Loading ...What We Know & What We Don’t Know
Reviewing numerous charts of mining stocks, indicies and the metals themselves, I believe, the Fuse has been lite. Things are getting “very tight” on the charts. That is good. What we don’t know, is how long is the fuse? My best guess, is that by the end of Thurs., the breakouts should have begun!
From your mouth to God’s ear. If only it were so…..
Yes… It’s coiling.. and getting tight! Just like I like it 😉
PM mining company earnings reports this week are looking very good
while most other sectors are bleeding cash, many on life support, propped up by a FED backstop
Methinks we’re in a perfect storm for the gold miners: rising price of gold (significantly higher than a year ago even if we went flat for awhile) AND lowered costs of mining due to the plummet in energy costs. Assume energy costs drop by say, 33% – not unreasonable. That savings drops right to the bottom line. A double whammy, so to speak. We might even see some dividends being thrown around, like in the 1970s/80s. I long remember the profits my dad made through buying and holding Class A gold mines for years. He got capital appreciation, stock splits more than once, sometimes three times, and then he got dividends on top of that. Imagine buying 100 shares, the stock triples, the stock splits, it doubles again, splits again, and over 8 years it pays out twice the original purchase price in dividends. Not sure I’ll live that long to see such a thing, but the memories are still great. Back then, it was almost 100% South African mining stocks and the world was a far different place. To buy stock, he had to call a broker. To get a stock price, he had to wait till the morning paper arrived. The weekend was spent reading and poring over financial newspapers and newsletters. What a time!
Good timing, it may be happening now!
Ooops. Looks like it decided to break, all right…down.
Silverboom, You just went for the “headfake”. I believe this smackdown is the last great entry point where you won’t have to chase.