How did I know what to buy, when to buy, and when to sell?
It's all thanks to this proven commodity strategy I like to call the 3 S's.
Here's how they work…
The first S is for Setup.
Before I look at a single commodity stock, I need to answer one question: Is the environment right for commodities to move?
Here's what most people forget…
Almost every major commodity in the world — gold, oil, copper, wheat — is priced in US dollars.
When the dollar is strong, those commodities become more expensive for the rest of the world to buy.
Normally, when prices go up, demand drops.
But when the dollar weakens, the opposite happens.
Commodities become cheaper for everyone else to buy, and demand increases.
So the first thing I check is the dollar — specifically the US Dollar Index, or DXY.
Not the stock market. Not earnings reports. Not the headlines.
The dollar.
Right now, the dollar is sitting right at a key level I've been watching all year.
As long as we stay below 100, I'm looking to go long on commodities.
But if we get a sustained close above 100, that's when I'm going to reconsider my positions.
The second thing I check is interest rates — specifically the long end of the curve.
Think of it this way: short-term rates are what the Fed controls.
When you hear about President Trump wanting lower rates, this is what he's talking about.
Banks borrow at the short-term rate. They lend to everyone else at the long-term rate.
The wider that spread, the more money banks make in the middle.
And the more money they make, the more they're going to lend.
That's why when long-term rates are rising faster than short-term rates…
It's a signal the economy is about to run hot.
It's also historically when commodities make their biggest moves.
When both signals line up — dollar below 100 and long-term rates rising — that is a winning Setup for commodities.
Once Setup is confirmed, I need to figure out which sector the money is already moving into.
That brings us to our second S, Sequence.
Here's something most people don't realize about commodity markets.
They don't all move at the same time. They move in a sequence.
Gold moves first. Then silver and the miners follow. Then copper and base metals. Then energy.
When gold starts moving, it "rings the dinner bell" for the rest of the commodity complex.
Here's why…
Gold is a monetary metal.
When investors get nervous about currencies, inflation, or the future of the financial system…
They tend to buy gold because it's literally money.
When gold starts rising, it tells you the macro environment has shifted.
Usually, a weaker dollar means higher gold prices.
But in 2024, something strange happened…
DXY was trading between 100 and 105 all year and gold still went up 27%.
That's because central banks around the world were quietly selling dollars and buying gold.
And when the world's biggest buyers are all loading up on gold, regardless of dollar strength…
That's a structural shift in the markets, not a short term reaction.
On April 11, 2025, the dollar broke below 100 for the first time since 2023.
Eleven days later, gold hit a new all-time high.
And when gold moves, silver follows. Then the miners. Then copper. Then energy.
Each sector picks up the baton from the one before it.
So how did I know to buy GDX a month before DXY dropped below 100?
It all comes down to our third S, Signal.
Even when Setup is trending right and Sequence is confirmed, I don't buy anything.
I wait for a specific price level on a weekly close.
In early March 2025, the Signal fired on GDX.
While everyone else was obsessing over AI…
I bought the GDX Jan 2026 $40 calls at $0.60.
Nine months later, I sold at $6.05 – a 908% gain in 40 weeks.
It wasn't a coincidence that I nailed this trade…
All I had to do was look for the Setup, follow the Sequence, and buy when the Signal appeared.
Tomorrow at 2pm ET, I'm going live to show you exactly where all three S's are pointing right now…
And how you can "copy and paste" my best trade ideas in 2026.
Click here to RSVP.
The next sector in the rotation is already setting up.
The Setup is in…
We know what is next in the Sequence…
And it's only a matter of time before we get the Signal on our next potential 10 bagger.
Everyone will say this next move was obvious in hindsight…
But if you want to be in the trade BEFORE you hear about it on the news…
This is your chance to be on the right side of that trade.
All you need to do is attend the call tomorrow at 2pm ET to find out how.
Click here to reserve your spot.
-Jason Perz
P.S. If you scrolled straight to the bottom, here's what you missed:
I made 908% on a GDX trade in 2025…
and I was already out five days before the Motley Fool told everyone to buy.
Tomorrow at 2pm ET I'm showing you exactly how I did it, and where the next trade like this is setting up right now.
Click here to get access.
