August 25, 2013 | By Tekoa Da Silva
Due to the significance of the past few week’s market action, today’s Sunday note to blog subscribers is posted below…
Greetings and Good Sunday,
What started out as a quiet and sideways week in the metals and miners, finished off explosively!
Technical gold trader Gary Savage noted in weekend commentary that Friday’s explosive finish in gold confirms yet another trading cycle, which may assault the 200 day moving average at $1500 oz. within the next two weeks. He further added that as a result of the strength of this close, he also expects a 10%-15% move in the miners next week.
Doug Casey echoed similar bullish thoughts in an interview on Tuesday, and spoke to the two greatest speculations of his career–both of which were mining related and completely based on luck. He also noted that, “These mining stocks (the well-managed ones) are really about as cheap as they’ve been in history…So unless you think people are going to stop wanting or needing copper, nickel, uranium, gold, silver, and moly, you’ve got to buy these things now.”
Doug also spoke to the wealth-building technique that Vishal Vyas, a major bullion dealer in India, explained to be commonplace in the Indian culture today. In an interview posted on Friday, Vishal explained that Indian families, “Put 20% to 30% of their savings every month into gold,” even despite recent government actions which have driven the price to over $1800 an oz. in India.
As a word on gold and commodities from the institutional fund management community, Don Coxe, Chairman of Coxe Advisors LLP, noted on Friday that, “The trend has shifted…the CRB bottomed out in June and is up sharply since then…gold [also] bottomed out at that time…[So] commodities are demonstrating that there is new strength,” he added, along with a recent, “tremendous change in China’s imports.”
Due to this resurgence of pricing and consumption, Don concluded that investors should be, “increasing [their] exposure to the good commodity stocks.”
For a quick video recap of all this week’s action and more, here’s an updated YouTube commentary. It’s quick and easy to watch, simply click the link below:
YouTube Video>>A Historic Moment (and launchpad) For The Metals & Miners
Lastly, another explosive week was logged for the companies covered in the Da Silva ”Legendary Mine Builders” Index. As discussed in the YouTube video above, some of them exploded higher from sideways trading patterns on Friday.
It’s exciting to watch, but as also mentioned in the video–the party for great investors may be coming to an end in the next 3-6 months, as prices rocket higher. Our community will become swollen with new participants, each one pushing prices up further
I hope you can be ahead of those new players that come into the market.
With that said, as a special thank you for supporting my work, I’d like to offer you a copy of the Da Silva “Legendary Mine Builders” Index, at $50-OFF the regular price.
To get a copy of that report at $50-OFF, simply click HERE.
That’s all for now. Best in health, wealth, and happiness in the new week ahead!
Tekoa Da Silva
Bull Market Thinking