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Aden: WeeklyMarket Commentary, Nov13
November 13, 2003

By Pam and Mary Anne Aden



GOLD IS GOING STRONG

Gold jumped clearly above $390 yesterday, closing at a new 7½ year bull market high. Silver also surged upward and gold shares closed at new six year highs. A strong rise is underway and it looks like we could see our initial $400-$415 target level reached before this intermediate rise is over. Gold is strong and the major bull market is solid.

Commodities are also very strong and the CRB commodity index hit a new six year high too. The same is true of the other metals and this bodes well for gold's long-term bull market, even though a normal downward correction could happen soon to cool some of the enthusiasm.

The U.S. dollar is again under pressure, however, and as long as that continues, it'll continue to give gold a boost. It's also keeping the foreign currencies very strong and most are hitting new bull market highs. We like these markets and continue to recommend them.

Stocks are looking good too. The almost eight month rise is going strong but the market is near overbought, so we'd maintain caution and keep stop losses on your positions.