Premium Updates

Precious Metals continue to slide and the general stock market appears to be ready to plunge further. What's a Precious Metals Investor to do, given the current uncertainty? Naturally, "now" is always the most difficult time to invest, so we strive to provide you with details necessary to make the optimal trading/investment-related decisions in the PM sector. Among other thing covered this week, we focus on the risk that the plunge in the main stock indices poses to PM Investors and Speculators.

In yesterday's Market Alert I wrote that it currently seems that the next several days will provide us with critical details and that I will comment on the situation more thoroughly (and I'll explain what type of signals will confirm that the bottom is in) in the next Premium Update. This week's Premium Update has been built around yesterday's Market Alert - we elaborate on each point made yesterday. We have analyzed the situation on the gold and silver markets, PM stocks (HUI Index, and the GDX ETF), USD Index, and the general stock market - all of which are covered from both long- and short-term point of view. Moreover, we have included analysis of the GDX:SPY ratio, our correlation matrix, and three of our unique indicators.

Additionally, as several Subscribers have requested, we commented on Mr. Robert Prechter's yesterday appearance in CNBC and his bearish views on gold.

Market Alert sent on January 26th 2010

This week precious metals moved sharply lower, as suggested in the previous Premium Updates. Consequently, the question is whether or not one should go back in right away, especially given today's volatility. In this week's issue we provide our thoughts on that topic along with long-term Investors and short-term Speculators in mind.

Among other things, this Premium Update includes the analysis of gold, silver, precious metals stocks, USD Index, and the general stock market - all of which are covered from both long- and short-term point of view. Moreover, we have included a brief analysis of the financial sector. Additionally, we comment on the recent developments and signals from the Gold Miners Bullish Percent Index.

There are no big changes since last week's analysis was posted as far as the situation on the metals and big PM producers is concerned, but there are several factors that were not mentioned recently, and that are very important to investors holding junior mining companies.

Among other things, this week's Premium Update includes: analysis of gold (also the very-long-term chart), silver, and PM stocks from both long- and short-term point of view, cyclical tendencies on the silver market. Moreover, we analyze the key drivers of PM prices - USD Index and the main stock indices (also the NIKKEI 225 Index). Additionally, we comment on one of our unique indicators (dedicated to juniors) and on the current values in the precious metals correlation matrix.

Precious Metals moved higher this week, so we believe you might be wondering whether or not the bottom has been put, and if you should get back in with your speculative (as you may recall, we already suggested getting back on the long side of the market with your long-term holdings) capital. In this week's Premium Update we further elaborate on the situation on the gold and silver markets, with the emphasis on its current connection with the U.S. Dollar. The USD Index is currently one of the most important things to take into account while analyzing gold and silver market, and this update includes its detailed analysis (three charts are dedicated to this key driver of PM prices).

Other things analyzed in this week's Update include: cyclical tendencies on the silver market, PM stocks, the relative performance of the latter to other stocks, the general stock market itself, and our exclusive correlations matrix.

In addition to the above, we feature rankings of top gold and silver juniors, and comment on the performance of one of the previous picks. Two gold juniors have been added to our rankings, and they are already on the first and third place of the list.