BullMarketRun.ca

Rouyn-Noranda, Quebec, 11:15 am Eastern

Gold has traded in a tight range of $1,376 to $1,388 so far today…as of 11:30 am Eastern, the yellow metal is off $2 at $1,379…Silver is ahead 4 cents at $29.55…the U.S. Dollar Index has declined nearly one-half of a point to 80.36…Gold imports by India, the biggest bullion consumer, likely reached a record last year according to the World Gold Council…purchases jumped to about 800 metric tons, a 44% increase over 2009 when 557 tons were purchased…demand for bullion as an investment in India surged 73% in the year ended September 30 according to World Gold Council data…price no longer appears to be a concern…the trading action in Gold lately has been confusing to some…in situations like this, in particular, we look to our leading and most reliable indicator of the immediate and longer term direction in precious metals prices and that’s the CDNX…the Venture is up again strongly this morning and continues to remain firmly locked in a powerful uptrend…the fact it has out-performed Gold recently as well as the TSX Gold Index is a very bullish sign and tells us that Gold is likely very close to a turnaround and the probability of a drop below key technical support at $1,350 is very remote…over the past year-and-a-half we have consistently used this “indicator” (the CDNX) to make some incredibly accurate market calls that have allowed our readers to make some very astute and timely trades…as of 11:15 am Eastern, the CDNX is 17 points higher at 2283, just a few points below the recent 2+ year closing high of 2288 December 31…GoldQuest Mining (GQC, TSX-V) is showing impressive strength, especially considering the recent acceleration of the warrant expiry date on a financing from last year…nearly 10 million warrants to purchase one share at 20 cents expire January 24…the stock has held up incredibly well (few investors seem to be selling GQC in order to exercise their warrants) which is a very bullish sign…at this point we expect GoldQuest is ready to commence a new uptrend…this is a company with proven projects in the DR (and Spain) that have major upside exploration potential…drilling is underway now at GQC’s La Escandalosa Property (formerly Las Tres Palmas) where the company has an excellent opportunity to significantly expand resources…GQC is up 4.5 cents this morning to 36 cents…also in the DR we like Everton Resources (EVR, TSX-V) which is working on its APV Property which is next to one of the world’s largest Gold deposits, Pueblo Viejo…John’s chart on EVR this morning shows the stock’s decline from 39.5 cents at the end of November to 29 cents yesterday has likely run its course…EVR is currently off half a penny at 31 cents…here on the Cadillac Trend, we’ve spent the past week doing some intense research and we’ll be reporting on more of that very soon as we tie together a considerable amount of geological information…we’ll also be making a return visit to the area very quickly as we suspect things are going to heat up on several fronts…Gold Bullion Development (GBB, TSX-V) is off two pennies at 81 cents on light volume…Cadillac Mining (CQX, TSX-V), also on light volume, is down 1.5 cents at 39 cents…Adventure Gold (AGE, TSX-V) is unchanged at 47 cents…and Abcourt Mines (ABI, TSX-V), the newest addition to the BMR model portfolio, has declined two pennies to 20 cents…Seafield Resources (SFF, TSX-V) is looking strong, unchanged at 54 cents after a nice upside move yesterday…Richfield Ventures (RVC, TSX-V), which is already up 262% since we introduced it to readers just over a year ago, has released a stellar drill result this morning from its Blackwater Project in central British Columbia…Richfield has intersected 222 metres grading 1.23 g/t Au and 5.5 g/t Ag in hole BW-103 which was collared near the western edge of the Gold Zone, 157 metres southeast of previously announced BW-71 which returned a whopping 281 metres grading 1.40 g/t Au…a second higher grade zone at depth was also discovered in BW-103 (30 metres grading 2.52 g/t Au and 12.3 g/t Ag. from 332 to 362 metres)…three other holes reported this morning (BW-98, BW- 99 and BW-102) returned lower grades and widths and fenced off the western boundary of the Gold zone…exploration drilling in a hole approximately 1500 metres south of the centre of mineralization did not intersect any significant values…results are pending on 13 additional holes…another phase of drilling commences late this month as Richfield continues to define a potential multi-million ounce Gold deposit at Blackwater with silver and copper values as well….the stock climbed as high as $4.74 this morning but has since pulled back to $4.44, an 8-cent increase for the day, with the news pretty much meeting the market’s expectations…Currie Rose Resources (CUI, TSX-V) is showing technical signs of bottoming out just below its 100-day moving average (SMA) after news came out Monday…CUI is currently off a penny at 21 cents…volume has been impressive the last few days as bargain hunters have stepped in….Kent Exploration (KEX, TSX-V) is looking very healthy from a technical standpoint and the fundamentals with this situation have improved substantially recently…Kent climbed 1.5 cents yesterday and is currently at 14.5 cents, even for the day and above its 200-day moving average (SMA) for the first time since last fall…