Prepare for the Meltup

Clive Maund editorials ^ | January 1, 2003 | Clive Maund

[headsonpikes]

This is just another list of gold stocks, some good, some not-so-good. There are a lot of good juniors--dozens, at least. It all depends what you're looking for. Do some research on the web; it's not that difficult.

I'm shocked to see the hyper-promotional CUSIF, but then again I'm not. ;^)

For the cautious investor, don't overlook the AEM convertible bond--it's a honey.

[Cicero]

As it says at the orginal site from which I extracted it, it's a preliminary list, prepared at the beginnning of December. There's also a list of juniors given there. Smart people have been away from the precious metals market for the past 20 years or so and are only now coming back. The ones who remained gold bugs over that stretch of time have become pretty soured, like old Mrs. Havisham waiting for the bridegroom to turn up. It looks as if the final bottom was reached last summer, but that wasn't certain until the recent breakout above 330.

The way I read the list, it provides an assortment of ripe possibilities, and gave you the preliminary informtion you need to look at the charts or do other investigation yourself. I wasn't especially interested in CUSIF, and no doubt if it's not solid he will drop it in due course. Even if it's a con job, you could have done worse than put your money in it last month. Here's the current 6-month CUSIF chart:

I confess I'm one of those who thought that gold should have recovered sooner, but there's no use trying to hurry the markets.

[jwh_Denver]

not to mention the shorts possibly bailing..

Same here ima. Your reply helped me to understand what you were really saying in your earlier post. I agree with you.

I would think that the shorts that haven't bailed by now are the ones that can't even though it will only get worse for them. There is also program triggers set for when gold closes over 354 in NY which will add to your stampede. Either way it will happen and I think sooner than later.

[jwh_Denver]

"Express elevator" time.

Click, the light goes on! Thanks!

Been brushing up on mania's.

http://stockcharts.com/def/servlet/SC.web?c=$COMPQ,uu[w,a]dcclyyay[d19990806,20000606][pc13!c50!c200!d20,2!a1177!a1363][vc60][iUe3,7,1!Lh14,3!La8,17,9!Lb7!Lc20!Lk14!Ll14!Le12,26,9]&pref=G

But I think this is a mini mania when it comes to gold both in time and price.

[Cicero]

For those interested in taking a flyer, Maund has a new column today on Vista Gold, with some interesting charts. It's at:

http://www.321gold.com/editorials/maund/maund010603_vista.html

Today, AEM and GG are off slightly, probably because they are better known stocks and the amateur gold bugs who bought them are getting nervous. The other stocks I'm watching are all still up a bit, even after last Friday's orgy.

Recently gold has often been weak on Tuesday and Wednesday and strong on Thursday and Friday (a good sign that people are confident enough to hold stocks over the weekend) so there may be a dip and a buying opportunity tomorrow.

[Semaphore Heathcliffe]

you mean mini-mania as in short duration, modest price increase?

[jwh_Denver]

Yes.

[jwh_Denver]

For those interested in taking a flyer

Good article and thanks for linking it.

Intesting battle going on for 354 with the major assault happening in the East and dropping in NY. The last time I tapped out my resources when I saw this buying in the East and even though the charts were all saying overbought I bought on Dec 19 and it has turned out to be a good buy.

From your posts I have gained respect for your thinking on gold the SM etc. Always appreciate what I perceive as an knowledgable investor.

[Cicero]

I bought gold shares back in the 1970s, but I was too stupid then to sell in time and held on a month or two too long. Still, it was a great ride. Gold has been dead ever since, with just a few occasional twitches.

But I think we're seeing it come alive now. I think. . . . Certainly the charts haven't looked like this for 20 years.

[imawit]

Just looking at the charts, there seems to be something about the $352-355 area going on. How did you come up with $354

[jwh_Denver]

Just looking at the long term chart of gold futures there was some gyrations around the 350 area back in early 97. But it looks to me as your favorite indicator, the god-awful upper trendline, will be a breakout point for gold. This figure of 354 has been mentioned by a number of those TA people.