Opinion: Make it a lump of gold for Christmas
New York (MarketWatch) — If you are bad, you can expect a lump of coal in your stocking. But if you are good, go for a lump of gold. This holiday season, after a bear market of more than three years, gold-mining stocks finally look to be high up on the holiday shopping list.
In October, when gold and mining stocks first bubbled up in my screens, I interviewed Kevin Schweitzer, senior vice president at Maxim Group and a gold stock trader. He said that when the bottom is finally found, money will flood into the smaller mining stocks. I concur.
DYI Comment: For those of you who need to re-balance by selling off those high flying shares of the general market into your favorite gold or precious metals fund the time is NOW! From peak to trough most gold funds are off 70%! Bargains occur when there is blood in the streets and believe me gold mining company share prices have been bloodied!
The graph above has the Junior Miners at a peak of 120 and a low of 28. A little math to obtain the market decline...(120 - 28) / 120 x 100 = (-77%)
DYI
No comments:
Post a Comment