Yamana Gold Inc (AUY)

[SeriousStockStoke]

The Direction of Gold & AUY


* One month ago I was thinking that Gold might pull back to $800 rather swiftly to its 200 Day Moving Average, however after witnessing the price action over the last two weeks I think $850 might be the support level for the time being. I still think that Gold wants to meet up with its 200 Day MA, but the 200 day ma is now currently around $850-$860 up from the $800 level a month ago.

* What I'm getting at is that I think the price of Gold might end up trading sideways for the next month or two and build another foundation before going higher sometime towards the middle to the end of Summer. That means AUY might be range bound between $13 & 16 for the next month or so. However, as I have said in a previous post, if Yamana can come through with more quarters like the last one, the stock could see some significant upside if the institutionals start building larger positions.



Best of Luck longs



Position: Long a small position in AUY