Obvious manipulation of gold and precious metals is ongoing If you own gold held in safekeeping, we strongly advise you to demand its delivery NOW…..Or if you can wait as Germany had to do recently for four years for its gold held at the Fed; or you can just wait confident that your gold is well secured???

While we are somewhat surprised that the gold bullion has corrected down to the $1600 level, many of the so called experts had expected this decline….our downside target was $1710…

But harsh declines often prove to be the most profitable and opportune time to buy gold stocks and most commodity stocks. When there is a “sale” on stocks, few investors take advantage of the low prices.

The major impediment in the gold market has been the American Dollar’s strength. Generally as the Dollar becomes stronger and rises, Gold corrects down….they are “inversions” of each other. And often any strength in the stock markets keeps investment cash out of Gold. With that comment, we feel that a bear market or at least a difficult stock market will open the door to a greater and more inclusive bull market in the mining shares.

By rule, we only invest in precious metals stocks when they down in price…we do not chase and push them up! They demand extraordinary patience which very few investors have.

Moreover we do not expect timely precious metals advice from large American brokerages and Banks…..ever!  So we do our own analysis and subscribe to dozens of advisory services to see what others are saying.

Juniors & Small Caps…Major banks and brokerages rarely ever recommend small caps and stocks that do not offer enough liquidity for large purchases and sales; thus limited profitability for the banks and brokerages limits the ability of the small caps to attract brokerage research.

Finding gold is difficult and very expensive……in 1997 on average the cost was approximately $12 an ounce to find it…today the average cost is approximately $106 per ounce.

Best success…double up by dollar cost averaging …if a company’s fundamentals remain positive and its officers are buying and own substantial amounts of shares, risk oriented investors may reconsider

Don’t share ideas….keep them to yourself! We will explain this theory later in detail as it needs a longer explanation.

We surmise that until Gold bullion is at $2000 and stays there …….and/or the US dollar is down….liquidity in many stocks is limited.

There are many factors that merit attention, we will keep them coming here..