david morgan held a webinar on monday. he said the current sell-off was probably a three-day washout (friday thru tuesday.) he said he was buying mining shares on monday, and thought this was probably the bottom.

he also said gold could decline to 650 or even 600 and still be in a major uptrend, but he doesn't see that happening. based on the events of the past two days, he now expects silver and gold to go to $19 and 950 by the end of this year, and $25 and 1250 by around april, 2009.

he thinks jim sinclair's estimate of $1650 gold by january, 2011 is low, and expects gold to eventually go to $2000 or more.

he doesn't see a shortage of silver yet, except at the retail level. there is a shortage of 1-100 oz rounds and bars, but no shortage of 1,000 oz bars. if we see backwardation in the futures market for more than three days, that would confirm an overall shortage.

again this is a bull market, and the tsx will be the strongest exchange due to its weighting in energy and metals. he expects mining shares to lead the metals in the next leg up.