I think that a better way to predict a huge move in gold to the upside will be when either the COMEX has to go out on the open market to fulfill physical delivery orders or central banks have to do the same. Either they bid the price of gold higher or they default on their obligations to deliver physical bullion. There is an abundance of paper gold floating around, which is keeping the gold price down. Physical supply that is up for sale on the open market is becoming more and more scarce. It is only a matter of time before the musical chairs stop and the paper gold market crashes.

Also note that the FED cannot reduce it's QE policy much further. Many contries are trying to find ways to diversify themselves away from the dollar, including China, Russia and Brazil. The FED will have to keep buying US debt because no other country will. The US governenment cannot afford interest rates above 6%.

I am not sure when the bottom will be put in place, but I am confident that a buy at these levels will look like a steal in a year.

IMO

I review a lot of PM articles and sources everyday to get a better understanding on where the PM market is headed. I look to professionals like Peter Schiff, David Morgan and Mike Maloney (among others).

The $1,220/ounce support level broke in gold yesterday. I am looking for a correction downward below $1,200/ounce.

IMO

I strongly believe that the $1220 level will be broken in the next month. I will be doubling down when it does. We are reaching a point where mining companies can't possibly make a profit and thus, no more gold can be mined without a loss. There are so many bubbles forming, especially in the stock market, housing market and bonds. When the market corrects, it will do so in a very big way.

IMO

I think you made a good move Dennis. This is definitely a long-term play. SAND may go lower that where you bought, but I strongly believe that SAND will see the $20/share+ area again.

IMO

I think SAND could see $15/share next year, but not before gold tests $1100/ounce or a little lower. The COMEX now only holds around 500,000 ounces of physical gold. It is very likely that COMEX could default next year, which would crater the paper precious metals markets and move physical metals significantly higher. It is only a matter of time before precious metals will be valued appropriate to the sum of all fiat notes outstanding. I wouldn't be surprised if SAND saw the high $3s/share. There is a great buying opportunity coming in Q1 2014.

IMO

I'll be waiting for the low $1,100s before I buy again. I think there will be a major fast push lower followed by a fast and large reversal past $1300/ounce. If it doesn't happen, I am ok with that.

IMO

Gold is going to $1100/ounce or lower. A significant support line has been broken. I'll be waiting to buy more SAND at $4/share. I believe that the reversal from $1100/ounce will be very fast.

IMO

Is anyone other than me doing some speculative buying and hoping for a fantastic Q4 and beyond?

I think that yesterday's buyout of Premier Royalty was a huge plus for SAND. Premier Royalty generated $1.9 million in profit excluding a $8.7 million wright down from Buffelsfontein. The company also has no debt and $32 million in cash. The outstanding shares will increase for SAND, but the overall earnings per share should increase with this deal and increase even more substantially as time passes. Only 7 of the 16 royalties are producing cash at this time.

SAND is going to be a power house in 2-3 years.

IMO

Several of STTYF's streams are operating in the negative. It is all spelled out in the Q2 report. The stock is definitely a long-term play. I really like their palladium and silver/zinc streams, but their natural gas and other energy plays (coal) have not played out well. The CEO has stated that the company made a mistake and will divest itself away from similar energy plays from now on.

I think this stock is incredibly oversold, but it wouldn't surprise me if the company was trying to raise capital for future streaming purchases. STTYF is a much more risky company when compared to SAND. It is operating in the red, but it may be worth the risk buying now at the 52 week low.

IMO

I am glad I added when I did. SAND has put in a higher low, which is bullish. I will add again on future dips.

Thank you Tommy. It looks like a great second quarter. I am glad I added to my position today and look forward to SAND's bright future.

Q3 should be a blow-out quarter with the gold not brought to SAND in Q2 sold in Q3, in addition to Q3 sales. Load up while you can. A lot of indicators are indicating that a bottom has been set in the gold market.

IMO

There is going to be a lot of volatility in the PM market today. The government revised how it calculates GDP recently and of course the GDP numbers are looking good now, given the fact that they are manipulated and in the favor of the central banks. The dollar is rising on the lastest US GDP news.

http://www.cnbc.com/id/100927539

The COMEX is seeing a mass exodus of its gold reserves. Investors are asking for physical delivery rather than leaving it in a warehouse where it may or may not be in the future.

I will be adding to my position in SAND at these levels. Take advantage of any short-term volatility if you can.

IMO

I don't think gold will go much lower, but I don't think it has hit bottom. The large banks have covered their shorts and are starting to build their long positions. Gold will go up once they are finished.

IMO

I highly doubt gold will go below $1000/ounce and personally think gold will bottom in the $1000 - $1150/ounce range.

But as I have stated before, one thing I have learned about the market is that it is unpredictable.

IMO

I am glad you enjoyed it.

Ha. I like your spirit.

Sure, no worries. That is what this board is about. I would like for gold to hold at $1150/ounce, but one think I have learned over the years is that the market is unpredictable.

The debt of the World will create the next big recession. It is only a matter of time. I strongly believe that confidence will be lost in many major currencies and asset prices will be reset, including gold and silver. Forget about inflation. The reset switch for PMs will make much more of a difference when it comes to price appreciation in terms of fiat money. The key is to own companies that make money off of PMs and to hold physical bullion before the reset occurs.

IMO

I think gold will fall to at least $1,100. I still think that the long-term silver chart (since the 80s) looks extremely bullish should silver consolidate in the $17-20/ounce range and move back up through $50/ounce.

I am not sure if anyone follows www.silverseek.com, but I read one of the most well-written articles recently. It is fairly long, but is very well constructed and thought out.

Reasons to Buy Gold and Silver Bullion

http://www.silverseek.com/article/reasons-buy-gold-and-silver-bullion-12214

The large banks are now net long in silver. This is the first time it has happened in several decades. It costs $20/ounce just to bring silver out of the ground. Gold is moving towards that state as well. Follow the money. The big players have to get in before they will allow the PMs to rise. Take advantage of the prices while they last. I'll be buying SAND in the $4s.

Pay close to interest rates as well. If money continues to exit bonds and the stock market turns sour, where will people put their money for safe keeping? (PMs)

IMO

I will keep buying PMs as they head lower. I am happy I can buy at these prices. The reversal will be a fast one when it happens. Either you will have a position or you will have to bid up the price and at much higher levels. Interest rates are key. The FED is going to have to increase QE to maintain the phony recovery because they are the only entity that is willing to buy US debt at such low interest rate levels. All I see is great news for PMs. Take advantage of these prices while they last.

IMO

I think SAND may see $5/share. I think it will be short-term however. Mining companies are getting clobbered as the price of gold heads lower. I believe that there will be a strong gold refersal by year-end and mining companies will see an even stronger reversal as the market piles into safe-haven assets that can be quickly liquidated if need be (mining stocks). Take advantage of PM prices every 10-20% move lower and you will be fine. It is all a game and how well you play it.

IMO

I still think that gold could hit $1,100/ounce before it heads higher. Gold will do well long-term, but not until confidence starts to be lost in the dollar. We are starting to see that now as the bond yields start to rise. As stocks continue to fall, bond yields rise and the dollar falls in value, gold will become the true safe haven and will have its day.

IMO

I think we have some more downside. I wouldn't be caught without a position in PMs though. I don't think the reversal will be a slow one. I am about ready to make another purchase, but not yet.

The FED is losing its ability to keep interest rates in check. My belief is that silver and gold will do better as confidence is lost in US treasuries and the Dollar. I believe that we are starting to see the beginning of he bond bubble burst. The only thing the FED can do to combat rising interest rates is to buy more US debt, not taper their purchasing. Today should be very interesting at 2pm (EST).

I agree that the paper and physical markets are "out-of-sink". I think silver will see the high teens per ounce and gold will see a move below $1300/ounce. I don't think it will last long however and it will make the long-term charts look much more bullish. The long-term silver chart has already formed a cup pattern and the handle is forming as we speak. A low of ~$18/ounce would be a positive, imo.

The Price Smash – Who, What, How and Why?

One of the most in-depth articles I have read as of late. It provides some pretty interesting circumstantial evidence to the large decline in the precious metals markets.

http://www.silverseek.com/commentary/price-smash-%E2%80%93-who-what-how-and-why-10991

I am buying an assortment of silver bullion. All I am saying is that silver bullion is becoming hard to come buy. You can get 10 oz .999 bars for $2 over spot still, but that is becoming even hard to find.

I think the recent decline in SAND is a number of factors:

1) Investors are cashing out to buy physical bullion
2) Investors are cashing out out of fear
3) Investors are cashing out because they see better places to put their money

Good luck finding silver bullion. I paid $4 over spot this morning. Nobody has silver maple leafs that I can find. APMEX was selling theirs at $5.50 over spot and that is if you bought 500+ (their discount price).

The bullion market is moving away from the paper market. I strongly believe that the paper market will follow. This looks like a bottom to me.

Thanks for the article. SAND has a lot of value built into it. It is understandable the there will be some selling as the gold price falls, but I think that gold bullion purchasers will be looking for other ways to diversify their gold holdings as the spot price premium increases, namely in miners and SAND.

The physical market is breaking away from the paper market. Physical silver is now selling $5+ over spot. I don't believe this downturn will last too long. Look for silver to test $22/ounce and gold to test $1450/ounce in the coming weeks. Many global countries have been buying physical gold by the 100s of tons. It is just a matter of time before demand outstrips supply and the market corrects itself. Owning SAND is a smart move since you own future gold production, which is hedged to a future gold spot price.

http://www.insideinvestingdaily.com/articles/inside-investing-012712.html

The Euro is rallying against the dollar today because of the new EU pact that was passed. Now if only we can get QE3 so the dollar falls even further, then we would have the beginning of a nice rally in silver. It is only a matter of time...

IMO

I think your safest bet is to ride silver up to the highs of last year in these leveraged stocks, sell them and then purchase physical silver or silver miners. Silver is being used at a faster rate than what can be mined. It is just a matter of time before the price/ounce of silver is reflective of it's demand around the globe.

The long term chart is showing a nice bottom here. I am still thinking that we will be over $35/ounce by the EOY. The fiscal cliff is going to cause panic among those who hold US treasuries. What are they going to purchase with so much uncertainty around the US dollar and its stability as a safe investment?

Silver/Gold/Oil (commodities in general)

IMO

Thanks for the info on USLV. I had no idea there was a 3 times leveraged ETF.

Things are going to start getting nuts here pretty soon. I'll have to buy some USLV in the next few weeks.

Silver is consolidating nicely around the $27-$29/ounce area.

Head for the exits if we break $26/ounce.

IMO

That is a very interesting chart to take note of. Hopefully AGQ will hold the $35/share level. I am a buyer here.

Europe is still in the spotlight. Greece is going to hold their elections on June 16th. I would feel better going long on silver AFTER the elections and if silver is showing some strength.

The US debt limit is about to resurface again and then the US will be in the spot light. Wait for that to happen before going long on silver. I'm thinking about buying some January 2012 call options. I think you could make a bundle there.

-IMO

Europe is going to be in the spotlight for some time. The debt ceiling will be a huge issue this summer in the United States. I think that we could see a very nice bounce in silver once that happens or if the FED issues a new plan to stimulate the economy, otherwise silver could break $26/ounce support and head for the next support at $21.50/ounce. I find that to be unlikely but who knows. Once silver starts making it's move higher, it will be in a hurry.

IMO

You will be fine, imo. I think silver is falling more due to Europe, especially Greece being in the spotlight. Many investors flock to US bonds short term when European countries are having problems. Silver will rise once again once the United States' so called 'recovery' starts to disintegrate. A lot of US debt has to be rolled over in June and bernanke's operation twist stops in June. I expect silver to make a major move northward in late June or early July. The $28.50/ounce support falling this morning means that AGQ could see $30 before another tier of support is met. There are some very good buying opportunities coming up in the next few weeks.

-IMO

Are you talking about the silver spot price or AGQ pps?

It looks like $30/share could be the next support level in AGQ if $40/share is taken out.

IMO

Any thoughts on the decline in silver? I see that the 50DMA is now crossing the 100DMA and heading lower. I am looking to buy more AGQ, but I think I may hold off until the pps gets a little support.

It looks like Europe (specifically Greece) is in the spotlight and US bonds are being bought out of fear. It is only a matter of time before the same thing happens to the United States. Hopefully the talk of Greece reorganizing their government and giving the banks the finger comes to fruition.