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To: Lucretius who wrote (14280)	3/2/2000 8:34:00 PM
From: re3	Respond to of 42523

Message 13028072

To: Lucretius who wrote (14280)	3/2/2000 8:38:00 PM
From: re3	Read Replies (1) \| Respond to of 42523

guess who turned bullish AND he started off by buying abx. can you figure out who wrote this <g> SUMMARY: My current outlook is STRONGLY BULLISH for gold mining shares, which are generally undervalued relative to the yellow metal itself. My current outlook is SIGNIFICANTLY BULLISH for spot gold. My current outlook is STRONGLY BULLISH for gold coins and gold collectibles, since their premiums to the spot gold price are mostly markedly below historic norms. The XAU has potentially completed a long-term reverse head-and-shoulders pattern which saw this index make a left shoulder at 61.23 on January 12, 1998, collapse to its upside-down head of 48.67 on August 31, 1998, and then make a double-tested right shoulder at 56.44/57.80 on March 30/July 19, 1999 and a confirming double-tested right shoulder at 59.05/58.61 on January 28/March 2, 2000. It is still possible that there will be a final drop in the XAU, of course, but such a pullback is likely to be temporary. Even if the price of gold should decline a few percent, the XAU is likely to fall only slightly, as the spread between the two collapses to 220. Bearish sentiment has increased very recently, with a greater concentration of put buying on gold shares and more prevalent negative analyst commentary. Inflation in the U.S., after years of declines, has recently increased modestly, which usually coincides with a bottom in the gold price. There is still the danger of a pullback in crude oil, which has extremely bullish sentiment, but since gold has so far not significantly responded to the lengthy oil rally which has seen its wholesale price triple in one year, it should not be overly sensitive to a pullback in crude. Gold mining shares are substantially undervalued relative to the price of gold; the XAU, for instance, has recently traded at levels virtually identical to its values in the summer of 1999 when the gold price averaged $30 per ounce lower than it is now. The Australian dollar, which is historically an accurate leading indicator for gold, has recently recovered from a deep selloff. The U.S. dollar, meanwhile, which usually moves inversely to the gold price, may be completing a significant topping pattern.