federal Reserve could be the catalyst for a move in gold, as well as silver, and Clark said this could happen relatively soon — since the 1950s, the average time from the last Fed rate hike to the first Fed rate cut has been only five months.

"That tells us they'll probably raise rates again another time or two, or whatever," he explained to the Investing News Network. "But a few months after that, they're probably actually going to have to turn around and start cutting rates again. That will be extremely bullish for a lot of assets, but especially gold and silver and mining stocks."

Clark focuses on exploration-stage companies, and said he looks first at people, politics and property. Beyond that, he takes into account factors like share count, cash levels and whether the CEO has a history of creating value for shareholders. He also likes to ask leadership how much of their own money they've put into their stock.

Overall, his message to investors was to take today's lower prices as an opportunity to buy.

"This is a second chance, this is kind of how I look at it," he explained. "Any stock you missed before, any stock you bought that maybe is too weak to recover from all this, maybe another stock you want to own more of — this is your second chance."

Watch the interview above for more from Clark on gold, silver and his approach to investing. You can also click here to read our recap of the New Orleans Investment Conference and here for our full event playlist on YouTube.

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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.