Gold Breakout in Real Terms Means Good Times are Ahead for Gold Bulls

By Jordan Roy-Byrne, CMT

In past commentaries, I’ve written about my favorite form of technical analysis. That is intermarket analysis. Intermarket analysis takes traditional technical analysis much further. Normally, we’d look at a market by itself. We’d look at its price action, potential patterns and its momentum. Intermarket analysis takes this a step further by comparing the market at hand to various other markets. It gives us an idea of what is really going on and where market leadership is.

In regards to Gold, intermarket analysis is even more important. Gold is the type of market or asset that thrives when other asset classes are not performing well. Rarely does Gold perform well if there is persistent strength in another asset class such as Stocks or Bonds. We are in a Gold bull market, so Gold will outperform other asset classes over time. However, it is an important exercise in trying to gauge the near-term outlook for the yellow metal.

Post from: Gold News from Gold Editor

Gold Breakout in Real Terms Means Good Times are Ahead for Gold Bulls

Gold Newsletter On Endeavour Mining

Author: Brien Lundin (Gold Newsletter)
Posted:  October 2010

NEW ORLEANS

Endeavour Financial is now Endeavour Mining. The name change reflects the company’s wholesale transformation from an investment holding company and advisor to a full-fledged, intermediate gold producer.

That transformation was consummated this month, as the company completed two major transactions.

The first was its official acquisition of a 100% interest in West African gold producer Etruscan Resources. With that move, the company takes over a gold story that boasts 80,000 ounces of current gold production and a ton of blue-sky potential courtesy of Etruscan’s extensive West African land position.

The second transaction of note was the disposition, at a healthy profit, of its 43% interest in Crew Gold. You’ll remember from previous updates that Crew Gold had been a source of friction between Endeavour and Crew’s other major shareholder, Severstal Gold.

The US$215 million sale price for Crew gives Severstal firm control of Crew and gives Endeavour a tidy US$80.5 million return on its initial US$134.5 million investment.

Neil Woodyer, Endeavour’s Chief Executive Office, had this to say about the deal: “The capital derived from monetizing this investment will be used to fund our growth and build value for Endeavour shareholders. Following this transaction Endeavour has approximately US$180 million of cash and access to a US$100 million Acquisition Facility. We are now in a position to aggressively seek acquisition opportunities in the gold sector.”

Full Article

Post from: Gold News from Gold Editor

Gold Newsletter On Endeavour Mining

Gold Eases Toward $1,330
The yellow metal softened slightly as the dollar rose after a report said the Fed would likely adopt a gradual approach to further monetary easing

Author: Jan Harvey (Reuters)
Posted:  Wednesday , 27 Oct 2010

LONDON (Reuters) -

The dollar rose versus a currency basket after a report said the Federal Reserve would likely adopt a gradual approach to further U.S. monetary easing.

Spot gold was bid at $1,332.45 an ounce at 0923 GMT, against $1,338.70 late in New York on Tuesday. U.S. gold futures for December delivery fell $6.40 an ounce to $1,332.20.

The metal hit a record $1,387.10 an ounce earlier in October as expectations that the Fed would pursue a second round of quantitative easing pressured the dollar, but prices have slipped as investors worried the impact of this has already been too heavily priced into currencies and gold.

Post from: Gold News from Gold Editor

Gold Eases Toward $1,330

Michael Berry: Gold Reacts and Mining Sector Benefits - The Gold Report Michael Berry, PhD, of Morning Notes, is bullish on gold, which he expects will double or more in price in the not-too-distant future. In the meantime, with organizational skills developed in a previous career as professor of investments, Berry has created a 10-point "Discovery Investing" (DI) model by which all stocks in his universe are graded. In this exclusive interview with The Gold Report, he tells us about plays on several small- and micro-cap mining stocks that he expects will perform quite well through either price appreciation on discoveries or takeover.

Post from: Gold News from Gold Editor

Michael Berry: Gold Reacts and Mining Sector Benefits

Bob Moriarty: Hold On To Gold
Source: Karen Roche of The Gold Report

Predicting ongoing waves of mortgage delinquency, illiquidity and bank insolvency, 321gold's Bob Moriarty envisions a temporary financial holiday followed by a return to the gold standard. While he finds several solid investment opportunities among mining equities, he says the safest strategy is having "a $20 U.S. gold piece in your right hand and a 1 oz. gold bar in your left." In this exclusive interview with The Gold Report, Bob explains how the U.S. government "is lying" about unemployment figures and banks "are lying" about supposed mortgage reviews that find no fraud involved and recommends investors have "a triangle of investments"—the most important of which are physical precious metals.

Post from: Gold News from Gold Editor

Bob Moriarty: Hold On To Gold

Casey's Daily Resource Plus                    July 10, 2009

In Today's Edition:

• "Summer inertia" hits gold - But it won't last too long.
• Dollar falls - Expectations of improved risk appetite to blame.
• Crude oil gains - Jobs report helps its cause?
• Base metals listless -  Market awaits new data from China

To view today's edition, please click here

Post from: Gold News from Gold Editor

Casey’s Daily;But it won’t last too long.

By Jeff Clark, Editor, BIG GOLD

• If inflation returns, or even hyperinflation...
• If the economic crisis persists and gets worse...
• If uncertainty and fear continue, and chaos and rioting begin...
• If stock markets languish or suffer another meltdown...
• If the recovery spending of the world’s governments proves futile...
• If government interference in the economy continues to increase...
• If the value of the U.S. dollar takes a major fall...
• If world recovery from the current recession/depression takes years...
• If you’re still wondering whether you have enough “safe” money...

...would you feel you own enough gold?

If all those things come to pass, I suspect many of us, including myself, would wish we had a few extra gold coins or bars stashed away.

So let’s assume you answered “No” to my question and need to add some ounces to your collection... is now a good time to buy?

The Best Time to Buy Gold?

Before glancing at the chart below, if you had to pick the month with the weakest average gold price, which would you select?

In our current 8-year bull market, June has seen the lowest return for gold. In other words, it’s been, on average, one of the best times to buy.

How does this compare to the bull market of the 1970s?

In the last great bull market, summer also was a good time to buy gold (although April was even better.)

What about gold stocks?

Since 2001, July and October have been the weakest months for gold stocks, as measured by the AMEX Gold Bugs Index, and the best times to buy.

However, keep in mind that these are price tendencies and not certainties. There were Junes when gold was up, and some Julys when gold stocks were up. Meaning, avoid using this chart for trading purposes or in anticipation of an immediate gain. Instead, use it to prepare for possible gold price weakness ahead. And if the weakness shows up, treat it as a buying opportunity and add to your holdings to position yourself for the next leg up in the bull market. Consider that this summer could be the last chance to buy gold for three figures.

Don’t lose sight of where we are at this point in the recession – in an intermission in the bad economic news. When it becomes apparent that the good ole days aren’t coming back, sentiment – and markets – could move rapidly. And gold is one of the best forms of capital that can protect you in a financial Armageddon. That gold was up in 2008 is a reminder of its protective power.

How much gold should you have? Continue to accumulate physical gold until you can honestly say you don’t care how many dollars Ben Bernanke prints.

Having physical gold in your possession is always a good idea in times of economic turmoil – there is no “uncertainty hedge” like it. But to actually make money, you should also look at premium gold stocks. Our current favorite has been so consistently successful that we call it “48 Karat Gold.” Click here to learn more.

Post from: Gold News from Gold Editor

When is the Best Time to Buy Gold?

Dave Forest Explains Why Trillion-Dollar Infusion May Not Produce Inflation-or Drive Gold Up - The Gold Report - (7/7/09) - Where is the aggressive inflation that was supposed to follow the government's tremendous expansion of the money supply? Why hasn't the new money propelled the price of gold higher? Pierce Points author Dave Forest shares his answers, which counter traditional theories, in this exclusive Gold Report interview. He also talks about some of the companies he likes no matter which way the pendulum swings. Juniors with plenty of project options to choose from are among the equities Dave favors. In his view, those with a strategy for discovery and the cash to do it are good protectors of investment that will do well regardless of what happens on Wall Street-in either an inflationary or deflationary environment.

Please click on gold and inflation.

Post from: Gold News from Gold Editor

Dave Forest Explains Why Trillion-Dollar Infusion May Not Produce Inflation-or Drive Gold Up – The Gold Report

CENTRAL BANKS TO ADD TO RESERVES
Choppy times ahead for gold in near term - BMO's Melek

While gold may be vulnerable to a near-term pullback, BMO's Bart Melek believes there are long-term motivations to hold the precious metal.

Author: Dorothy Kosich
Posted:  Wednesday , 24 Jun 2009

RENO, NV -

Choppy times are ahead for gold in the near-term, BMO Capital Markets Global Commodity Strategist Bart Melek warned Tuesday.

Click here to read Choppy Times for Gold

Post from: Gold News from Gold Editor

Dorothy Kosich; Choppy times ahead for gold in near term – BMO’s Melek

David Morgan: We Could See Silver Outperform Gold 2:1 -The Gold Report - (6/23/09) - David Morgan, whose interest in silver dates to the tender age of 11, returns to The Gold Report today to discuss the latest buzz about his favorite subject. One of the world's leading authorities on silver as a commodity, an investment, a safe haven and an increasingly important manufacturing metal, he expects this year's stronger-than-anticipated late spring climb to lose momentum before the end of the month. Longer term, though, the founder of the respected monthly, The Morgan Report, sees silver appreciating at a faster pace than gold. And while he also likes the idea of monetizing silver-rather than gold, because silver is far more liquid-that's one wish he does not expect to see granted.

Click here to see Silver Outperforming Gold

Post from: Gold News from Gold Editor

David Morgan: We Could See Silver Outperform Gold