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[NYBob]

Summertime has proven to be the best time to buy Gold.

During a typical year - Gold trading volumes fall -
considerably in June and July in what market -
watchers dub the "summer doldrums".

People simply go on vacation both mentally and physically.

That applies both to investors and professional investment
advisors," said Kosares, who authored the book
"The ABCs of Gold Investing".

The investment business in general tends to fall into
a lull during the summer months -
and Gold and Silver is no exception.

These doldrums run from June until the middle of August -
when the jewelry industry begins gearing up -
for demand linked to various year-end festivals -
and celebrations around the world.

Usually around mid-August investors also start thinking -
about shaping up their portfolios, which contributes -
to a late summer lift in investment interest.

"It's like someone throws a switch and everything returns -
to normal," said Kosares, who has been spotting - the Gold -
market trends for more than 30 years.

Looking at price movements since 2001, the first year -
of the current gold bull market, Kosares noticed that -
any purchase of gold made during the months of -
June and July resulted in a profit come Christmas time.

"Purchases made during the summer doldrums were up by an -
average of 12% by the year-end holidays -
according to our study," he said.

And these gains have generally gotten bigger each year.

According to Kosares' study, the price of Gold POG -
at the end of 2001 was up 2.8% from the summer -
doldrums period, but this increased to 9.5% in 2002,
17.7% in 2003, 10.2% in 2004 and a -
whopping 20% in 2005.

"Over the last four years, you could have picked up -
the phone at any time between bouts of chasing -
the wily trout or that little white ball and purchased -
a winning gold position," he said.

Autumn Bounce Could Put Gold Back Over $700

So what kind of autumn Gold bounce can be expected this year?

Kosares said if the current gold correction bottoms -
in the $600/oz area, the yellow metal could end the year -
around $675 based on the average 12% gain over the summer -
doldrums period seen over the past five years.

However, if the 20% gain seen in 2005 can be repeated -
in 2006 Gold price could be around $720 come New Years.

Gold was trading at $606.85/oz Monday morning in Asia.

But Kosares is even more optimistic and thinks there is -
a good chance Gold will top its 26 year-high of $725 -
hit in early May and make a run at $760 -
if not higher, by year's end.

"This summer could potentially be the best buy opportunity -
since the current bull market began," he said.

That could mean investors who sock away some Gold now -
may have more to show for their summer of 2006 -
than just a nice tan.



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