Category Archives: Latest Commentaries

Gold, Silver, Mining Stocks: Breakout Time, Not Bubble Time

Admittedly, for over a year and a half precious metals investors have been going through a time for testing of our essential position in wealth in the earth equities and bullion. Investors were experiencing pain and panic at a time that it was easier to throw in the towel as the technical charts appeared to be broken as gold (GLD) and silver (SLV) went below the 200 day moving average. We advised patience and fortitude despite an onslaught from fellow analysts and media coverage which were attempting to shake out our readers. Now precious metals and miners appear to be making constructive and powerful breakouts.
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Breakout Move In Silver Forecasting Global Hyper-Inflation

Turmoil in Peru, Mexico, Argentina and Bolivia is adding to the world’s already existing shortage of silver. This supply crunch is combined with rising political uncertainty in Egypt, Syria and Iran and economic malaise in the EU and the United States which is causing investment demand for silver to rise exponentially. China is flexing its muscles in the South China Seas and is covertly importing silver to hedge against major declines in the U.S. dollar. Recently we called a major top in treasuries in late July and a breakout move into silver for several weeks.
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Double Bottom Breakout In Junior Mining Stocks Before Labor Day

The junior gold miners are breaking out ahead of bullion staging a double bottom breakout and rising above the 50 day moving average. It appears that the juniors may have bottomed in Mid May. The junior are beginning to outperform bullion and may be forecasting that the small miners may outperform bullion over the second half of 2012.
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Look For The Silver Lining: Silver Swan Ready For Takeoff

After QE2 silver soared from $18 to close to $50 outpacing other commodities. If QE3 is carried out, silver could experience a similar type of move. In such an event, the specter of inflation may trigger silver’s rapid ascent into new all time highs. We regard silver as a long term holding which may be ready to move into new all time highs past $50 depending in part on the Fed’s next move at Jackson Hole.
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A Major Turning Point For Gold, Silver and U.S. Treasuries

This is the summer doldrum selling season during which reason is thrown to the winds and stock prices descend below support. There is an old teaching that sometimes a chart will exceed support on the downside to shake out the weak hands as it reverses to the upside. Sooner rather than later, wounds may heal and present us with astonishing bargains to buy winter coats in the heat of the summer.
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Gold and Silver Breaking Out Before Fed Meeting: Will It Hold?

The markets do everything they can to throw us off course regarding precious metals. It reminds us of the street hustlers on 42nd St, who are experts at tromp l’oeil or “tricking the eye” as they play the old game of finding under which shell the pea is hidden. As a veteran of the precious metal wars, one day does not abort a multi-year trend just because it is lagging for a few months. Indeed, these intermittent reversals have signaled excellent buying opportunities along the precious metals long term upward path. The path of the precious metals will be reestablished despite venerable experts who proclaim the continued decline in wealth in the earth equities.
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U.S. Debt Reaching Bubble Like Territory

Recently Bill Gross, one of the top fund managers in the world echoed what we have been saying for many weeks, "that real assets such as commodities, energy, precious metals and mining stocks are a “better bet” amid negative real interest rates." China seems to be taking his advice and has established a friendly relationship with Canada to acquire natural resources. This was evidenced by CNOOC's acquisition of Nexen for over $15 billion. Maybe the smart investors are already exiting the dollar and treasuries as the investment herd crowds on in to the U.S. Debt bubble.
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Buy Undervalued Uranium Miners Before Market Awakens To New Nuclear Reality

Pundits may have closed the book on the so-called nuclear renaissance, but the story is far from over. In this exclusive interview with The Energy Report, Gold Stock Trades Editor Jeb Handwerger names the "sleeping beauties" quietly proving their worth. A new generation of nuclear energy must be part of a diversified happy ending, Handwerger says, but by that time, merger and acquisition activity may have already rewarded the investors who believed in a brighter future. Read on.
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Major Miners Looking To Acquire Undervalued Junior Explorers

We have long maintained that capital will move from fiat currency to conservative bullion to productive miners then to explorers that will significantly outperform the staid metal. Overtime, the mining stocks have eventually outperformed bullion, which is the sector well chosen to provide jobs and major, upward moves for investors. Thus we are looking at this as a transitory pullback in miners and precious metals in the historic long term move upward which will eventually continue.
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Europe Desperately Needs This Junior Uranium Miner To Come Into Production

A recently completed Pre-Feasibility Study by Tetra Tech Consultants of Golden, CO demonstrates that this project could be one of the lowest cost producing uranium mines in the entire world, especially on the European continent which is hungry for product. Europe has only one currently operating uranium mine in the Czech Republic. There are 160 reactors with more under construction requiring an additional indigenous source of uranium. This uranium asset may provide a timely solution.
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