Re: Market Sentiment for Gold/Gold Stock Very Bullish
posted on
Jan 23, 2008 05:06AM
There may be an increase in interest, but it is not supported in the price of most junior gold stocks over the last year or so. Many of the juniors are down more than 50% from their 12 month highs. Speculative activity is presently at its low point. In fact, junior stocks are the cheapest they have been since 2004 relative to he HUI index. Not too long ago I posted a chart reflecting this undervaluation. In conclusion, Juniors relative to unhedged majors are as cheap as they have been for a long while. When this condition changes and juniors begin to take a lead again, Victoria should be in the leading pack for all the reasons that posters here have mentioned many times.