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Gold/Mining/Energy : Precious and Base Metal Investing -- Ignore unavailable to you. Want to Upgrade?

To: russwinter who wrote (357)	10/28/2001 1:22:48 PM
From: Kaena™	Respond to of 39344

Thank you very much russ for your very articulate reply. I really appreciate your sharing your ideas and opinions on this forum. I've been following IMR and NGT for awhile now and decided that I will buy both with a heavier weighting in NGT. For what its worth, I am of the opinion gold may possibly rebound over the next week or two but then head back to test $275 support. I think we'll be okay if we hold $270. Given the dollar's recent strength breaking out of its July 7th downtrend (and the 30 year bonds recent higher high over last April), the dollar may continue to rally for a month or two (and possibly the stock markets as well). In fact with the soaring money supply I would not be surprised seeing some of it go back into the tech sector, etc. But most likely beginning by the 1st quarter 2002 or sooner, I see the dollar, bonds and the stock indexes correcting substantially into 2002 and gold stocks continuing their bull market started last November. I think we are very close to a major bull market in gold and gold stocks. I continue to watch the interest rate spread that has been bullish for gold ( I expect the Fed to lower yet again at upcoming FOMC thus widening the spread or at least keep it from narrowing until T-bonds begin to correct later this year). Also I keep an eye on the commodity currencies Swiss Frank, Australian and Canadian dollars which are short term correcting but the latest COTs show starting to cover their shorts. Real interest rates are negative which of course very bullish for gold etc. Ratio of unhedged gold stocks to POG is still within its uptrend channel - and of course the myriad of fundamental reasons for gold to begin its ascent. As Claude mentioned in one of his previous posts, many investors trained by false breakouts will jump out with their 20% profit only to see the market continue up into a real bull market possibly lasting 3 to 5 years or more with the expected corrections along the way. I may be wrong about the timing, but I continue to accumulate at these give away prices. Thanks again russ.