The Rand will react upward due to the (non) agreement coming out of the Gorilla 7 meeting. The dollar will resume its downtrend. All of the charts on the SA's look the same, the MACD is still pointing down, so no I don't expect the SA's to turn as quick as the North Americans.
The rapid depreciation of the dollar will result in a rapid appreciation of gold/silver, which will exceed even the commodity-backed Rand's ability to keep pace. Therefore DROOY, being one of the most leveraged will very soon come out of the (8000 foot deep) hole like an NHRA Top Fuel Dragster.
Wanna try to get on board after the Christmas tree begins to sequentially light up?
I could be wrong, I usually am.
Check out Jack Chan. He reminds me of you.
Not only did the HUI and XAU break out, both were confirmed by the MACD.
Only question remaining is: Next impulse wave up or just a minor trend up?
I think the correction is over for the moment. the graph above shows that everytime in the last year that the 10 ema dropped below the 20 on the xau, and then the price climbed above the 10 and 20, the xau went into an uptrend with the 10 crossing over the 20 and at least a month or longer uptrend. I think we will see a nice run up now, then some more correction, and a repeat of the above until august when gold and shares will go on to new highs. I can see drooy getting into the high 4's on this run and maybe sticking its head above 5, but will have to take another look at as it gets closer. In the gold market, there is always the chance that we could be surprised and see that this is the big one. I dont think so, but you never know.
thanks. I enjoyed the discussion last night between you and Kopy. I had been leaning toward CDE anyhow. Sure glad I picked some up today at 5.58, and glad I got into drooy. This is looking really good for the moment.
per our long discussion yesterday, it does look like the bottom is in and next week will start an unptrend which I believe will be slow and last about 2 months followed by a 15-20% correction, and then in the last half of 04 after august, I see gold stocks climbing to new highs.