at least cautiously, anyway. recall that he thought silver bottomed at $12.50. for technicians, he says metals are making higher lows, and the chart shows an island reversal. according to those who read goat entrails, those things are supposed to be good.

better still, there has been strength in bullion, the mining shares are starting to lead bullion, the gold index (gdx) is outperforming bullion, and the top tier companies are performing well. he expects a strong first quarter for mining stocks, especially the major producers, and then money will flow into the mid-tiers and finally the juniors. the juniors that survive will do well in the short run, and also over the next few years.

my own two cents: silver standard is going to lead the pack on the way up. for one thing, it is doing so already, having bounced about 140% off its lows of october. a move like that will attract the momentum players, and we still have an enormous short position that will add more fuel to the fire when it needs to be covered. finally, once pirquitas goes into production and resolves any start-up problems, it will remove a lot of risk from this stock.