3 replies to this topic

[SilentOne]

We wandered up towards the HUI 240 level today and then turned down. I expect at least one more test of the 226 support level and then we should break above 240 for a major launch.

http://stockcharts.com/def/servlet/SharpChartv05.ServletDriver?chart=$HUI,uu[e,a]daclyyay[db][pb20!c10!b50!b100!f][vc60][i][J19454028,Y].gif

On this next pullback I will be loading up again on gold and silver stocks.

cheers,

john

Edited by SilentOne, 04 November 2004 - 07:05 PM.

[Russ]

John,

Isn't there some concern as to why the actual gold stocks are lagging the price of gold, normally the stocks should be leading shouldn't they, as they did in early 2001 and April 2003 which you can see on these charts....

I am going to make the point in a separate post to get some attention to this divergence which is also very important to the US dollar and capital flows, interest rates etc.
Russ

http://stockcharts.com/def/servlet/SharpChartv05.ServletDriver?chart=$hui,uu[w,a]waclyyay[p][vc60][i]&r=4142.gif
http://stockcharts.com/def/servlet/SharpChartv05.ServletDriver?chart=$gold,uu[w,a]waclyyay[p][vc60][i]&r=9514.gif

Edited by Russ, 05 November 2004 - 01:09 PM.

[Rock]

I believe the gold stocks are lagging because of the horrifying plunge last spring. On previous ascents the bugs were speculative maniacs as usual and almost all of them were seriously charred. HUI is now climbing a wall of worry as opposed to it's typical rocket of euphoria. GOLD is rising on fundamentals and HUI is nervously, tentatively watching, waiting for ABSOLUTE proof which they believe will have arrived with GOLD firmly above 430. That is when I'll get more anxious. Long IMR.V, NG, WTZ, KRY

[uncleharley]

It's time to get anxious.... Gold is trading at $435.40 USD in Sydney as I key. Volume is heavy. HUI and XAU should start to catch up soon.