JWU OCT 23

 

Oct 23, 2013

 

 

 

  1. Junior gold stock investing. Some investors believe they can navigate the waters with stock picking.

  2. There is value in stock picking, and all the stocks on the Juniors site were chosen for their fundamentals first, and for their likelihood of being taken over by a major.

  3. That fact doesn't free the investor from gulag-style risk.

  4. The simple fact of the junior gold stock investing matter is that your portfolio is a team of solidiers walking across a minefield.

  5. Not all will reach the other side alive.

  6. I'll begin to name names of the near-dead later this week. Some of these near-nead stocks may actually survive.

  7. And prosper.

  8. When things are going well, most investors forget what happens when things go wrong.

  9. Gold stocks don't have a printing press with Ben Bernanke operating it, like OTC derivative security holders do.

  10. When a gold company treasury runs out of money, that's not good news at all, when it's difficult to raise funds.

  11. The good news, hopefully for you, is that you own a portfolio of companies, not a one trick pony.

  12. So, when you march through the minefield, you expect the death of some of your stocks, while others march all the way to the finish line.

  13. I told you pretty clearly that $1266 was pgen buy time. From the $1251 low, gold has soared about $94. Strength is sold, mentally or in the market, depending on your pgen & HSR sell increments.

  14. Please click here now. That's the GDXJ 60 minute chart, and you can see that the $48.21 high is what I'm looking at.

  15. There is a fair bit of sell-side HSR in the current $41 area. I'm more long GDXJ, GDX, and individual gold stocks, here and now, than I've ever been in my life.

  16. It's critical to remember that the banksters never go away. They are getting stronger, not weaker.

  17. Alone in the gold community, I've argued that QE is 1st about paying the banksters what they demand for their OTC derivatives wins, and 2nd to support the bond and housing markets.

  18. On that note, Marc Faber in a recent interview suggested that QE could rise to $100 billion a month, then $200 billion, then to even a trillion dollars a month.

  19. Those higher numbers would likely satisfy the banksters, who don't want to wait 500 years to collect their winnings.

  20. What happens to junior gold stocks at those higher numbers? Well, my focus right now is seeing gold stocks just rise to a point that brings some normalcy back to the gold community.

  21. Some analysts are pumping the need to own “the fizz”. Owning the fizz is not going to bring back 95{7d2759035a2769ee7a6afa7c646e6642b67314b0cd0e17ac0c6ae4f965ff87d9} drawdowns for junior gold stock investors, and moving the remaining 5{7d2759035a2769ee7a6afa7c646e6642b67314b0cd0e17ac0c6ae4f965ff87d9} into “the fizz” is an act of pure idiocy.

  22. The fizz is my largest holding and it always has been, but only a man with an IQ of zero buys the fizz now, with his gold stock remnants. I've moved a tiny bit of the fizz into gold stocks recently, not the other way round.

  23. Please click here now. From a junior gold stock perspective, why is Goldcorp important? Answer: Because it just blasted above a key horizontal neckline of a h&s top that the bears were focused on.

  24. That causes short covering and demoralizes the bears.

  25. Gridtime! The first step towards rebuilding some level of sanity in the gold community is getting junior gold stocks into a position where they are not constantly making new lows. The all-predicted and all-demanded “parabola to the sky” doesn't need to happen, and likely won't for quite a while, but a scenario where gold stocks spend a fair bit of time, not just price, above the recent lows is very likely, and that begins the healing process for the gulag survivors.... Heading for the airport now with Vancouver fog creating zero visibility conditions at the airport. See you on the gridlines, hopefully from Toronto soon!

 

 

 

Thanks!

 

Cheers

 

St

 

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