Gold sentiment hits extreme low, signaling a likely strong rally ahead.

Gold and gold-mining stocks have experienced their worst two-month drop since the Iran war began, defying their usual role as safe havens during geopolitical crises. However, contrarian analysis of market sentiment shows extreme pessimism among investors, which historically precedes a strong rally in gold prices. This suggests that gold and related stocks are poised for gains in the coming weeks as investor sentiment shifts from despair to optimism.