Replies to post #10030 on General Stock Ideas

[gfp927z]

SC, The larger cap gold miners (GDX) have done almost as well as the small cap GDXJ. The charts are looking near term overbought, but with the dollar breaking key support it's likely that gold will continue its recovery.

Those miners had gotten so cheap that even with the recent double, they're still not even back to the 2014 high, which was around 45 for the GDXJ. Its peak was over 170 in late 2010, so still a lot of upside if the dollar continues to weaken.

[bigworld]

scstocks: Don't be tempted to cash in too soon. There will be periodic consolidation moves, but the trend is up in the precious metal sector. With Deutsche Bank admitting to precious metal pricing manipulation and agreeing to provide evidence against its co-manipulators...and with China opening a world-wide trading platform for precious metals to compete with London...we may yet see gold priced to its true value eventually. If gold had only kept pace with the amount of Dollar dilution resulting from the orgy of money creation by the Fed, the EU and the Banks of Japan and China...gold would already be close to $3000/oz and GDXJ would be at $200 (split adjusted). Just looking to the remainder of this year I would not be surprised to see GDXJ attain $100 a share (split adjusted). The economic and political turmoil I expect to happen will send more investors into the precious metals. Hold on to your shares. I'll let you know when I'm selling.