BullMarketRun.ca

Gold bounced off important support at $1,136 yesterday and as of 3:15 am Pacific time this morning is up $4 on the day to $1,162…the TSX Gold Index dropped 9% over the last three trading sessions as gold fell by as much as $90 an ounce or 7%…the Venture Exchange, however, which has been the best leading indicator of gold’s direction and the direction of the overall economy for that matter over the past couple of years at least, has held up extremely well, falling just 27 points or 1.8% over the last three trading sessions…what this tells us is that gold’s correction may not be that severe and is likely going to be more of a consolidation to unwind some of the extremely overbought conditions we recently saw…we expect gold’s new up-leg to $1,300 and better to begin by early January…an important day is coming up in the Ring of Fire battle for Freewest Resources (FWR, TSX-V)…Cliffs Natural Resources (CLF, NYSE) came out with a brutal attack on the credibility and integrity of Noront Resources (NOT, TSX-V) yesterday in a clear attempt to drive down Noront’s stock price…if that’s not stock price manipulation, we don’t know what is…Noront was very quiet yesterday and for the first time in a week did not issue a news release…we suspect something big is brewing with Noront, that “David” is preparing to fire his slingshot at “Goliath”…the tone of Cliffs‘ news release yesterday, and the fact they are holding a conference call with Freewest for investors this morning, suggests to us they felt they were starting to lose the public relations war in the battle for the hearts, minds and shares of Freewest stockholders…today is going to be a very interesting day in the Freewest fight…nickel prices, by the way, are up sharply this morning – 41 cents to $7.26 as of 3:15 am Pacific time…