Conclusions

We are not in major bear market for gold prices, but in a long-standing correction. Prognostications over capitulation mystique are misguided. You would expect a capitulation at the end of a bear market, but not for the end of a major correction in a bull market.

Still technical analysts cheated of their drama are now poring over charts to see an imminent correction. The one paradigm that fits the best with the gold bull market is a Wave One extension, meaning that the big aggressive move in gold prices happened in the first leg from 253 - 1030.

Most people completely missed the decline in bond yields in Canada, this has left GBN.V management gobsmacked as the train leaves the station, $CAD gold prices firm @$1600/oz.

The ONLY avenue they have left for producing value is to pay a dividend. They could, of course, reveal their escrowing of production, but that means that they would have blatantly lied and misrepresented themselves over the years, which is fraud. It might occur to them one day that they are sitting on a gold mine and that they carry on a business rather than giving people the business.

But the province of Saskatchewan is complicit in not reporting or verifying yearly updates on mines. They most desperately want a mine is Sakatchewan to remain there, and will turn a blind eye to irregularities, tearing a page out of the NDP playbook. Fair enough. But the shareholder will have to profit if you want it to be a success.

The fact that the company raised capital for development and expansion by escrowing production aught to be an amazing feat by itself.

Satellite photos have been unreliable, because you can't establish dates for the photos, and the sat companies themselves will cobble together a number of photos if parts are missing. Still, it's been an essential source of data to contradict misrepresentations. The sat companies make no guarantees for quality and will charge you as much money as possible for what might be a photo of clouds.

But the day will come when an out-of-province gold producer tasks a satellite for $2500 - $8000, and takes a detailed photo, and uses it for due diligence, or pressing legal claims during a hostile takeover.

- F6