The Golden Bull is Ringing his Golden Bell
Sometimes the market gives you lemons just asking to be made into lemonade, the drop in gold today was telling us it is time set up a lemonade stand. In addition to gold getting smacked down, it took gold stocks down with it. They often say markets don’t ring a bell at the bottom, they do, usually very loudly. Problem is that most don’t listen.
The gold stocks were ringing the bell loudly today. Yes, they were off, but most of the ones on my radar screen were off on low volume. Pullbacks in a bull market can tell a lot about the strength of the bullish trend. The low volume pullback today was sending signals it is time to get greedy with gold and gold stocks, not fearful.
When the bell rings…listen
Since the gold bull market got underway early this year, I’ve put together an impressive group of picks, had a powerful roster of guests that talked about some exceptional picks well before they took off. In addition to my own picks and the ones uncovered on the show by guests, I’m also proud of the group of members that have joined my website sponsorship program.
This group of companies is the best shopping list you will be able to find in the mining business. I didn’t want to talk about specific picks in this report, instead, I would invite you to the main page of the website where you can find my picks and shows. I wanted to discuss seasonality and the opportunities it creates for investors like you.
Two of my favourite parts of the year for putting picks and shows out is the last couple weeks of December and August. This is holiday time, investors are thinking more about holiday activities, not finding stocks to buy.
When I was a kid and my friends would do something stupid and I would say that I did it because they did it, my mom would ask me every time if your friends jumped off a bridge, would you? Just because our investor friends are off on holidays and not buying bargains, doesn’t mean we should follow the same path.
Someone took a large short position on gold today of around $1.5 billion, very quickly, which drove gold down. Every time something like this happens, investors tend to overreact thinking this big position is smart money. Well, big money isn’t always smart money, and the fundamentals of supply and demand for gold and the trends in the prices are very bullish.
This position looks like nothing more than a big investor trying to push the market around during a time of the year when investors big and small are on holidays. I love it when these kinds of short trades come in because when shorts get squeezed they drive gold much higher.
We are getting close to the last quarter of the year which tends to be a bullish time for gold and considering the powerful start to the year. After a four-year bear market. Things are shaping up very nicely for a strong finish to the year for gold and top-quality gold stocks.
I’m working on an update report on all my picks, and a summary of the names covered on the shows by guests, as well as members of my website sponsorship program. But, I wanted to get the word out that it is time to get the gold stock shopping list out and get some of the bargains available due to the action in gold earlier today.
These low-volume pullbacks in a bull market tend to happen during certain seasons, we are in one right now. Yet, I would remind readers that the gold bull market is in great shape and getting ready for its end of the year strength.
Throw in some bargain hunting on top-quality gold stocks from my reports and my guest’s top picks with your sun tanning. Things are shaping up for it to pay off handsomely from here to the end of the year. Short term traders, you have a great shot for a quick pop over the next few weeks.
All the best,
Allan Barry Laboucan
P.S. my reports are for information purposes only, before making any investment decisions it is important to do your homework and speak with your financial advisers.
Website Sponsor Messages
My work is made possible through website sponsorship and consulting; I invite you to check out my sponsors.
Nevada Exploration (NGE.V)
Gold focused in Nevada, using a unique gold exploration method to unlock Nevada’s under-explored regions. Visit their website at www.nevadaexploration.com to do your homework.
Premier Gold Mines (PG.T)
Gold focused, with an enviable portfolio of projects from exploration to mining in Ontario, Nevada and Mexico. Visit their website at www.premiergoldmines.com to do your homework.
Sirios Resources (SOI.V)
Gold focused, drilling high-grade gold target at Cheechoo project in Quebec, located next door to Goldcorp’s Eleanore gold mine. Visit their website at www.sirios.com/en/ to do your homework.
Tarku Resources (TKU.V)
Grassroots gold exploration in Quebec, near a mine and road being built to open mining region near Quebec’s first diamond mine. Visit their website at www.tarkuresources.com to do your homework.
West Red Lake Gold Mines (CSE: RLG)
Gold focused, drilling high-grade gold, targeting the Hinge Zone in Red Lake, with Goldcorp as their partner. Visit their website at www.westredlakegold.com to do your homework.
Wolfden Resources (WLF.V)
Base metals focused, with a discovery of high-grade nickel-copper near Snow Lake, Manitoba. Visit their website at www.wolfdenresources.com to do your homework.