| The train is still rolling.
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| As you’ve seen, gold and silver have been bouncing back with fervor after the recent sell-off.
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| While far from its peak over $5,500, gold has regained the key $5,000 level today. Silver has leaped more than $5 and is back over $82.
As I’ve said repeatedly over the two years of this bull market, the metals seem to want to go higher. The overall rise has been extraordinary and nearly relentless.
The good news has been that Western investors have gotten involved, which has helped spur some of the dizzying rallies we’ve seen since last summer. The bad news, of course, is that this brings much more volatility.
Case in point, that downdraft you see on the chart above.
My view is that we’re going to see more consolidation in gold and silver, measured in weeks or even months rather than days, before the next big move higher.
But that highlights what I feel is the key opportunity right now: mining stocks.
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| The chart above shows the GDX gold miner’s index/gold ratio. When that line is rising, gold stocks are outperforming gold, and vice versa.
We had a nice uptrend in place late last year in which the gold miners were outperforming the metal — which was not an easy task, considering gold’s steep trajectory.
And as you see, the miners dropped even more steeply than gold in the recent sell off.
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| That outperformance to the downside just ended, however, and it looks like the equities are about to take off again.
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| While the GDX index tracks the biggest gold mining companies, I feel the best opportunities are the junior miners, which also tumbled steeply when the metals dropped a week or so ago.
I’m seeing some extraordinary opportunities in this sector...and I’m pleased to say that we’re goint to dig into detail on three of them — as well as the entire junior mining sector — on Wednesday.
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| Built For This Market:
A FREE Webinar This Wednesday
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| My friends at the Discovery Group have invited me to host a webinar presenting my latest views on today’s junior mining market as well as three of the most exciting companies in their stable and the entire sector.
The Discovery Group is responsible for many of the most successful and profitable junior mining plays, and the three companies we’re going to spotlight — K2 Gold, Kodiak Copper and Prospector Metals — could soon rank among the biggest winners in recent history.
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| I’m going to explain my outlook for the sector, how to play it right now and my thoughts on each of these companies...while the CEOs of each company will explain why each opportunity is so exciting at this moment.
And we’ll answer your questions live.
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| This is going to be a fun and extremely valuable event — and I’m confident that we’ll look back on it months from now as one of the key opportunities in the new metals and mining bull market.
I urge you to click on the link below to join us this Wednesday!
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| Brien Lundin
Publisher, Gold Newsletter
CEO, the New Orleans Investment Conference
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| CLICK HERE
To Sign Up For
Built For This Market:
Wednesday, February 11
10:00 am Pacific/1:00 pm Eastern
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