Gold & Silver Mining Stocks

XAU is UP 100%

2008-12-25T15:14:00.000-05:00

Since the October bottom the xau index is up 100% . Yes the market had been super volatile in recent months and the xau was down sharply to erase almost all of the first major bull wave gains. But still, it is amazing how quickly the gold and silver index recovered.

In my opinion this is a great bullish sign for precious metals and other commodities. While there is so much talk about deflationary spiral this tiny sector leads the way of recovery and show the market the great upside potential.

XAU Update

2008-12-07T21:38:00.002-05:00

In the last several weeks the xau index consolidated around the lows and the technical situation is looking a bit better.

Support is around recent lows , resistance at around 140 then 180.

XAU Update

2008-10-26T14:20:00.003-04:00

The XAU index lost most of it's bull market gains. During the last 8 years ( late 2000 to mid 2008) the xau climbed from a low of 41 to a high of 209 (~400%). Recently a major sharp and volatile decline took this index back to 63.5 (~70%). This is the worst decline since the 2000 bottom.

Whats next?

It is a fact that most of the bull market gains are gone , the XAU crashed through almost all the support levels and not much is left other then the late 2000 bottom (~41). In my opinion the first phase of the gold bull market is over , currently a bear market phase is underway. Its is possible that the bear phase might soon be over and a new multi year bull market advance should soon be underway.

Be patient!

XAU chart update

2008-09-03T00:07:00.006-04:00

The chart took a major hit along the metals. The gold and silver mining sector is down more then 30%.
Important cyclical low at 120. If metals goes higher the xau goes higher as well. It might be a good idea to be patient and wait for major bullish signals / setups.

XAU Chart

2008-07-19T06:53:00.001-04:00

The XAU gold and silver index reached a high of 206 points which is just 3 points below the March high.

There is an inverted head and shoulders bullish pattern , the head at ~163 points and the neckline at 195 points which gives a target of 227.

XAU Chart Update

2008-07-06T19:19:00.001-04:00

The XAU Index almost reached 200 points or just 10 points lower then its March high. An aggressive profit taking followed but the chart structure looks healthy. Recent highs and lows are marked on the chart bellow. MA's , PPO and RSI are positive.

Positive XAU action

2008-06-30T17:50:00.002-04:00

The gold and silver xau index has managed to surpass both April and May peaks(equals to August gold at 940$ and 960$). XAU is not far from it's March peak. Important cyclical bottoms 162 @ March and 172 @ June. As the gold bull market continue It is reasonable to assume that higher highs should follow.

XAU Chart Analysis

2008-06-22T13:25:00.006-04:00

The Philadelphia gold and silver index is still consolidating within a 50 points range (160 - 210). The 200 and 50 daily moving averages closing on each other, both downtrend and uptrend lines still valid.

Important cyclical lows : August 2007 , December 2007 and May 2008.

Important cyclical highs: March 2008, May 2008.

XAU index logarithmic daily chart

Micro Cap : USCorp(USCS)

2008-06-08T15:08:00.006-04:00

In recent years as the the price of gold, silver and other metals climbed significantly higher- many gold and silver stocks went up 100's of percents. However, gains were mostly concentrated within the most liquid stocks -like those which are included in mining indexes and ETF's (XAU, HUI, GOX, GDX, XGD...)

At the current stage of the gold global bull market - the better value should be in the smaller stocks , those who do not yet “produce gold” but do hold economical mining properties ( normally called, exploration , development stage and junior stocks). One such company might be USCorp (USCS).

USCorp is an exploration stage company which owns two interesting US properties :
Twin Peaks Mine (Arizona) and Picacho Salton (California). See the Feasibility Studies here

In a recent business wire press release the company reported mineral resource estimation of over 2.2 million ounces of gold .See the press release here

The class A common stock trades on the Over The Counter Bulletin Board(OTCBB) symbol: USCS.OB and on the Berlin Stock Exchange Symbol: UCP.BER

The class B common stock trades on the Frankfurt Stock Exchange Symbol: U9C.F

USCS weekly chart

USCS monthly chart (all time data)

Disclosure: Author owns USCS shares

XAU and XAU/Gold update

2008-05-18T13:38:00.005-04:00

Dear readers ,

what can I say? , the price action of the XAU index and gold miners in general is similar to that of gold. Lately the XAU is trying to out perform gold as can be seen by the xau/gold ratio chart.

Gold mining stocks index (XAU) analysis

2008-03-23T16:36:00.002-04:00

Since the mid august 2007 bottom the gold mining indexes appreciated along the price of gold . Generally uptrend was divided into two phases :

From mid August to mid October the XAU (the heavy options volume index) outperformed gold – probably due to positive trend (at that time) for the general equity markets.

From mid October 2007 till mid March 2008 the XAUunder performed the price of gold. - probably due to bearish trend for the general equity markets.

Note that currently the XAU/GOLD ratio is lower(on an end of the day basis) then it was at the August 2006 bottom !

Cyclically Important technical points:

the low of 167.

the low of 157.

Note:

Since the late 2000 bottom this index (along other mining indexes) is up several 100's percents.

XGD.TO

2007-10-01T00:18:00.000-04:00

Dear readers,

XGD had a very nice rally similar to other gold related instruments.

From an Elliott wave point of view, it might be the case that a five wave advance is completed and some consolidation is required (not lower then August bottom)

XGD

2007-08-28T13:05:00.000-04:00

XGD.TO the Canadian gold stocks ETF (S&P TSE Canadian Gold iUnits) currently give a clearer picture for gold stocks. XGD is priced in Canadian Dollars and it seems as it recently completed an ABC correction. XGD retraced about 61.8% of the 2005 – 2006 advance.

XAU Index Update

2007-08-22T06:41:00.000-04:00

Wild swings, ~30 points rally then a serious decline of ~40 points, currently recovering.

Partial Profit Taking

2007-07-24T14:43:00.000-04:00

Gold & Silver stocks / indices had a huge rally as expected, currently extremely overbought on a daily chart. Take some profits and gradually enter after some kind of correction. Most likely in a week or two the overbought condition will work itself out.

XAU Weekly Chart

2007-07-13T13:54:00.000-04:00

Our most reliable index for Elliott wave counts still remains the Philadelphia Gold and Silver index. Currently wave 3 of 3 of 3 is underway, this is a rare bullish situation. Extended bullish move is expected, be careful of extra volatility. The count remains valid as long as the XAU remains above 130.83.

$HUI:$GOLD Buy Signal

2007-07-06T04:18:00.000-04:00

In case you haven't noticed HUI / Gold ratio just gave a buy signal.

HUI Update

2007-06-23T12:45:00.000-04:00

Yet another Breakout attempt, the HUI managed to climb above short term diagonal trend line resistance. A retest of the broken trend lined and 200 DMA followed.

Support around recent cycle low 317.70 further support at previous cycle low 311.78.

Technical indicators: RSI slightly above 50, PPO had a bullish crossover and seems to be trending higher.

It is likely that if the HUI can trade above 344.07 it will aim to 369.69 and further.

The bigger picture: the HUI, Gold, Silver, Etc. - All consolidated for a long period of time so giving a chance to the small technical improvement might be a wise thing to do.

Some index components enjoy a relatively high level of short interest ratio.

ShortSqueeze.com data : Eldorado Gold (EGO), Randgold Resources(GOLD) ,Coeur dAlene Mines(CDE), Hecla Mining Company (HL) ,Golden Star Resources(GSS), IAMGOLD(IAG).

Check them out (fundamentals ,TA. Etc) – they might be a good play.

Bullish on the sector again

2007-05-31T05:06:00.000-04:00

I have no time to post the charts. To put it simply I like what I see on HUI, XAU, GOX , GDX , Etc.

See this gold chart

Video : Gold Strategies

2007-05-19T22:49:00.000-04:00

Mining stocks expert John Embry discuss gold stocks investment strategies with Victor Adair at HoweStreet.com.

His views might explain the recent underperformance of gold indices despite relatively high gold prices.

XAU Chart

2007-05-07T08:45:00.000-04:00

Given recent strength in gold prices the performance of the Philadelphia gold and silver stocks index is not that impressive. Other gold & silver mining indices haven't done much better.

The XAU: GOLD ratio continue to consolidate around recent lows.

Lets see what come next.

Chart annotated with short term Fibonacci levels and uptrend line ( short term support).

About

2007-05-03T14:51:00.000-04:00

In this web log I post an occasional analysis of the technical condition of gold and silver stocks as reflected by Indices like XAU, HUI and sometimes also GDX, XGD and GOX. As of late I do not pay attention to specific stocks as it is not relevant for me as I don't trade them currently.

What do I trade?

I trade commodities and currencies as they are more suitable for my trading style.

Gold is both currency and commodity; you can look at it as monetary metal or a commodity (hard) currency.

It is very important for me to track the gold & silver miners so this web log helps with that mission.

How you can use this blog?

You can read my (over 100) posts for free and that might help you to study about technical analysis in general and specifically for the gold & silver sector.

Get my occasional market sentiment and confirm with yours!

Some posts include special reports, news pieces or videos which I think are worth sharing.

In addition I post in two other Web log commodities charts and Gold global perspective.

Video : Juniors , Mining Industry

2007-04-28T01:32:00.000-04:00

Videos- Investing in Mining Industry, Gold, Silver, Uranium, Copper , Junior companies. Panel of mining industry experts.

Part one

Investing in Mining & Commodities for the Long Term Investor, St Andrew Goldfield, Ora Silvia.

Part 2

Investing in Mining & Commodities for the Long Term Investor, Yorbeau, starfire, valgold, sandvick.

Few notes on XAU & HUI

2007-04-23T23:07:00.000-04:00

Currently Gold and Silver stocks indices seem to consolidate the March – April gains. Overall the picture is positive as higher high was printed for XAU & HUI.

XAU continue to lead in terms of options volume and open positions.

HUI leads in terms of price (less hedged). RSI is higher.

Volume is important and the XAU will dictate the Elliott wave count. XAU tends to print lower lows (wave c vs. wave a) while HUI is confused with truncated correction waves.

XAU / Gold & HUI / Gold Ratios – still underperforming, triangle formation – no breakout yet.

Patience is indeed required as S.M Himes posted.

It is possible that indices and gold both forming an Egg pattern. I will post more about the Egg pattern on the Gold Global Perspective section.

Update

2007-04-10T06:56:00.000-04:00

Seems like the HUI might start some kind of correction to its 50 daily moving average area.

By options expiration I think the XAU will be somewhere between 137.50 & 140. Off course all is dependent on what will happen with the metals, USD, Crude Oil etc.

Quick HUI Update

2007-03-28T21:49:00.000-04:00

Reasons for modest bullish bias:

1) Slightly higher high and higher lows

2) Consolidation around the 200 & 50 Daily moving averages.

3) PPO bullish crossover and RSI above 50.

See the latest gold chart

$HUI Charts Update

2007-03-17T05:33:00.000-04:00

Recently the HUI is zigzagging around the 50 and 200 moving averages, not much conviction and the trading opportunity is intraday if any. Note the RSI slight positive divergence, PPO trying to improve from negative territory.

On the longer time frame similar action trading range of 275 – 400 . Natural PPO and RSI.

All in all still no clear sign of direction as far as I'm concerned. Be sure to check my XAU / XAG updates.

Mixed Bag

2007-03-13T20:14:00.000-04:00

Well, I'm certainly not a general equity bull and hence not surprised of the recent (ongoing?) global equity market drop. I did also forecast a certain amount of weakness for metals, commodities and precious metals shares. So anyone following my posting got several warnings.

However when I examine the gold, silver, precious metals stocks and various ratio charts the picture is mixed.

Some bearish signs: major miners (which are heavily weighted into gold mining indices) Barrick Gold (ABX), Newmont Mining (NEM), Goldcorp (GG) are making new lows for 2007 and the charts look like they can slide lower. XGD the Canadian gold miners ETF, $XAU – both closed at a new low for 2007

Some bullish signs: The gold & silver charts do not look that bad (yet), the HUI continue to outperform the heavy hedged XAU. Some juniors are outperforming as Stacy M. Himes Posted.

I favor holding good long term gold, silver and precious metals shares positions, be in a wait and see position, do not capitulate! , do not seat and wait like a duck for your stops to be taken, don't be shy to take partial profits, If you can't stand the volatility then decrease your positions.

Good Luck

Gold Indices Review

2007-02-25T16:53:00.000-05:00

Despite of recent spike in the price of gold and silver, gold indices continue to under perform.

Of all four gold indices I'm tracking (XAU, HUI, GDX(GDM), GOX) the XAU is senior both in terms of option trading volume and chart history.

Short term trend line support around 137, recent short term cyclical low at 129.

the PHLX gold and silver index is calculated since early 1979 ( =100)

GDX(Market Vectors Gold Miner) is the only gold miners ETF trading at the US, tracks the GDM (AMEX Gold Miners Index). Last Friday the GDX managed to trade above its January top but closed under. Short term trend line support around 40.25, recent short term cyclical low at 36.19.

GOX (CBOE Gold Index) , Chicago is a major center for gold, silver and other futures trading. Short term trend line support around 148, recent short term cyclical low at 133.45.

HUI(AMEX Gold Bugs Index) is favored for the reason its components are relatively unhedged. Short term trend line support around 331, recent short term cyclical low at 306.

Note that the HUI is already up several hundreds percents since the bear market bottom.

Generally, currently I do not favor initiating any new gold/ silver / PM's positions. On the other hand - I think that a pullback might find support at short term uptrend lines with but holding above recent cyclical low is much more important for the long term bullish picture.

HUI and GDX charts update

2007-02-09T07:45:00.000-05:00

The two charts looks almost identical, the price is above the 50 MA, The 50 MA is above the 200 MA, and RSI trending up above 50, PPO lines are above zero.
However, while gold recently climbed above its December top gold indices and silver did not. The HUI Gold ratio is trapped inside a contracting triangle formation. Overall the charts look bullish but the non confirmation implies caution.

$HUI Fibonacci Charts

2007-01-11T01:00:00.001-05:00

The $HUI like other mining indices is currently retracing the October to December 2006 advance (wave i of 3) Similar to this spot gold wave analysis It is more likely then not that the $HUI will not go below the October 2006 low (labeled 2). – This is my opinion. One should be both cautious and have patience. Interested about waves analysis? – see this tutorial (need short registration)

HUI Breakout

2006-12-06T01:57:00.000-05:00

The gold bugs index managed to close above diagonal resistance few days in a row.

MACD bullish crossover and RSI is trending up. Expect higher highs.

Gold Bug Index (HUI) Charts

2006-11-21T04:53:00.000-05:00

The HUI is currently priced between its 50 and 200 daily moving averages.

Daily and weekly chart below are self explaining. Close above 350 will indicate that the HUI is headed to new highs; a break below 290 will signal that more consolidation is needed. Technical indicators on the weekly chart are natural.

Gold mining in China

2006-11-14T09:02:00.000-05:00

Interesting review of China gold mining industry including foreign exploration companies active in China. Goldletter International - China will emerge to the world’s largest gold producer ?

Silver Standard Resources (SSRI)

2006-10-31T19:50:00.000-05:00

SSRI is definitely a silver stock for your watch list. From a technical point of view SSRI performance was no less then impressive given the long consolidation of silver.

Few days ago I posted about Kinross Gold; Technically SSRI is in the same situation like KGC which makes them both worth watching.

Gold Miners ETF

2006-10-29T01:37:00.000-05:00

The GDX closed the week two cents above the 50 weekly moving average. RSI is a bit below 50, PPO indicator seems to be ready to turn back up , stochastic is crawling upward from oversold condition. Key resistance at diagonal line (purple line) could be challenged quite soon.

Kinross Gold

2006-10-22T18:44:00.000-04:00

Interesting that for some reason Kinross Gold is quite strong compared to gold, silver, mining indices and most other gold and silver miners.

Note that KGC made higher highs and higher lows while mining indices made lower highs and higher lows.

Newmont mining

2006-10-09T08:15:00.000-04:00

NEM is around the 200 weekly moving average and investors / traders might want to pay attention to this stock.

HUI / GOLD Ratio.

2006-10-04T00:45:00.000-04:00

The HUI chart might look kind of ugly after the latest dump but technically nothing of great significance had happened. The HUI like most other gold and silver stocks indices did not go below the June lows.

Closely examining the Hui/gold ratio, notice the wave count and the implication of the wave count if true – a strong rally which should follow once the washout is over and the ABC (wave 2) correction is over. So, yes believe it or not I'm thinking a strong and sustained gold rally is just around the corner. There are many good fundamental reasons for that and the technicals are slowly creating the perfect opportunity for long trades on many time frames.

Going forward gold / silver and PM's Investors and traders should pay attention to the following market information:

1) The spot and future price of gold and silver.

2) Mining indices : HUI , XAU , GDX, GOX.

3) The price of other precious metals (palladium, platinum. etc.)

4) The price of industrial metals.

5) The price of oil and the energy complex.

6) Interest rates and currencies.

7) General commodities markets

Denver Gold Forum Webcast

2006-10-02T21:13:00.000-04:00

Canyon Resources, Silver Standard, Dundee Precious Metals, Metallica, Nevsun, Royal Gold, U.S. Gold, Eldorado, NovaGold, Gammon, Miramar, Crystallex, Cumberland Resources, Robert McEwen, Silver Wheaton Corp., Newmont Mining and more…

Denver Gold Forum (September 25 - 27, 2006)Webcast Link

Enjoy :)

GDX – goldminers ETF Charts

2006-09-24T15:20:00.000-04:00

GDX is currently the most diversified golminers trading instrument.

Technically the GDX is trapped between the May high (46.59$) and the June low (31.82$). I annotated the charts with Fibonacci support/ resistance levels and Elliott wave count. If the wave count is correct then the GDX will soon head back up and the last low (labeled B) should probably hold.

The PPO indicator on the daily chart is sowing signs of turning back up. On the Weekly chart the PPO is still above zero.

Gold Indices - XAU , HUI - Fibonacci update

2006-09-16T11:50:00.000-04:00

A) XAU continue to under perform the HUI.

B) Important price levels:

i) June lows.

ii)Fibonacci 50% and 61.8$ retracemnt lines.

XAU index Fibonacci chart

2006-08-29T08:06:00.000-04:00

Most markets (including gold, silver and mining stocks) have been range bound lately. Situations like this often resolve in powerful breakout one way or another…

Be prepared!

VGZ, MNG - Charts

2006-08-22T06:53:00.000-04:00

Technically, I like both VGZ and MNG .

Miramar Mining Corporation (AMEX: MNG),(TSE: MAE)

RSI trending up above 50, PPO trending up , PPO histogram positive. Trend line support at 3.30$ and rising, 50 DMA = pivot.. Triangle formation, resistance at 4.3$ expect a strong rally to 5.70$. and above if the stock can close above 4.30$ on decent volume.

Vista Gold Corp. - VGZ (AMEX / TSX)

RSI trending up above 50, PPO trending up , PPO histogram natural. Trend line support at 9.50$ and rising, 50 DMA trending up, made a new long term high few days ago. Rising wedge formation – seems to break to the upside. – can quickly go to 15$ if the price of gold permits.

HUI – Update

2006-08-16T05:40:00.000-04:00

Not much change since the last HUI update. For gold exposure go for GLD, for gold stocks GDX / XGD. If you trade individual miners stocks - be sure to know what you are doing since individual companies are much riskier then gold or silver. I'm currently not in the business of promoting stocks and I do not recommend any of the stocks mentioned.

The daily chart is looking ok, RSI a bit below 50, PPO natural, triangle pattern. Support at 50 DMA and Fibonacci lines below current price. Resistance at Fibonacci lines above the current price.

The weekly chart is looking good. RSI above 50, PPO natural.

GDX – Gold Miners ETF

2006-08-03T08:00:00.000-04:00

The GDX along the XGD is excellent trading / investment tool which enable both positive and negative diversified exposure to the gold mining industry.

Technically, breakout above the diagonal pink resistance line (currently support), slight resistance at the 61.8% Fibonacci line. Inverted head and shoulders pattern with price target of 50$. For practical objectives the same analysis is good for other gold miners indices.

Technical indicators: RSI trending up above 50, PPO bullish crossover, positive PPO histogram.

Support : Fibonacci lines below the current price , pink and green trend lines.

Resistance: 61.8% Fibonacci line, 43$ and the May high.

HUI – Gold Bugs Index Technical Update

2006-07-29T10:01:00.000-04:00

The HUI is a good proxy for the gold miners. Usually the HUI is outperforming the rest of the gold miners Indices ( XAU, GDM , GOX). Miners which are components of this index tend to have little gold hedge or none, thus providing investors with the full opportunity to enjoy this roaring global gold bull market.

Technically, as noted at my last update, the HUI completed ABC correction wave (wave II – 3), followed by minor up wave ( i- III) and then a minor wave down ( ii – III). Currently The HUI is at the beginning of wave (iii – III) which is part of a larger degree third wave up – This is a triple three wave up and as such it encapsulate a potential for extremely large gains on the upside. This is the time you want to be fully long all good quality things gold and don’t be quick to take profit.

Below is HUI daily chart annotated with 2 sets of Fibonacci retracement lines, pink set from top ( I – 3) to bottom (c- II) and purple set from bottom ( c- II) to minor top (i – III) the HUI is just above the 38.2% on both sets and the 50 DMA – this should provide good support. RSI above 50 , MACD flat above zero.

I repeat, this is the time to be fully long on gold and all of your favorite gold stocks as the potential for massive gains is extremely high in my opinion.

GGP - Gold Market Update

2006-07-25T09:52:00.000-04:00

Gold Global Perspective : Gold Market Update ++

HUI, GDX Technical Update

2006-07-19T04:16:00.000-04:00

Same analysis for both charts, following the completion of A-B-C correction (wave 2) both the HUI and the Goldminer ETF (GDX) have just completed minor wave up (i) , minor wave (ii) is underway and should be terminated at one of the Fibonacci lines below current price. RSI trending down below 50 , PPO natural. Support at Fib lines and 200 DMA. Once the minor correction wave (ii) is over, expect a minor yet extended wave (iii) which will probably take both GDX and HUI higher to retest the all time highs. Remember - all is subject to the price of gold (POG) - see my latest gold price analysis.

AngloGold Ashanti (NYSE:AU)

2006-07-16T18:13:00.000-04:00

A.G asked for a review of AngloGold Ashanti (NYSE:AU)

Anglogold is a giant mining company with worldwide operations. The stock is listed on several exchanges including New York, Johannesburg, Ghanaian, London and Australian stock exchanges, as well as the Paris and Brussels bourses.

Weekly Chart

Top labeled (1) at Q4 2003 followed by a year and a half A-B-C correction (wave 2 down) and a touch at the 200 weekly moving average (WMA). Anglo is currently in wave (3) up. The stock topped well before the gold indices, lost about 76.4% of the (i – 3) minor up wave progress and bounced from the 200 WMA.

Indicators – RSI stagnant just below 50, PPO still bearish below zero.

Support –Fibonacci lines below the current price.

Resistance – at Fibonacci lines above the current price and the Q1-2006 top.

Daily chart

Rallied strongly lately from extreme oversold condition, 50 / 200 bearish DMA crossover.

Indicators – RSI trending down but still above 50, PPO above zero but seems to turn back down.

Support –Fibonacci lines below the current price.

Resistance – at Fibonacci lines above the current price and the and the pink downtrend line.

Ivanhoe Mines IVN

2006-07-12T04:21:00.000-04:00

Ivanhoe Mines is a Canadian mining - exploration company with operations focused in the Asia Pacific region. Ivanhoe's core assets are its Oyu Tolgoi Project and the Nariin Sukhait Coal Project in southern Mongolia. Other operations include copper and gold exploration and projects in Mongolia , Myanmar, Kazakhstan and Australia.

See : www.ivanhoe-mines.com for more details.

Respectable fellow blogger Bill Cara mentioned IVN several times.

Ivanhoe Mines is trading at the Toronto stock exchange(TSE: IVN) and the New York Stock Exchange (NYSE: IVN)

Long term monthly chart

The stock was trading as high as 19$ (CAD)at Q1 1997 and as Low as 0.55$ at Q4 2000. 2003 was the best year for IVN investors – the stock had spectacular rally and topped at 15.30$. Since then the price performance was poor to say the least, while Copper and Gold are up sharply.

Weekly chart

The chart pattern is disordered indicating high risk, from pure technical perspective It belongs to the group of DROOY and KRY.

Price action – from 4.85$ to 12$ then it crashed through the 50 weeks moving average with a huge gap - and bottomed just 3 cents below the 76.4% Fibonacci level..

Indicators- RSI trending down below 50, PPO bearish crossover.

Support – the green trend line and the 76.4% Fib(6.54$). Resistance – the 200 WMA , the Fibs especially the 50% Fib area.

Short term daily chart

Again, huge gap > 1$ through the 200 DMA, relatively mild bounce to the 23.6% Fib line .

Indicators – RSI trending down below 50, PPO bullish crossover but still below zero, PPO histogram positive. Heavy resistance at Fib lines and 50 MA, breaking above the pink downtrend resistance will be bullish and might ignite a rally.

Would you like to suggest a mining / exploration stock for review? - email

HUI (AMEX Gold Bug Index) – Update

2006-07-06T08:11:00.000-04:00

The HUI bottomed at 270.54 after a typical ABC correction then rallied to the 61.8% FIB, currently still above the 50 daily moving average, RSI trending up above 50, PPO bullish crossover, PPO histogram positive, ADX bullish crossover.
Given the quick recovery and some resistance at the 61.8% FIB we might see a bit of a consolidation at current level with good support at green uptrend line, 50 DMA, 200 DMA and the 38.2% FIB line. The HUI will be affected from both the price of gold and the general stock market. Use any weakness to accumulate your favorites gold and silver stocks.

Vista Gold Corp.- VGZ (AMEX / TSX)

2006-07-05T07:15:00.000-04:00

bubble_watcher mentioned Vista Gold few days ago:

Vista Gold Corp.- VGZ (AMEX / TSX) - based in Littleton, Colorado, evaluates and acquires gold projects with defined gold resources. Additional exploration and technical studies are undertaken to maximize the value of the projects for eventual development. The Corporation's holdings include the Maverick Springs, Mountain View, Hasbrouck, Three Hills, Wildcat projects, the F.W. Lewis, Inc. properties and the Hycroft mine, all in Nevada, the Long Valley project in California, the Yellow Pine project in Idaho, the Paredones Amarillos and Guadalupe de Los Reyes projects in Mexico, the Amayapampa project in Bolivia, the Awak Mas project in Indonesia and the Mt. Todd project in Australia.

http://www.vistagold.com

From the long term quarterly chart we can learn that Vista Gold was once 300$ stock (discounting 20:1 reverse split).

The 3 years weekly chart shows an Impressive rally (2.76$ - 9.99$) then a pullback to the 38.2% Fib line. RSI trending up , PPO trending up and PPO histogram still positive. The pullback did not damaged the bullish indicators.

Short term daily chart – A-B-C correction (9.99$ - 6.99$), (C>A), break up above the 50 DMA and the orange downtrend resistance. Currently trading above all relevant fib lines. RSI looking good and trending up, PPO trending up above zero, PPO histogram positive, ADX bullish. Not much resistance other then the 9.99$ high

NEM, FCX, CDE - Chart Reviews

2006-06-30T08:23:00.000-04:00

Newmont Mining Corporation , NYSE : NEM

NEM - Typical A-B-C correction wave (59.59$ - 47.34$), went below the 200 DMA. Yesterday managed to break above the pink downtrend line, close above the 200 DMA and the 61,8% Fibonacci line. RSI trending up above 50, PPO positive crossover, PPO histogram positive, ADX bullish crossover. Nice candle on relatively high volume. Support at the 200 DMA, between 50$ to 51$ and at green support line. Resistance at the 50 DMA and Fibonacci appropriate levels.

Freeport-McMoRan Copper & Gold Inc , NYSE : FCX

FCX – Topped early at mid April , had A-B-C-D-E correction wave(71.06$ - 43.10$), went below the 200 DMA then bounced sharply to close above the pink downtrend line. Currently above the first Fibonacci line just under the 50 DMA. Resistance at 50 DMA and Fibonacci levels. Support at the 200 DMA , Fibonnaci 38.2% level and green uptrend line. Big up day on good volume, RSI looking strong trending up above 50. PPO bullish crossover , PPO Histogram positive, ADX bullish crossover.

Coeur d'Alene Mines Corporation , NYSE : CDE

CDE- A-B-C-D-E correction wave (7.37$ - 3.93$), currently still below the 200 DMA. Break up above orange downtrend line. Support at green uptrend line, Resistance at the 200 DMA. RSI trending up but still below 50, PPO positive crossover, PPO histogram positive, ADX Improving.

DROOY, KRY

2006-06-29T07:30:00.000-04:00

J.R requested my opinion on two stocks:

DRDGOLD Limited, (NASDAQ:DROOY) and Crystallex International Corp. (AMEX; TSE: KRY)

DROOY – the stock have been underperforming gold and gold indices for quiet some time, it crashed to as low as 0.30$ then rallied to 2.02$. I recognize a potential head and shoulders pattern with a price target of about 0.40$. Currently trading below the 50 WMA (weekly moving average), RSI trending down below 50, PPO Bearish crossover, PPO histogram negative. Watch out if the support line (green) fails to hold.

KRY- In less then a year the stock rallied from 1.01$ to as high as 6.25$ only to crash back to 2$. Currently trading below the 50 WMA, RSI trending down below 50, PPO bearish crossover, PPO histogram negative. If it goes under the 200 WMA then the green support line probably get tested.

Over all both charts are highly disordered reflecting extremely high risks!

See also : Special risks when investing in a mining company

If you want to suggest gold, silver or metal stocks for review - let me know

BGO, MNG, MGN Charts Review

2006-06-28T08:14:00.000-04:00

Bema Gold Corporation – (TSE / AMEX: BGO), AIM: BAU

Bema – had the typical PMS A-B-C correction (6.33$ - 4.08$ ), break up above the downtrend line (orange). New uptrend = green line, RSI and Stochastic trading up. PPO crossover but still below zero, PPO histogram positive. Volume dried up.

The BGO label at the bottom of the post will take you to
previous related BGO posts.

Miramar Mining Corporation (AMEX: MNG),(TSE: MAE)

Miramar – A-B-C-D-E correction (4.48$ - 2.84$), (note: E > C). Symmetrical triangle pattern between the orange line - resistance and green –support. RSI a bit above 50 with slight uptrend since mid May. PPO crossover and trending up above zero. Stochastic at overbought territory with possible bearish crossover.

Mines Management, Inc. (AMEX: MGN)

MGN - A-B-C-D-E correction (10.10$ - 6.07$). Break up above downtrend line(orange) stopped just under 200 DMA. Volume collapsed to extremely low level. RSI still below 50, PPO crossover, PPO histogram positive, stochastic trending up.

MDG, ABX, PAAS, AEM - Chart Analysis

2006-06-27T05:03:00.000-04:00

MDG(NYSE), Meridian Gold Inc. MNG(TSE)

A-B-C correction (38.31 $ –25.86$), break up above downtrend resistance (orange line). Uptrend (green line), RSI above 50, PPO crossover, PPO histogram positive, ADX improving (almost positive).

ABX (NYSE), Barrick Gold Corp. ABX(TSE)

A-B-C correction (35.90$ – 26.70$), break up above downtrend resistance (orange line).Uptrend (green lines), RSI improving, PPO minor crossover, PPO histogram slightly positive, ADX natural.

PAAS (NASDAQ), Pan American Silver Corp. PAA(TSE)

PAAS lost synchronization with other PMs for some reason. PAAS topped earlier (March), A-B-C-D-E correction vs. A-B-C (27.28$ – 15.49$),at downtrend resistance (pink line). Slight uptrend (green line) , RSI improving , PPO crossover , PPO histogram positive , ADX natural.

AEM (NYSE), Agnico-Eagle Mines Ltd. AEM(TSE)

A-B-C correction (41.70 $ – 25.49$), break up above downtrend resistance (orange line).Uptrend (green line), RSI above 50, PPO crossover, PPO histogram positive, ADX improving.

Free Elliot Wave Tutorial (For EWI club members).

GG, SLW, AUY, TRE - Chart Analysis

2006-06-25T10:29:00.000-04:00

GG(NYSE)- Goldcorp Inc. G(TSE)

A-B-C correction (41.02$ – 24.06$), bounced from the 200 DMA (daily moving average), break up above downtrend resistance (orange line). Slight uptrend (green line) , RSI improving , PPO crossover , PPO histogram positive , ADX natural.

SLW(NYSE)- Silver Wheaton Corporation, SLW(TSE)

A-B-C correction (11.75 – 6.80), bounced from the 200 DMA, break up above downtrend resistance (pink line). Uptrend (green line), RSI improving above 50, PPO crossover, PPO histogram positive, ADX improving.

AUY(AMEX)- Yamana Gold Inc. YRI(TSE)

A-B-C correction (12.42 - 7.79), break up above downtrend resistance (green line). Uptrend (green line), RSI improving above 50, PPO crossover, PPO histogram positive, ADX improving.

TRE(AMEX)- Tanzanian Royalty Exploration, TNX(TSE)

A-B-C correction (9.10 – 6.09), closed above the( b) high & 61.8% Fibonacci level, at downtrend resistance (orange line). RSI above 50, PPO crossover, PPO histogram positive, ADX positive.

Gold Fields (GFI), Harmony Gold Mining (HMY)

2006-06-23T05:51:00.000-04:00

It might be worth to look at South African miners like HMY & GFI which seems to lead right now probably due to Rand weakness.

Technically both charts of Harmony and Gold fields are showing a couple of bullish signs: Closed above the down trend resistance and 38.2% Fibonacci level on fine volume, RSI trending up above 50 ,PPO crossover & Improving ADX.

HUI – Buy Signals

2006-06-22T01:42:00.000-04:00

HUI – the AMEX Gold Bugs Index is a basket of relatively unhedged gold miners. Gold Indices like the HUI tend to lead the price of gold. Technically I observe three buy signals on the short term daily chart:

1) Diagonal downtrend line (previous resistance) is broken to the upside.
2) RSI downtrend line is broken.
3) PPO Histogram showing positive divergence.

So, unless the A-B-C correction develops into A to E correction (unlikely) it is reasonable to assume that the HUI is headed higher. The May top (401.69) will get tested and Higher high is certainly a possibility.

The technical situation of other gold indices (XAU, GOX & GDM) is similar. Investors and traders can get exposure to gold mining equity with the GDX ETF.

Browse Gold and Silver Mining Stocks blog Archive. See gold and silver charts and commentary. Visit commodities blog.

Gold Stocks ETF GDX & XGD

2006-06-21T07:44:00.000-04:00

GDX is the Market Vectors Gold Miners ETF which tracks the GDM – AMEX Gold Miners Index. XGD is the iShares Canadian Gold Sector ETF which tracks the S&P/TSX Gold Index. Both ETFs allows investors and traders to gain diversified gold mining equity exposure. The main differences are: The XGD trades on the Canadian Toronto stock exchange and is priced with Canadian dollar while the GDX trades on the American stock exchange – AMEX and priced with US Dollar.

Long term (weekly chart) the XGD retraced about 61.8% of its recent up leg (wave 1) and bounced of the 2003 high. The GDX retraced about 50% of its recent up leg (wave 1) and bounced from the 50 weekly moving average zone.

Short term both GDX and XGD had a A – B –C correction (wave 2) , resistance at the diagonal line – I expect a strong rally once the trend line is broken.

For free (needs short registration) Elliott wave tutorial see EWI.

Gold vs. Gold Stocks, GOLD/XAU Ratio

2006-06-18T23:33:00.000-04:00

Gold Stocks as a group or an index tend to be more volatile then gold. When gold is going up gold stocks tend to go up faster, when gold is correcting downwards , gold stocks get hit harder. Overall Gold & gold indices are well correlated. This can be easily seen on the first chart below which presents the last 3 year performance of Gold, The Philadelphia Gold & Silver Index (XAU) and the ratio between them. When the Gold / XAU is trending down both Gold & the XAU Index are trending up and visa versa.

The usefulness in charting the GOLD/XAU ratio is dual – the ratio can sometimes give an early sign and confirmation of bottom or top for the Gold market complex. Looking at the second chart below (Seven month $GOLD:$XAU daily candle chart) you can see a relatively clear double top pattern which implies that the gold market have bottomed.

Please note: The GOLD/XAU Indicator have served me in the past but I do expect it to stop working sometimes in the future - Gold and Silver will outperform the stocks at some point. Remember that gold stocks are highly dependent on the price of gold while the opposite is not true.

I choose the Philadelphia Gold & Silver Index (XAU) for the reason it is the most popular - traded gold stocks index. The same conclusions are generally true for other gold indices like the GDM (GDX ETF) – AMEX Gold Miners Index, the HUI – AMEX Gold Bugs Index and the GOX – CBOE Gold Index.

By the way and In case you wanted to know my favorite gold stock is the GLD.

SILVER WHEATON (SLW) & Royal Gold (RGLD)

2006-06-12T09:14:00.000-04:00

The sharp and quick gold & metals correction is coming to an end. The precious metals stocks complex was hit hard the last couple of weeks and probably good buying opportunities are all around.

Royal Gold and Silver Wheaton are stocks that usually tend to recover quickly, I suggest to follow them closely for a potential nice bounce.

Royal Gold (RGLD) is close or already completed ABC correction after 5 waves up, the price is close to 2 years up trend line.

Silver Wheaton (SLW) was hammered strongly to as low as 7.21$ - this bottom should hold. Strong rally will follow once the short term trend line is broken.

Gold Stocks Indices: XAU, HUI, GDM (GDX)

2006-06-08T21:22:00.000-04:00

PHLX Gold & Silver Sector, XAU

Amex Gold Bugs Index, HUI

Amex Gold Miners Index , GDM - tracked by the GDX Market Vectors-Gold Miners ETF.

All Three main Indices looks similar, ~50% correction and bounced slightly - Fibonacci magic?

Europe largest gold mine to be opened in Finnish Lapland

2006-06-06T08:49:00.000-04:00

The largest gold mine in Europe is to be opened in Finnish Lapland. The Canadian mining company Agnico-Eagle has decided to start excavation of a gold deposit in the Suurikuusikko area of Kittilä.
The topsoil is already being removed from what will be an open-pit mine. The construction of a gold refinery is also scheduled to begin this summer. Test drilling has been going on in the area since 1998.
The Suurikuusikko deposit is known to contain at least three million ounces of pure gold. Geologists say that there could be even more gold ore deeper in the ground. The world market price of gold has been rising recently; one ounce, which is about 31 grammes, is currently worth more than 600 US dollars.

The mine is expected to help create more than 200 jobs in the area for at least 13 years before the deposit is exhausted.
Heino Alaniska of Agnico-Eagle, says that preparations to open the mine have been underway for a long time. He was hired by the Canadian company a year ago. Previously he had worked in Sodankylä as the local head of the Pahtavaara gold mine, owned by the Swedish company Scan Mining.
"Opening the mine requires many kinds of construction and road work, which will employ at least 300 people for about two years. In addition, the company will hold an event in a couple of weeks to recruit people to work at the mine", says Kittilä’s municipal mayor Seppo Maula.
Kittilä has also mapped out properties for housing for outsiders moving to the area to work at the mine. Kittilä gets most of its revenue from tourism, and the gold mine is seen as an effective way of diversifying the business structure.

Two years ago Agnico-Eagle acquired ownership of the shares of the Swedish Riddarhyttan Resources, which had previously studied the Kittilä deposit. Since then, the company has spent nearly EUR 10 million on test drilling and other studies.
"Opening the mine has hinged on finding the right refining method", says deputy CEO Ebe Scarcest, who visited the area in December.
The gold in the deposit is not in nuggets visible to the naked eye, which could be extracted mechanically by panning or sluicing. The ore in question requires more complicated refining methods. Original plans were for a method involving the use of bacteria, but Agnico-Eagle opted for a more traditional pressure method, which is more expensive, but it is also more environmentally friendly, as it uses less cyanide. -source

Randgold Resources Ltd. (Nasdaq: GOLD)

2006-06-05T09:10:00.000-04:00

Randgold Resources - one of the few NASDAQ gold stocks, Randgold had a healthy pullback, two years trend line support still in place. Short term consolidation pattern around 100 DMA , buying opportunity around 18$ if it even get there.

See Elliott Wave International Fresh New Crash Course - (You will have to register for EWI club -FREE!)

Cumberland Resources Ltd. (TSX: CLG; AMEX: CLG)

2006-05-31T21:58:00.000-04:00

Cumberland Resources Ltd. is a Canadian mineral exploration and Development Company with interests in two gold projects (Meadowbank & Meliadine) located in Nunavut Territory, Canada.

www.cumberlandresources.com

Looking at the charts I think that something is up with Cumberland and you might want to put it on your watch list for a possible trade.

Market Vectors-Gold Miners ETF GDX GDM

2006-05-27T11:58:00.000-04:00

The New Amex Gold Miners Index - GDM tracker is the Market Vectors-Gold Miners ETF GDX - by Van Eck Global.
Here are two charts of the GDM Index annotated with Elliott Wave Count(click to enlarge).

Related :
commodity wave counts
gold spot wave count
Elliott Wave Tutorial
GDX by Jack Chan

GG, Gold Corp Inc. at 25% discount !

2006-05-25T19:17:00.000-04:00

Put GG on your radar screen if it isn't already there. GG is usually leading gold mining stock with shallow pullbacks and quick recoveries.

Technically the weekly chart looks pretty good, the price is just above the 61.8% Fibonacci support level , the local low was higher then the 50% Fibonacci line. Trend line support is also present not far below the price. Defiantly a stock to follow if you are gold stocks trader / investor. – Off course all is up to the price of gold which I think just organizing itself after an important [e] bottom. Interested about commodity charts analysis? – see commodity charts blog.

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Monthly long term chart - click to enlarge (FireFox recommanded)

Yamana Gold Inc. TSE:YRI , AMEX:AUY

2006-05-24T07:34:00.000-04:00

Yamana had a terrific run of almost 1000% from its bear market bottom of 1.25$ to 13.70$ (Canadian Dollar). Yamana Gold Inc. is also trading as AMEX: AUY.
I have annotated the chart with Elliott wave count and two sets of Fibonacci lines, one set from "THE" bottom to [c] top and the other one from the latest [b] bottom to the [c] top. This is a weekly chart and the RSI and PPO are both in a down trend. For Elliott Wave Free yet excellent tutorial see EWI (might need registration).

If you want to suggest your favorite gold , silver metal stock for review - let me know.

You can click on the chart below to enlarge:

Pan American Silver Corp. NASDAQ : PAAS

2006-05-23T06:54:00.000-04:00

PAAS retraced 61.8% of the latest move up and seems to have support at the Fibonacci 61.8% support level, along a slight uptrend trend line. Pan American Silver is a Component of the XAU Index.

See possibly related previous PAAS posts.

See my latest Spot silver technical analysis.

AMEX Launches New Gold Miners ETF GDX - by Van Eck Global

2006-05-22T12:31:00.000-04:00

Market Vectors-Gold Miners ETF is US First and Only ETF Offering Broad Exposure to Gold-Mining Companies.

NEW YORK--(BUSINESS WIRE)--May 22, 2006--The American Stock Exchange® (Amex®), together with Van Eck Global, today announced the launch of the Market Vectors-Gold Miners ETF (the "Fund"). Now available for trading on the Amex under the ticker symbol GDX, this new exchange-traded fund (ETF) is designed to track the performance of the Amex Gold Miners Index (Amex: GDM - News) and is the first and only exchange-traded fund in the U.S. that offers investors broad exposure to the gold-mining equity market.

The Amex Gold Miners Index currently has 44 constituents, exceeding the scope of any other gold-mining-oriented index. The Index seeks to provide a balanced, diversified approach by including a comprehensive range of small, mid-sized and large companies from around the globe. The Amex Gold Miners Index was created by Amex in 2004 and is back-tested to September 1993.

While there are currently two exchange-traded funds on the market providing direct exposure to gold bullion, the Market Vectors-Gold Miners ETF is the nation's first and only exchange-traded fund to provide exposure to gold-mining shares.

"The American Stock Exchange is delighted to partner with Van Eck Global to bring this exciting new ETF to the marketplace," said Cliff Weber, Senior Vice President of the Amex's ETF marketplace. "Van Eck Global is a respected leader in offering gold-mining investment products, and the Amex is extremely pleased to have been selected to list their first ETF, which is a welcome addition to the Amex family of innovative products."

The current bull market in gold is now in its fifth year. "That is an extraordinary milestone," said Joseph Foster, who has been involved in the management of various Van Eck gold funds since 1996. "We at Van Eck believe that the vulnerability of the U.S. dollar, the twin deficits and other financial imbalances could lead to economic stress that supports a continued positive view on gold-related investments. The Market Vectors-Gold Miners ETF is designed for investors looking for the traditional diversification benefits of gold-related investments as well as the liquidity that intra-day trading access provides," Mr. Foster said.

Investors are becoming increasingly aware of the diversification benefits associated with gold and other commodity-related investments. "We believe that financial advisors and their clients will benefit from innovative ways to gain exposure to these markets," said Jan van Eck, Executive Vice President of Van Eck Global. "This new ETF underscores our long-standing commitment to commodity-related asset classes by providing a more diverse range of gold-related investment tools to the financial community."

Who Should Invest in the Market Vectors-Gold Miners ETF?

This ETF is designed for investors (institutions, hedge-fund and mutual-fund portfolio managers, as well as individual investors) seeking broad exposure to gold-mining shares. Stocks of gold-mining companies can be an effective way to leverage changes in the price of bullion. The Market Vectors-Gold Miners ETF is suitable for long-term investments; the Fund may also be sold short, thereby acting as a speculative hedging investment.

Van Eck Global is a pioneer and industry leader in commodity-related investment vehicles. Van Eck has been investing globally for more than fifty years and has been managing gold-related investments since 1968, when it introduced the nation's first gold-mining-oriented mutual fund. In addition to the Market Vectors-Gold Miners ETF, the Firm offers gold- and commodity-oriented mutual funds, variable insurance trust funds, institutional accounts and hedge funds.

The specialist for the Market Vectors-Gold Miners ETF is Goldman Sachs Execution & Clearing, L.P.

source

See also : Van Eck Seeks SEC Approval for Gold Shares ETF

Gold Market News and charts

Uranium & Titanium Stocks: CCJ , TIE

2006-05-21T20:16:00.000-04:00

CCJ Cameco Corporation (NYSE) is the world’s largest, low-cost uranium producer accounting for 20% of the world’s uranium production. CCJ mining and conversion facilities in North America provide fuel to the western world’s nuclear power plants. Through a partnership, CCJ also generate clean electricity of about 1,000 MW from a nuclear facility in Ontario. cameco.com

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TIE Titanium Metals Corp (NYSE) - TIMET is the world's largest supplier of high quality titanium metal products. timet.com

Tanzanian Royalty Exploration TRE , TNX

2006-05-21T17:02:00.000-04:00

Off course all gold, silver; metals mining stocks are greatly dependent on the price of the metals. However TRE presents a very interesting business model which is worth learning for education purpose. TRE – Tanzanian Royalty Exploration (formerly: TAN RANGE EXPLORATION CORP) owns assets at Lake Victoria greenstone belt of Tanzania, for more details see Tanzanian Royalty website

Listed TSX:TNX , AMEX:TRE

Jim Sinclair the Chairman, CEO & Director runs the most famous jsmineset.com

TRE @ Sec.gov

Monster run, sharp correction and a bounce of a trend line:

Few Gold, Silver stocks charts for the weekend

2006-05-20T14:04:00.000-04:00

Silver Wheaton Corp.(NYSE:SLW)

The SLW label at the bottom of the post will take you to possibly related Silver Wheaton previous posts.

SLW @ Google Finance

SLW @ Yahoo Finance

Silver Wheaton weekly chart , Fibonacci support levels. If SLW is not oversold I don't know what it is... 50% hair cut.

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Meridian Gold Inc. (NYSE:MDG)

Meridian Gold Inc. SEC reports

MDG @ Yahoo Finance

MDG @ Google Finance

Meridian Gold Inc. weekly chart Elliott wave count

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Gold Fields Limited (ADR) (NYSE:GFI)

GFI @ Google Finance

GFI @ Yahoo Finance

Gold Fields weekly chart, Fibonacci support levels

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Indonesia Supreme Audit Board calls for review of Freeport-McMoRan (FCX) contract

2006-05-19T03:47:00.000-04:00

The risks...

JAKARTA (XFN-ASIA) - The Supreme Audit Board (BPK) is recommending a government review of its contract with US-based PT Freeport Indonesia as the current one does not maximize the revenue potential from its Papua copper and gold mine, Koran Tempo reported, quoting a BPK official.

'Review Freeport's royalty payment and fixed payments,' BPK member Baharuddin Aritonang was quoted as saying what the recommendation was.
Tempo said a BPK study covering 2004 and the first half of 2005 found that Freeport paid its royalty based on quarterly average prices, against accounting principles which require the use of prices per transaction.

This practice caused the state a potential revenue loss of 2.23 mln usd and a further 369,490 usd in unpaid royalty for 2003 and 2004, the report said.
BPK also found that Freeport's contract does not include sulphur as a by-product, causing a potential revenue loss of 14.4 mln usd.

Additionally, the audit agency found that Freeport has sold its copper concentrate to Glencore AG at below-market prices. This led to a potential tax revenue loss of 5.9 mln usd, Tempo said.
BPK's report comes as the government is studying Freeport's operation amid calls for the mine to be shut down as it does not benefit the local community.

Freeport has also been accused of pollution and human rights abuses, which the company has denied. - source

Miramar Mining Corporation (AMEX: MNG), (TSX: MAE)

2006-05-19T01:32:00.000-04:00

Miramar Mining Corporation - Canadian gold company - Yellowknife, Hope Bay gold mines operations in Canada.

http://www.miramarmining.com

Mines Management, Inc. (AMEX: MGN)

2006-05-19T01:06:00.000-04:00

Mines Management, Inc., MGN - US mineral exploration and Development Company. MGN owns the Montanore deposit (Silver and Copper) which is located in northwestern Montana. Founded in 1947.

http://www.minesmanagement.com

HUI - Amex Gold Bugs Index Elliott Wave Count

2006-05-16T17:35:00.000-04:00

Here are some HUI - Amex Gold Bugs Index charts. The charts are annotated with Elliot wave's counts, Fibonacci support lines, moving averages, trend lines and other technical indicators. To put it simply: It is my opinion that the HUI is close or already had bottomed. Like Gold I think that the HUI will go much higher, however I think that at some point and under some circumstances the price of gold and / or the price of silver will outperform the HUI index.

HUI logarithmic weekly chart, bear market bottom to date - click on the chart below to enlarge:

HUI linear weekly chart, bear market bottom to date - click on the chart below to enlarge:

HUI daily chart - one year

HUI daily chart - three month

For Elliott Wave analysis I highly recommend the book: Elliott wave principle.
See previous HUI Posts
IF you need a Free Real time quotes and charts for Gold, Commodities, Forex, Indices & Stocks (registration is required) try ADVFN
For viewing online charts, images and pictures I highly recommend the FireFox browser.

TSX Group Announces Global Gold Index At New York Gold Show

2006-05-16T08:04:00.000-04:00

MAY 15, 2006 (NEW YORK CITY) – TSX Group and Standard & Poor’s, the leading global provider of independent research, ratings and indices, today announced plans to create the world’s first Global Gold Index.

At the New York Hard Assets Investment Conference, TSX Group officials provided reporters with details on the new index. The Conference, one of the largest in the U.S., caters to mining professionals and international issuers. The show also attracts top mining analysts, fund managers, investment specialists and financiers from around the world.

The new S&P/TSX Global Gold Index, which will be based in Canada, will track leading gold mining companies from around the globe. Further details and a list of issuers to be included in the new index will be released by Standard & Poor’s by the end of 2006.

TSX Group is home to approximately 60% of the world's public mining companies and Canada has the world's largest mining analyst community that covers issuers on both Toronto Stock Exchange and TSX Venture Exchange. "Our exchanges have become the world's leading markets for raising equity capital for mining and as a result we attract numerous international mining participants," said Richard Nesbitt, CEO of TSX Group. "There is great value for mining issuers in a TSX listing. Mining issuers that list here tap into deep capital pools and there is extensive mining expertise in our market - from analysts, investment bankers, to investors.”

And mining companies from around the globe continue to come to TSX Group exchanges. This year there have been a total of 29 new mining listings on the exchanges. In aggregate, these new listings bring an additional $2.03 billion to the value of mining securities listed on TSX Group exchanges. The TSX's mining sector is home to 1198 listed mining companies with a quoted market value of over $259 billion.

Source: TSX.COM

If you need a Free Real time quotes and charts for gold, commodities, forex and stocks (registration is required) try ADVFN

Global Gold Hedge Book Q1 2006

2006-05-10T11:04:00.000-04:00

Q1 2006 Hedge Impact declines 5.0 Million Oz to 48.2 Million Gold ounces.
The global gold hedge book declined was the largest seen for three years, and comes after a period of slowing dehedging.
The decline was almost all due to Barrick (ABX) dehedging (4.7 Million Gold ounces).
2006 dehedging forecast revised to 11.7 Million gold ounces.
The Global Gold Hedge Book prepared by Mitsui Global Precious Metals , Haliburton Mineral Services & Virtual Metals Research. - link

Barrick Gold Corp. (NYSE: ABX) chart update

2006-05-10T09:29:00.000-04:00

Barrick Gold Corp. (TSX: ABX) (NYSE: ABX) (LSE: BGD) (PARIS: ABX) (Swiss: ABX) the largest gold miner is doing pretty good lately. Barrick have closed significant amount of its hedging position and apparently rewarded by investors. Technically, Barrick broke above the upper diagonal resistance trend line on good volume. Most likely it will consolidate around current levels (+/- 5%) before moving higher.

See previous / related Barrick Gold Corp, ABX Posts

See Spot gold and silver charts, analysis , commentary and news

Gold, Silver, Metals Mining Exploration & Political Risk reports

2006-05-09T05:29:00.000-04:00

Special report on world mining exploration trends prepared by Metals Economics Group (MEG). The report examines the nonferrous exploration activities of all mining companies worldwide. The report Includes summary of trends in exploration spending and an industry-wide analysis of allocations by location, target, and stage of development. - Link

Annual Survey of Mining, Exploration, Development and Mining consulting companies around the world. The report by the Fraser Institute is based on 322 companies and trying to asses the political risk for mining operations world wide. - Link

Special risks when investing in a mining company

Van Eck Seeks SEC Approval for Gold Shares ETF

2006-05-07T11:48:00.000-04:00

In the wake of the resounding success of gold bullion-backed ETFs, New York-based Van Eck Associates has filed a registration statement with the SEC for approval of the first U.S. ETF that would focus on gold and silver mining company stocks.

According to documents recently filed with the SEC, the objective of the Market Vectors ETF Trust is "to replicate as closely as possible, before fees and expenses, the price and yield performance of the AMEX Gold Miners Index."

The Gold Miners Index (GDM) only invests in companies with a capitalization greater than $100 million that have traded on an average daily volume of at least 50,000 shares over the past six months. The index includes 43 gold and silver companies. Among the companies listed on the GDM are major gold producers, such as AngloGold Ashanti Barrick, Freeport McMoRan, Gold Fields, Goldcorp, and Newmont. Among the junior gold miners, explorationists, and royalty companies on the GDM are Eldorado Gold, Meridian Gold, Randgold Resources, Crystallex,, Northern Orion, and Royal Gold. Silver miners and explorationists on the index include Apex Silver, Coeur d'Alene Mines, Hecla, Pan American Silver, and Silver Standard Resources.

Van Eck Associates has already experienced success in its Global Hard Assets Fund (GHAAX), which invested in energy and metals, and its International Investors Gold Fund (INIVX). Both funds are garnering high ratings from the Morningstar investment research firm.

Van Eck proposes to charge a total net annual fund operating expense of 0.55% for the Market Vectors ETF Trust. One of the major differences between investing in shares and holding gold bullion is taxes. Precious metals are classified as a "collectible," and are subject to higher taxes. However, mining shares tend to be more volatile than physical metal because of the higher risks associated with actually mining the ore. source

Bema Gold Corporation - TSX / AMEX: BGO, AIM: BAU

2006-05-01T02:11:00.000-04:00

Bema Gold Corporation is a gold producer with mines and development projects in Russia, Chile and South Africa. Bema operates the Julietta Mine in Russia, the Petrex Mines in South Africa, and is 50% owner of the Refugio Mine in Chile.

www.bema.com

Since the beginning of the second wave up ( May 2005) the stock price tripled.
In my opinion this is the second major wave up (Elliott Wave III) for Gold, Silver and PM stocks. If you are new to Elliott waves and interested – see this Free Elliott wave guide by EWI. If you want to know more I recommend this book and subscription to EWI service ( 30 days Free trail)

HUI – Amex Gold Bug Index E – Waves

2006-04-27T21:08:00.000-04:00

The HUI is up around 120% since the second leg (Elliott Wave III) of the Great Global Gold & Silver Bull Market started at May 2005. However, there is still a lot of upside potential. Short term it seems like a minor ( 2 or b) correction is taking place.

Related:

HUI components, Gold & Silver Spot Charts, Platinum Long Term Charts , More HUI posts , Ralph Nelson Elliott biography.

DRDGOLD Ltd. (NASDAQ: DROOY)

2006-04-27T08:38:00.000-04:00

DRDGOLD Ltd. (NASDAQ: DROOY) established in 1895 as Durban Roodepoort Deep, Limited to exploit the South Africa’s Witwatersrand Basin, renamed in 2004 to DRDGOLD.

At 30 June 2005, the attributable mineral resource base was 36.6 million ounces, and attributable ore reserves were 6.6 million ounces.

DRDGOLD has acquired a strategic 50.2% interest in a subsidiary of the internet-based gold investment company, GM Network Limited (GoldMoney.com).

JSE: DUR , Australia: DRD (de listed) , Nasdaq: DROOY , Brussels: DUR , Paris: DUR , Berlin: DUB , London: DBNR , Frankfurt: DUB .

Listing on several exchanges doesnt necessarily means higher stock price...

http://www.drdgold.com

Gold & Silver Spot chart

SILVER WHEATON CORP (AMEX: SLW) Follow-through

2006-04-25T21:40:00.000-04:00

Since the last SLW review(Silver Wheaton March 27) SLW have been consolidating / stagnating around the 10$ - 11.50$ range , almost unaffected by the silver price correction.

Daily chart

All time data (TSX: SLW)

All time data (AMEX: SLW)

http://www.silverwheaton.com/

XAU , XAG charts

PHLX Gold & Silver Sector (XAU) , New High + Charts

2006-04-19T21:16:00.000-04:00

XAU is a capitalization-weighted index composed of 16 companies involved in the gold and silver mining industry. XAU was set to an initial value of 100 in January 1979; options commenced trading on December 19, 1983.

XAU is a lagging gold index; the Amex Gold BUGS Index (HUI) is performing much better in this great global gold bull market. Any way the XAU made a new (all time?) high today.

WWW PHLX Gold & Silver Sector XAU

Components

WWW Barrick Gold Corp. ABX
WWW Agnico Eagle Mines Ltd. AEM
WWW AngloGold Ashanti Ltd. AU
WWW Bema Gold Corporation BGO
WWW Coeur D'Alene Mines Corporation CDE
WWW Freeport McMoran Copper Gold FCX
WWW Gold Fields Ltd. GFI
WWW Goldcorp Inc. GG
WWW Glamis Gold Ltd. GLG
WWW Randgold Resources Ltd. GOLD
WWW Harmony Gold Mining Co. Ltd. HMY
WWW Kinross Gold KGC
WWW Meridian Gold, Inc MDG
WWW Newmont Mining Corporation NEM
WWW Pan American Silver Corp. PAAS
WWW Royal Gold, Inc. RGLD

Golden Star Resources Ltd. (TSE:GSC) , (AMEX:GSS)

2006-04-19T17:30:00.000-04:00

Golden Star is a gold mining and exploration company with its operating mines on the prolific Ashanti Gold Belt in Ghana, West Africa. South American exploration.
At year-end 2005, Golden Star had 4.05 million ounces in reserves and, in addition, 200% more than that in its resource categories, all within trucking distance of current processing plants. The reserves and resources were estimated at gold prices of $400 and $480 per ounce respectively.

http://www.gsr.com/

Golden Star Resources Ltd (AMEX:GSS)

Golden Star Resources Ltd. (TSE:GSC)

Eldorado Gold Corporation ,EGO , ELD

2006-04-18T22:37:00.000-04:00

Eldorado Gold Corporation a Canadian gold producing company, active in development and exploration, producing gold assets in Brazil and Turkey.

http://www.eldoradogold.com

Eldorado Gold Corporation AMEX:EGO, TSE:ELD.

ELD is on the S&P/TSX Gold Index and EGO is part of the AMEX Gold BUGS Index (HUI).

See Elliot wave count for Eldorado , currently at wave 5 of 1 of III in my opinion.

Commodities charts , Gold Global Perspective

IAMGOLD Corporation (NYSE:IAG), (TSX:IMG) & (ASX:IGD)

2006-04-16T02:27:00.000-04:00

IAMGOLD Corporation is a Canadian gold mining and exploration company with operations in West Africa and South America. IAMGOLD assets include part ownership interest in four operating gold mines: 38% in Sadiola Gold Mine, 40% in Yatela Gold Mine both located n Mali, and 18.9% in both Tarkwa Gold Mine and Damang Gold Mine, located in Ghana..

IAMGOLD Corporation is listed on the Toronto Stock Exchange (TSX:IMG) , New York Sock Exchange (NYSE:IAG) & Australian Stock Exchange (ASX:IGD)

Technically: the Weekly chart - ascending triangle pattern, initial target of ~ 13$. The daily chart - pattern of symmetrical triangle and the price is just above the 50 DMA and the upper diagonal line.

Silver Standard Resources Inc. (NASDAQ: SSRI) , (TSE: SSO)

2006-04-14T01:09:00.000-04:00

Silver Standard Resources Inc. is a Canadian silver mining company focused on the acquisition, exploration and development of silver dominant projects. Silver Standard Resources Inc. properties are located in Argentina, Mexico, Australia, Chile, the United States, Peru and Canada. Total Silver Resources (in millions of oz.): Measured: 88.7; Indicated: 474.0; Inferred: 554.3 (at March 22, 2006)

NASDAQ (SSRI) , Toronto Stock exchange (TSE: SSO)

Harmony Gold Mining Co. (NYSE:HMY)

2006-04-13T20:19:00.000-04:00

Harmony Gold Mining Company Limited was formed in 1950 as a Rand Mines managed company to exploit the single Harmony mine lease. In 1995, the company was set as separate entity following the demise of Rand Mines. Harmony mining gold in South Africa, Australia and Papua New Guinea.

Today, Harmony is the sixth largest producer in the world, with growth potential in South Africa and Australasia. In FY05, Harmony produced 3 million ounces of gold, predominantly from South African sources.

Harmony Gold Mining Company Limited website link

Randgold Resources Ltd. (GOLD)

2006-04-13T15:24:00.001-04:00

Randgold Resources (GOLD) engages in the mining, exploration, and development of mineral properties, primarily gold principally in West and East Africa. Its properties include Loulo mine, located in Mali; and Tongon project located in Cote d'Ivoire.

LSE : RRS , NASDAQ : Gold.

Randgold Resources Ltd. (GOLD) website

Barrick Gold Corp. (NYSE: ABX)

2006-04-11T19:08:00.000-04:00

Barrick(Completes Acquisition of Placer Dome) is the largest gold producer in the world; the company has the largest reserves in the industry ~139 million ounces as at December 31, 2005. For 2006, the Company’s guidance is gold production of 8.6 to 8.9 million ounces. According to the latest Mitsui / Haliburton / Virtual Metals Q405 Hedge Book Report. Barrick Gold + Placer Dome hedge position = 19,996,000 Gold ounces.

Gold Hedge position review(Short positions)

Barrick shares are traded on the Toronto (TSX: ABX), New York (NYSE: ABX), London (LSE: BGD), Euronext-Paris (PARIS: ABX) and Swiss (Swiss: ABX) stock exchanges.

Palladium & Ethanol Stocks

2006-04-09T21:29:00.000-04:00

Palladium is a partial substitute of Platinum and Gold. Ethanol is a partial substitute of crude oil.

Here are few key stocks which are related to Palladium and Ethanol.

Stillwater Mining Company (NYSE: SWC)

Stillwater Mining is a producer of platinum group metals (PGMs) and a significant primary producer of palladium in the Western Hemisphere.

Stillwater Mining Company (NYSE: SWC) website

North American Palladium (AMEX: PAL)

North American Palladium Ltd. is a Canadian primary producer of palladium. The Company's Lac des Iles open pit mine also produces by-products of platinum, gold, copper and nickel.

North American Palladium (AMEX: PAL) website

Pacific Ethanol Inc (NASDAQ: PEIX)

Pacific Ethanol Inc.'s mission is to become the West Coast's leading marketer and producer of renewable fuels. Our product line currently emphasizes clean-burning corn-based ethanol. With over twenty years of experience in biofuels development, we are strategically poised to meet the explosive demand for domestically sourced alternative fuels. Bill Gates(CASCADE INVESTMENT LLC) is a major stake holder.

Pacific Ethanol Inc (NASDAQ: PEIX) website

Green Plains Renewable Energy Inc. (NASD: GPRE)

Green Plains (Recent IPO) is an energy consulting company based in Delaware, USA, promotes and facilitates the use of renewable energy and energy efficiency technologies. dealing with Photovoltaic, Solar Thermal, Geothermal ,Wind and Biomass.

Green Plains Renewable Energy Inc. (NASD: GPRE) website

Glamis Gold Ltd, GLG

2006-04-09T17:17:00.000-04:00

Glamis Gold Ltd is a gold producer with low-cost production, and a strong growth profile. The Company’s near-term strategic goal is to produce 700,000 ounces of gold annually by 2007 at a total cash cost below $150 per ounce from its mines and development projects in Nevada, Mexico and Central America.
As of January 1, 2005 Glamis had proven and probable reserves of 6.3 million ounces of gold and 38.5 million ounces of silver. Common shares of Glamis Gold Ltd. trade under the symbol GLG on the New York and Toronto Stock Exchanges.

Investors should take a look at Glamis as a case study for successful Gold stock recipe. Traders might want to examine the charts of this strong momentum stock.

See spot Gold (XAU) and Silver (XAG) Charts here

Amex Gold BUGS Index - HUI

2006-04-09T08:55:00.000-04:00

Amex Gold BUGS Index (HUI) Components as of: 04/07/06

GFI Gold Fields Ltd.
NEM Newmont Mining Corp.
FCX Freeport-McMoRan Copper & Gold Inc.
HL Hecla Mining
GLG Glamis Gold Ltd.
AEM Agnico Eagle Mines Ltd.
GOLD Randgold Resources Ltd.
MDG Meridian Gold Inc.
CDE Coeur d'alene Mines
KGC Kinross Gold Corp.
EGO Eldorado Gold Corp.
IAG Iamgold corp.
GG Goldcorp Inc.
HMY Harmony Gold Mining Co. Ltd.
GSS Golden Star Resources Ltd.

Lihir Gold Limited (LIHRY) & Gold / Australian $

2006-04-08T13:13:00.000-04:00

Lihir Gold Limited is the owner and developer of one of the world's premier gold mines, located on Lihir Island in the New Ireland province of Papua New Guinea.
Lihir Gold Limited (LIHRY)
Dual listing:

LIHIR GOLD LTD ADR (NasdaqNM:LIHRY)

Lihir Gold Limited (LHG.ASX) Australian Stock Exchange (ASX 200 component)