It’s been no secret that the prices of gold and silver have been moving upward at a fast clip in recent months. Gold has soared 27 percent so far this year. There has not been a significant drop-off in production, so it’s been evident that an increase in demand has been a part of the force driving the price upward.

I believe this is a powder-keg waiting to explode down the road—with potentially devastating effects on society—but positive implications for gold and silver.

One of the most rewarding features of technical analysis is when clear signals are fulfilled by the market and also when those signals conform to the bulk of fundamental information.