Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Strictly: Drilling II -- Ignore unavailable to you. Want to Upgrade?

To: longdong_63 who wrote (26239)	1/22/2003 6:48:40 AM
From: jimsioi	Read Replies (3) \| Respond to of 36161

longdong, we must maintain decorum First, any sign of excitement will be taken as an embolding contrary indicator by the sellers and likely will lead to a fall.....In fact I see gold has fallen 50 cents in the last 5 minutes.... No, the appropriate view is that any rally from here is temporary and that there will be a correction. $330 and 100 are the numbers for Gold and the HUI, respectively....The reasons are plentiful.....The dollar is bottoming at 100 itself....Gold has rallied to far too long without a correction and the miners foretell of one. There isn't a single reputable analyst who CNBC will have on their program who is calling for a non-corrected extension of the GOLD rally. Gold mutual fund managers are holding back....Long term capital gains are to be locked in....Crude as we are learning is coming down. AND we know as soon as war breaks out the dollar and US stock market will rally and commodities will fall....I mean look at 1991.....Won't be any different this time.... Best advice I hear is to lighten up and sell right here…..This rally may last till lunchtime but we have to have a correction….so I've read it said everywhere. I offer you a Weekly Gold chart....see .... it's gotta come down, they've run out of room on the chart... treasurestatefutures.com

To: longdong_63 who wrote (26239)	1/22/2003 9:13:12 AM
From: Little Joe	Read Replies (2) \| Respond to of 36161

I have recently reviewed a chart of gold that goes back to 1978 and it shows a 15 year trendline which appears to touch current prices at the 358 level. Using Murphy's rule of thumb of a 3% break of an imortant chart line, we can assume this very long down trend line will be broken if gold ges to 368 1/2. I suspect there will be a fierce battle at these levels and would not be surprised to see the price of gold regroup before penetrating this long term down trend line. On the other hand, given its surprising strength, nothing on the upside would shock me. Little joe