Zeev's Turnips Patch-No Politics (ZEEV)

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*** Russell Gold Snippet ***


Take your position and forget it

Richard Russell
Dow Theory Letters
March 17, 2003

Extracted from the 14 March 2003 issue of Richard Russell's Dow Theory Remarks

Gold -- Yesterday gold gapped down sharply, coming within a fraction of its 200-day MA, which stands at 330.90. A good deal of damage has been done to the gold price structure, and even if we've seen the low for gold it's going to take time to repair the technical damage.

Of note was that HUI, the unhedged gold average was slightly higher Wednesday and again Thursday, Nevertheless, HUI is now well below its 200-day MA, which today stands at 127.48 while HUI is at 121 or 6 points below its 200-day MA. Here too, there's a lot of damage to be repaired.

I'll be honest, I almost hate to describe the technical position of gold on an ongoing basis. I have indicated that I believe we should accumulate a 10% position in gold and gold shares and then just hold that position. The position goes up, it goes down, it goes around, I don't give a damn where it goes. Once you have the position put it aside.

Do you call your realtor every week and ask him what your house is worth? It's the same thing with your gold position. It's an asset. We're not trading it. Take your position and forget it. At any rate, that's what I'm doing though I add to my position periodically.

More follows for subscribers. . .

Richard Russell
Dow Theory Letters
© Copyright 2003 Dow Theory Letters, Inc
http://www.321gold.com/editorials/russell/russell031703.html

Regards,
Dan