August 18, 2010
Gold saw some profit-taking this morning but has snapped back…as of 8:35 am Pacific, the yellow metal is at $1,228, up $3 an ounce…Gold dropped as low as $1,217 this morning…near-term technical momentum is clearly in favor of the bulls with the downside “floor” likely being $1,200 where there is exceptionally strong technical support…the CDNX is off 1 point at 1462…this morning we re-posted an important article from July 16, comparing the current CDNX market with that of 2004, and also provided an update to that article…the action we’ve seen in the CDNX over the past month has certainly confirmed the thesis of the July 16 article and throws a lot of doubt into arguments put forward by current broad market bears, some of whom are calling for an imminent crash…the CDNX is telling a much different story and has proven to be a very reliable leading indicator…BMR has confirmed another visit to the LONG Bars Zone next week…we’ll be at Gold Bullion’s Granada Property next Tuesday and Wednesday…previous visits have helped immensely in terms of gaining a better overall “feel” for the project, and this visit should be no different in that respect…we’ve also been promised an interview with GBB President and CEO Frank Basa…something interesting always seems to happen whenever we hit the road, so we’re looking forward to returning to Rouyn-Noranda and the “Cadillac Trend” where we’ll be snooping around at some other situations as well…Quebec, as investors know, is a very hot address right now for mining and exploration and we expect it will get even hotter over the final 4 months of the year with more great news from Granada and elsewhere…Gold Bullion is off a penny to 53 cents this morning…
