BullMarketRun.ca

Gold came close to another new all-time high this morning before profit taking came in and drove the yellow metal down as much as $25 from its high of the day…as of 9:30 am Pacific, Gold is off $10 an ounce at $1,371…it has traded within a range today of $1,361 to $1,386…Silver has retreated 27 cents to $24.36…the Federal Reserve is certainly not coming to the defence of the battered U.S. Dollar, though the Dollar Index has moved up today on a technical rebound…Chairman Ben Bernanke said in Boston this morning that high unemployment and low inflation point to a need for a further easing of U.S. monetary policy…the sell-off we saw in Gold this morning is quite normal and healthy from a technical perspective…investors need to stay focused on the “big picture” which we believe means even higher precious metal prices in the months ahead…the “power shift” to the emerging markets is just one of many contributing factors to the rise in Gold and upward pressures on commodity prices in general…the CDNX was higher initially this morning but has since pulled back, similar to yesterday…the Venture is down 9 points to 1813…the CDNX has stayed at or above its 10-day moving average since late July and we see no reason why that won’t continue…the 10-day SMA is currently at 1790…after a 3-day 25% correction that brought the stock back to an area of strong technical support at 24.5 cents, GoldQuest Mining (GQC, TSX-V) has stabilized today…GQC is currently up a penny to 25.5 cents…this company has so much going for it in both the Dominican Republic and Spain with some outstanding Gold-silver and base metal properties…in a bullish environment for juniors, we expect GoldQuest to perform exceedingly well…it’s actually a stronger company with more potential now than it had 3 years ago when the stock got as high as $1.80, giving GoldQuest a market cap of $100 million…Gold Bullion Development (GBB, TSX-V) is down 2 pennies to 57 cents…the last few weeks have been quiet for GBB but that should change quite soon with the company’s $8 million financing expected to close sometime next week…Sidon International (SD, TSX-V) continues to hover near very strong technical support at 10 cents…the stock is currently off half a penny to 10.5 cents…our outlook on Sidon remains very positive but like with many of these junior plays, patience is important…Excel Gold Mining (EGM) is down half a penny to 17 cents on light volume…this company is focussed on developing a very valuable asset in its Montauban Property in Quebec which has outstanding Gold, silver and base metal potential which it will test very soon with a drill program…