Canadian Stocks: Current Trends and Chart Analysis

[robtr31]

i hope these reports are okay on this board ,all i have for now if get more ,i can post if it is allright with monitor

bob



Silver Stock Report
by Jason Hommel
January 12th, 2006

The world is about to awaken to several discoveries!

First, the world will discover that gold prices have been suppressed, and will discover that gold is true and real money.

The world is now discovering what I discovered about the gold market years ago…

Gold Market Too Small For Chinese Diversification
http://asia.news.yahoo.com/060109/5/2doc9.html <http://rs6.net/tn.jsp?t=5k459rbab.0.sl949rbab.lyiszpbab.738&p=http%3A%2F%2Fasia.news.yahoo.com%2...

Key Excerpts:
"We view China's ability to raise gold holdings to a meaningful level for diversification as constrained, as the gold market is too small for this to happen without a serious price distortion [RISE!]," said Barclays Capital analyst Yingxi Yu."

"If it [China] were to raise (its gold holdings from 1.1%) to 10%, it would absorb some 4,680 tons, or around two years of global mine production."...

"For China to raise its gold in reserves to the international average of 8.9% would require the purchase of an additional 3,613 tons," said Williamson. "For China to raise its gold in reserves to the ECB benchmark of 15% would require the purchase of an additional 6,501 tons," he added. By comparison, most European national banks have agreed to limit their total gold sales to 2,500 tons in the five-year Central Bank Gold Agreement, signed in 2004."

In other words, when China buys 1000 to 6000 tonnes of gold, how high will the gold price have to rise?!

Compare this news with this excerpt from my Silver Stock Report:
------------------
1,296 tonnes -- the paper positions at the COMEX: Open Interest: 417,000 contracts for 100 oz. each.
5,000 tonnes -- the official number admitted that the central banks have sold.
15,000 tonnes -- the number that GATA research shows that central banks have sold or leased.
30,000 tonnes -- the number of official central bank gold, minus either the 5000 or 15,000 tonnes.
150,000 tonnes -- all the gold mined in the history of the world.
2,500 tonnes -- annual mine supply
4,000 tonnes -- annual demand

And all of that is nothing compared to the amount of dollars out there that exist that could buy gold. $20 trillion bonds, $10 trillion M3 = $30 Trillion. A mere 1% is $300 Billion, which, at $500 /oz. is a massive demand of 18,661 tonnes. Do you understand what that means? That means that far, far less than 1% of dollars, in either bonds or M3 can buy gold, because there simply is not that much gold available.

Long before 1% of U.S. paper dollars tries to buy gold, gold will be going up well over $1000/oz., and silver will be headed up over $50/oz.
------------------

So, how did the value of gold get so low? Manipulation and lies! Central banks have been selling gold, to meet the gap between mine supply and annual demand. Now that central banks (Russia, China, South Korea, Argentina, South Africa, & Iran) are contemplating buying gold, the manipulation is ending.

You should buy GATA's DVD of "Gold Rush 21" a conference in the Yukon in August that cost $3000 per person to attend (I was there), that exposed the central bank gold selling and manipulation of the gold price. The world will increasingly discover what GATA knows, that central banks do not have the 30,000 or so tonnes that the IMF encourages them to report as "on the books", because 15,000 tonnes or more have been lent out and sold into the gold market, depressing the price.

Order for $19.95, the "Gold Rush 21" DVD, containing 8 hours of footage.
http://www.goldrush21.com/ <http://rs6.net/tn.jsp?t=5k459rbab.0.tl949rbab.lyiszpbab.738&p=http%3A%2F%2Fwww.goldrush21.com%2F...

Second, the world will discover that the major gold mining companies are mostly hedged. Barrick owes 13 million ounces of gold, pre-sold at about $350/oz. At $550/oz., this is a trading loss now of $2.6 billion dollars, and growing! Barrick has been looking for a price dip to buy back this gold, ever since $330/oz., and the dip never came! All of Barrick's gains from "hedging" have now been lost! This is a major accounting fraud!

Third, the world will discover that gains can't be made in majors that may go bankrupt due to hedges. People will discover that the most leveraged gains will come from junior exploration gold and silver companies.

Hommelberg (no relation) in "JUNIOR FESTIVAL 2006 - Part II" January 5, 2006,
(A GREAT ARTICLE!)
http://www.gold-eagle.com/editorials_05/hommelberg010506.html <http://rs6.net/tn.jsp?t=5k459rbab.0.ul949rbab.lyiszpbab.738&p=http%3A%2F%2Fwww.gold-eagle.com%2F...

quoted John Brigde (senior gold analyst JP Morgan) who said:

"If you are lucky enough to buy into an exploration company that makes a discovery, you can effectively buy your own auto teller machine. Some of these things are just phenomenally profitable."