$Gold:$CDW Weekly

The weekly CDN gold price is within a day's trade from a breakout move. This breakout has been long awaited, having given a false signal once before. The lights come back on for gold mining companies(specifically companies operating with $CDN exposure) once gold goes over $1750/oz.

The almost daily chronic sell-offs of sizeable masses of contracts (515 tons in one instance on a single day of trading) of gold futures during London trading hours has not continued to materialize, possibly due to the futility of engaging in price controls.

The gold market has literally grown in size and has now become too big to control. You need a broker willing to risk everything with substantial hedges in place in case they're wrong to sell into a rising market. The most that a market can be moved by blindly selling into the trend is probably $40 at a pop, not substantially enough any longer to dissuade traders in the precious metals.

supersize: http://www.flickr.com/photos/11747277@N07/7379645276/sizes/l/in/photostream/

stockcharts.com

-F6