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Gold/Mining/Energy : Blue Chip Gold Stocks HM, NEM, ASA, ABX, PDG -- Ignore unavailable to you. Want to Upgrade?

To: jrhana who wrote (1045)	11/22/2003 6:42:18 AM
From: jrhana	Read Replies (1) \| Respond to of 48092

More Russell: <However, I believe that the safest defense against a declining dollar is gold in the form of coins. Now I want to include a piece written by my old friend, Sir Harry Schultz out of his latest report (Harry and I have talked gold for over 40 years). Schultz -- 1 866 725 2734. Here's the quote -- "Paper currencies gyrate wildly (even within trends), the US dollar (which everyone has some of) falls to multi-year lows, stocks are unarguably high on a value basis, bonds are in limbo and so on. Gold charts are suddenly appearing on TV screens with increasing frequency. Awareness is rising that here is an asset that is stateless, that is neither a symbol nor a prisoner of any nation, and is not an IOU -- which all other paper currencies are -- an IOU that can't be paid. Also, gold is not overpriced by standard yardsticks. By the inflation standards it is, in fact, grossly underpriced. Gold returns to its currency status when faith falls in unbacked paper currencies. When the US dollar was king, gold was considered a commodity. Now gold is a currency again. Welcome back, Mr. Gold." Harry thinks that gold, the metal, may even outperform gold shares for a while. Says Harry, "I've been urging you, dear reader, to buy gold (in coin or bar form) for some time, and to regard it as your core holding." Russell Comment -- I concur with all the above, although I prefer the coins to the bars. Now for the man who runs probably the largest collection of point & figure charts in the world. He's seasoned market analyst and chart reader unparalleled, the one and only David Fuller out of London (www.fullermoney.com). Here's what David says "Gold's next significant move will be on the upside. The chart shows a progression of rising lows ever since bullion tested its 1999 floor in early 2001. Rising lows confirm that gold is under accumulation. I maintain that the current pattern, which followed the upward spike on base completion from December 2002 to early February 2003, is the first step above the base. "In the early stages of secular bull markets, these patterns can take a long time to form. However this one appears to be nearing completion. Judging from the chart, a close at 368 is required to delay an upward break beyond the next few weeks. I maintain that gold will move much higher over the next 10 to 15 years, because fiat currencies (paper money) will never retain their value over the long term. Some governments may aspire to discipline, but they just can't resist the temptation to print too much of the stuff, in order to buy their way out of trouble. . . . Those who own gold will need to be patient. Upward spikes are likely to be infrequent, and followed by lengthy reactions. Most secular bull markets progress at the pace of a tortoise over many years, before finally running like a hare." Turning to the stock market, it's now in an semi-oversold condition, and this could be a plus over the very near term. However, if today follows yesterday's pattern, in which the market diddles around all day, then sells off at the close, I'll be increasingly of the opinion that the top is in for the market, and the next major move will be down.> I feell/think we are entering a hare phase of the POG gold bull. : Message 19527830 I imagine that if we indeed hit POG=$500 in the next 6 months (I mean hell $500 POG in the next 6 weeks would not surprise me). I have a hard time believing that these blue chip type gold stocks won't be 2-4 baggers. Select explorers will be 5-10 baggers. JMVHO