Bear Market Cycle Bottom Forming in Gold and Gold Stocks Right Now!

By David A Banister – www.MarketTrendForecast.com

Bear Market Cycle Bottom Forming in Gold and Gold Stocks Right Now!
Today we take a look at the Bullish Percent Index chart relative to Gold’s cycle and Gold Stocks.

 Essentially it tells you what percentage of Gold sector stocks are at or above a moving average, which normally would be 50 days.  When 70% or more are above a 50 day moving average, sectors can be peaking out.  If you look at our chart at the bottom, we have labeled various incidents with A, B, C, and D.

 

A. The precious metal as we all know peaked in the fall of 2011 at $1923 per ounce, and the Bullish percent index was at 80%! Usually at 30% or so, they are bottoming out in most cases.

 

B. We saw a rare case in the summer of 2013 where the Bullish percent index for Gold stocks was at 0%, yes that is not a miss-print.

 

C. Gold bottomed at 1181 in late June 2013, and then rallied up to 1434 and we saw Gold stocks rally 40-80% in individual cases and the Bullish percent index rallied up to 55%.

 

D. If we fast forward to December 2013, we have Gold pulling back in the final 5th wave down from the Bull cycle highs in August 2011 at $1923.  The Bullish percent index is back to 10% and heading towards 0 or close once again.  At the same time, the Gold miners index ETF (GDX) is at 5 year lows and even lower than June-July 2013 lows.

 

These types of indicators are coming to a pivot point where Gold is testing the summer 1181 lows and may go a bit lower to the 1090 ranges.  At the same time, we see bottoming 5th wave patterns combining with public sentiment, bullish percent indexes, and 5 year lows in Gold stocks.  This is how bottom in Bear cycles form and you are witnessing the makings of a huge bottom between now and early February 2014 if we are right.

 

The time to buy Gold and Gold stocks is now during the next 4-5 weeks just as we were recommending stocks in late February 2009 with public articles that nobody paid attention to.  This is the time to start accumulating quality gold miner and also the precious metals themselves as the bear cycle winds down and the spring comes back to Gold and Silver in 2014.

 

Elliott Wave Theory - Gold Forecast

 

Join us at www.MarketTrendForecast.com for regular updates on Gold, Silver, and The SP 500 Index.

David Banister

 

 

 

How Will Appreciation of Yuan Affect Outsourced Companies?

Guest Post by Patrick Gibson

The newly effected direct exchange capability between the Yuan and the AUD will soon start helping cut costs for thousands of exporters of goods and services in Australia, because trade between the two countries will be free of the fluctuations of the USD.

At the same time, the Chinese Yuan has been appreciating significantly against the AUD and the USD since the beginning of 2013. The nominal trade-weighted Yuan saw a moderate appreciation of 6.1% since the start of the year.

This rise of the Yuan against international currencies is a result of many internal and external factors, including international pressure, and this is mixed news for Australian companies that are sourcing to China their manufacturing and other functions.

Overview of Impact to Australian Outsourcing Companies

Early in April 2013, the RMB/AUD rate was 1/6.48; in other words, 1 AUD was able to buy 6.48 RMB worth of some goods. If the Chinese Yuan appreciates at a year by year rate of 7.5% against the Australian Dollar, it means that within a year 1 AUD will only be able to buy 5.99 Yuan worth of some goods. The Yuan has been steadily rising against international currencies since 2010.

Now a moderate to high appreciation of the Yuan (also known as the Renminbi) by up to 7.5% against the AUD will help to resolve trade imbalances between the two countries. But while that is the good news, the bad news is that the outsourced Australian company will have to raise costs of manufacturing. In addition, there have been other changes in China including rising wages and raw material costs. This is going to raise prices at check-out. But this doesn’t mean the Australian outsourced company in China pulling out, however. Major Australian outsourcing company Myer, for instance, has doubled its outsourcing to China in 2011. They, as well as other outsourced companies are getting around higher costs by moving their manufacturing north, where electricity, resources and labour are significantly cheaper than the south.

There is also the additional fact that the appreciation is likely to become stable at this rate, because of the restrictions that the Chinese Central Bank has still placed on the exchange rate.

Chinese Floating Exchange Rate In Relation to the AUD Explained

Over the past 10 years the Chinese banks have been keeping the value of the currency artificially low through a fixed exchange rate. The undervalued currency was affecting international trade. The fixed exchange rates of the Yuan against the USD (and indirectly the AUD) had given China an unfair trade advantage, with imports to China being expensive and exports becoming cheaper.

The supply of AUD in China was therefore higher but the AUD was weak against the Yuan. In such a scenario, in economies with floating exchange rates, the currency prices adjust themselves to resolve the trade imbalances. That was not the case in China, however, as the currency was fixed with Central Bank intervention to keep the Yuan high against the USD (and indirectly, the AUD). This adversely impacted trading for Australian companies, creating deficits for them and surplus in China.

The switch to a floating exchange rate for the Yuan dependent on market forces since 2010 is a step by the Chinese government towards loosening the Central Bank’s control over the currency. This is going to benefit international traders including Australia. The era of low-priced Chinese goods will soon be over. However this will also mean rising costs for the outsourced company.

Solutions for Australian Outsourced Companies

Clearly the appreciating Yuan against the AUD, rising labour costs, and the new Labour Law requiring at least 150% overtime on weekdays and 200-300% on weekends are affecting the bottom lines of outsourced companies, both for marketers and manufacturers. Some factories have also closed in China, unable to keep up with the changes.
But the good news is that the overall cost of production in China is still lower than anywhere else in the world. Also, despite the Yuan appreciation, calculations suggest that it is still undervalued by around 39%. And given the attitude of the Chinese government, they will not want the value to rise much further.

The outsourced company in China will definitely benefit at this stage by enhancing the quality of products. There will always be buyers for quality goods, no matter the price. A study by Nielsen has shown that while price and value do play a role in determining where people shop and what they buy, manufacturers and retailers who offer high quality and great value do better than those companies and manufacturers that try to stretch their dollars. This is true even in a poor economy.

Guest Post by Patrick Gibson

 

Fibonacci Retracements Analysis 26.12.2013 (EUR/USD, USD/CHF)

Article By RoboForex.com

Analysis for December 26th, 2013

EUR/USD

Eurodollar is still consolidating. Probably, price completed local correction and is about to start new descending movement towards lower fibo-levels. I’m keeping my sell order with stop at local maximum.

As we can see at H1 chart, price is entering temporary fibo-zone, where it may finish current correction. Possibly, pair may reverse and reach new local minimum until the end of this week.

USD/CHF

Franc is trying to start new ascending movement. Possibly, price may break previous maximum in the nearest future. In general, pair is expected to grow up towards upper fibo-levels, which may later become starting point of new correction.

At H1 chart, market is moving inside temporary fibo-zone. Most likely, this is the place, where price is going to finish this slight correction. I’ll move stop on my buy order into the black as soon as pair reaches new maximum.

RoboForex Analytical Department

Article By RoboForex.com

Attention!
Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex LP bears no responsibility for trading results based on trading recommendations described in these analytical reviews.

 

 

Taiwan holds rate, sees higher 2014 growth, inflation

By CentralBankNews.info
    Taiwan’s central bank held its benchmark discount rate steady at 1.88 percent, unchanged since June 2011, saying domestic economic growth should improve next year due to better exports and a slight improvement in private consumption but the momentum of industrial investment is still insufficient.
    The Central Bank of the Republic of China (Taiwan) said the government was forecasting economic growth next year of 2.59 percent, up from an expected 1.74 percent this year, and 2014 inflation of 1.21 percent, up from an expected 0.94 percent this year.
    The decision by the central bank was widely expected and the bank also decided to maintain its current M2 money supply growth target at 2.5-6.5 percent for 2014 in light of an expected gradual improvement in the global economy and the lack of inflationary dangers. Oil prices next year are expected to be slightly lower, grain prices to rise gently and global inflation to remain moderate.
    Taiwan’s Gross Domestic Product expanded by 0.27 percent in the third quarter from the second for annual growth of 1.66 percent, down from 2.69 percent in the second quarter. The headline inflation rate in November was 0.67 percent, marginally higher than October’s 0.64 percent.
    The central bank introduced further prudential measures and urged banks to exercise caution in real estate lending and asked banks to pay close attention to their credit risk management.
    The central bank said it had learned that some banks had made high-value housing loans without fully complying with its principles and a few banks were also found to have used inadequate due diligence when approving loans for industrial use.
    “Financial institutions obtain most of their funding from the public and should fulfill their role as intermediaries and protect depositors’ rights and keep from using depositors’ money to fuel real estate speculation,” the bank said, appealing to banks to enhance their risk management and refrain from relying solely on collateral appraisal or borrowers’ status to grant large credit lines.
   The central bank also said it would maintain order in the foreign exchange market to avoid excessive exchange rate volatility and disorderly movements.
    The bank is setting aside US$ 20 billion from its foreign exchange reserves, 1.0 billion euros and 80 billion yen in seed capital to participate in the Taipei foreign currency call loan market to meet demand for year-end funding amid tight funding conditions and rising global interest rates by companies in need for foreign current for working capital or overseas merger and acquisitions.
    The Taiwan New Dollar has been depreciating since mid-October, trading just below 30 to the U.S. dollar today compared with 29.32 on Oct. 18. This year the TWD is down just over 3 percent from 29.05 on Dec. 31, 2012.
    Economists are currently expecting the central bank to raise interest rates in the first quarter of 2014 due to the inflationary impact of higher electricity prices.

     www.CentralBankNews.info

Top 5 Most Outrageous Articles of 2013

By WallStreetDaily.com

Sometimes the world of finance can be unimaginably boring, so it’s important to spice things up a bit every now and then.

The only problem is, oftentimes our readers aren’t happy with the result. You can’t please everybody!

With that in mind, here are the top five most outrageous articles that seriously turned some heads this year.

Outrageous Article #5:
Beware of This Insidious New Currency Scam

You wouldn’t believe the hate-filled emails we received on this gem! I called out Bitcoin as one of the most dangerous pitfalls in the market. Of course, no one listened, since investors have been bidding up the cryptocurrency like crazy. Here’s one of my favorite comments we received about this analysis: “Shame on you. What a moronic, uninformed article. There is clearly no hope for some people.” Ouch.

Outrageous Article #4:
The World’s First Vomit-Powered Car

Yup, we took it there! Scientists had demonstrated that bacteria found in the digestive systems of humans and animals can be reprogrammed to produce a gasoline alternative. I know, not the most enticing subject in the world. But it certainly got readers’ attention.

Outrageous Article #3:
China’s Two-Child Policy Will Set These Super-Hot Stocks Ablaze

In August, news surfaced that China was about to relax its one-child policy at the end of 2013 or early 2014. At the time, I said that the policy change could be the country’s “best economic stimulus plan yet.” After all, it would unlock a new wave of demand for the latest consumer goods necessary to feed and entertain the swelling populace. And I had my sights set on two stocks in particular.

Outrageous Article #2:
The Biggest Government Lie in History?

The government claims that there are almost 5,000 metric tons of gold – or roughly 3% of all the gold ever refined throughout human history – inside Fort Knox. However, skeptics will tell you that the vault is totally empty. After digging a little deeper, we couldn’t simply laugh off the idea, either. Neither could you, apparently. One reader actually wrote in to say that “Obama is stealing the gold for himself.”

Outrageous Article #1:
Beware of This “Dead Money” Investment

Way back in the 1990s, banks uncovered a novel way to save money on taxes and employee benefits by – get this – betting on their employees dying. And when I wrote this article back in August, the involvement of one of the world’s largest financial institutions in these “dead money” investments was making its stock, well, a “dead money” investment, too. One reader in particular wasn’t too fond of this article, calling it “a load of B.S.”

That’s all for today.

Be sure to tune in tomorrow, when I’ll break down the most popular Friday Charts articles.

Ahead of the tape,

Louis Basenese

The post Top 5 Most Outrageous Articles of 2013 appeared first on Wall Street Daily.

Article By WallStreetDaily.com

Original Article: Top 5 Most Outrageous Articles of 2013

Ichimoku Cloud Analysis 26.12.2013 (GBP/USD, GOLD)

Article By RoboForex.com

Analysis for December 26th, 2013

GBP/USD

GBPUSD, Time Frame H4. Tenkan-Sen and Kijun-Sen intersected inside Kumo Cloud and formed “Golden Cross” (1); all lines are horizontal. Ichimoku Cloud is going up (2), Chinkou Lagging Span is close to the chart, and price is on Kijun-Sen. Short‑term forecast is bullish.

GBPUSD, Time Frame H1. Tenkan-Sen and Kijun-Sen intersected and formed “Golden Cross” (1); all lines are horizontal. Ichimoku Cloud is going up (2). Short‑term forecast: we can expect ascending movement of the price.

GOLD

XAUUSD, Time Frame H4. Tenkan-Sen and Kijun-Sen intersected and formed “Dead Cross”. Kijun-Sen and Senkou Span B are directed downwards. Ichimoku Cloud is going down (2), and price is inside Tenkan-Sen – Kijun-Sen channel. Mid‑term forecast is bearish.

XAUUSD, Time Frame H1 – Indicator signals: Tenkan-Sen and Kijun-Sen intersected and formed “Golden Cross” (1). Ichimoku Cloud is going up (2), Chinkou Lagging Span is above the chart. Short‑term forecast: we can expect ascending movement of the price up to H4 Senkou Span A.

RoboForex Analytical Department

Article By RoboForex.com

Attention!
Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex LP bears no responsibility for trading results based on trading recommendations described in these analytical reviews.

 

 

Retirement: You Do Have an Alternative

By MoneyMorning.com.au

Preparing for your retirement wasn’t supposed to be difficult. The government had it all sorted for you.

The ATO made sure you saved and invested a certain proportion of your income into Super each year. The Treasurer managed the economy to make sure the stock market always goes up. The Reserve Bank of Australia made sure the cost of living didn’t get out of hand. The FRB and ACCC protected your investments from too much and too little competition. APRA and ASIC made sure you don’t get defrauded. And there’s always the pension.

Unless you’re deeply sceptical of anything the government does, the chances of all those institutions getting it wrong may seem very low. But they have got it wrong. Terribly wrong.

Because Australians overinvested in shares via their Superannuation accounts, a HSBC report reached the conclusion that our retirement savings system was the world’s worst performer during the financial crisis. And our stock market still hasn’t recovered.

True, we haven’t had a recession in more than twenty years. But that also means we have a lot of very fragile and untested parts of the economy. It’s just like the difference between brush fires and bush fires – if you don’t clear the tinder with occasional burn offs, look out! Once we do have a recession, it will be worse. And most Australians won’t be prepared.

But the biggest risk Aussie retirees have discovered is the complete lack of accountability and oversight in the financial sector. In The Money for Life Letter I’ve exposed how up to 20% of Australian mortgages could be induced by fraud, leaving homeowners homeless and in debt.

The country’s mortgage debenture industry is going insolvent one mismanaged company after the other, destroying life savings in rural communities. The alleged misbehaviour of several Commonwealth Bank financial advisors was recently exposed. And Australia’s regulators are a laughing stock to those in the industry.

With friends like these handling your money, who needs enemies?

Back in 2008 I completed an internship at a prestigious investment bank which gave me a scholarship to university. I saw what the financial world is like from the inside while the façade of respectability was ripped off by a financial crisis. And I didn’t like it. But I decided I would learn the trade from the best and then set my own course in the investment world.

That’s when I got a text message from Port Phillip publisher Dan Denning. I’d met him once before. ‘Want to move to Melbourne?’ was all it said.

Today, four years later, I write The Money for Life Letter. It allows me to do what I wanted back when I was at the investment bank: Tell ordinary people that there is an alternative to the retirement system that has failed them.

That alternative starts with a change of mindset. Don’t just fiddle with which shares you own, how you structure your Super, or which financial advisor you see. Those changes won’t rescue your retirement. They’re like changing which political party you vote for. Has voting ever solved any of your personal problems? It’s a distraction. Instead, you need to make much deeper changes yourself.

Opt out of the idea that the stock market and property market always go up. Opt out of the idea that your financial advisor and broker have your interests at heart. Opt out of the ‘she’ll be right’ retirement mentality.

You need something different. And in The Money for Life Letter, you can find it. This year I showed my readers…

  • How to ‘crash-proof’ your retirement. Imagine being able to survive five years like 2008 unscathed. I can show you how, using a new ASX listed investment in a very particular way.
  • How to get three of Australia’s biggest and safest companies to pay for every day of your retirement, including annual payouts of whatever sum you decide to invest in them now.
  • Live the luxurious life of a millionaire without having to spend money like one, by retiring overseas. I shortlisted and analysed five retirement boltholes best suited to Australian retirees looking to escape the world’s highest cost of living.
  • Be healthier, stronger and more active in your golden years, and save a potential $220,000 in medical costs by taking one $149 test from the comfort of your own home. (I revealed my own embarrassing results too.)
  • How to turn one of retirement’s most important expenses into a profit using time travel.

There are a few things those ideas have in common. They won’t make your broker or financial advisor a penny wealthier (which is why you won’t hear about those ideas from them). They don’t rely on financial market prices going up. And they can make a much bigger difference to your retirement than any advice you’ll get elsewhere.

Because of the financial crisis, some retirees are fed up. They’re taking note of ideas like those in The Money for Life Letter. But you might be thinking it’s too late. The crash has happened. There’s no point in making changes now.

But the financial crisis of 2008 was just a wakeup call. Unfortunately, there are plenty of problems on the horizon for Aussie retirees. And the biggest problem is one that is hiding in plain sight. It’s so big that everyone can see it, but nobody knows what to do about it.

It’s no coincidence that all the ideas I just mentioned are specifically designed to deal with the dangerous event set to strike during your retirement. After all, I’m all about finding solutions, not problems. But what is this threat?

Some time ago, I came across this chart:

It shows the projected inflows and outflows of the Superannuation system as a whole, so contributions and payouts. It’s from 2004, so it’s out of date. I spent hours looking for an updated version, but there aren’t any. And researchers have bluntly refused to publish a new one. You’ll see why in a minute.

Here’s the problem that should horrify anyone paying money into Superannuation, the stock market and any other Australian investments: The two lines cross.

That means, at some point, Super contributions will be swamped by those taking money out of the Super system. One of the biggest sources of demand for Australian investments is going to disappear.

It will be replaced by an enormous amount of retirees selling their investments to pay for day to day expenses. The rug will be pulled out from underneath investment prices as supply overwhelms demand. Stock markets, property markets and other investments will plunge as retirees figure out that whoever sells first will get the best price.

Now the government is already working feverously to buy time. They’re going to raise the size of compulsory super contributions. They’re going to change the investment mix Super funds hold. And you’ve probably read about the hullabaloo involving property investing and self managed super funds.

But none of this changes the end result. Because that’s predetermined by demographics. There simply won’t be enough people in the work force to buy all the investments retirees are going to sell to fund their retirement.

The good news is, I mentioned the solutions above. Not all investments rely on prices for their payouts. Some pay income, like dividend paying shares. Retirees will be spending money, so corporate profits should remain high. That means high dividends too.

Other investments have a fixed, predetermined payout which you can pre-book for your retirement years. Regardless of the price of those investments in the meantime, you’ll know exactly when the payout is due and exactly how much you’ll get.

Another option is to adjust your living expenses by getting more bang for your buck. My favourite one involves an ancient form of time travel.

Even if you’re not a Money for Life Letter subscriber, I’m sure you can think of ways to shore up your retirement in the face of demographic change and a complete failure of the your government’s attempt to provide for your retirement. After all, there are alternatives.

If you want to fund out more about the ones I’m recommending click here.

Nick Hubble
Editor, The Money for Life Letter

Join Money Morning on Google+


By MoneyMorning.com.au

Fracking, Uranium and Solar, Oh My!: Growth and Innovation in 2013

Source: The Energy Report (12/26/13)

http://www.theenergyreport.com/pub/na/fracking-uranium-and-solar-oh-my-growth-and-innovation-in-2013

A more profitable outcome often requires a new way of doing things. The Energy Report profiled some of the most innovative stories in the energy space in 2013. Our experts talked about everything from developments in hydraulic fracturing techniques to new ways of finding and processing natural resources. As we look forward to exciting new opportunities in 2014, let’s revisit some stories our experts shared last year.

Oil & Gas: Enhanced Recovery

Nothing catches the market’s attention like cushy profit margins. Technologies that enable oil producers to drill more for less money were a notable theme for the experts featured in The Energy Report in 2013.

As Jim Letourneau commented, “Reducing drilling time by 20–40% is an easy sell, and the enhanced oil recovery business has a huge market in the field.”

In an August 2013 interview titled “Smart Fracking: Jim Letourneau on Enhanced Oil Recovery with Competitive Costs,” the Big Picture Speculator editor said, “There are a lot of technological tricks for increasing well productivity with minimal costs: A producer can re-enter wells or stimulate wells or fracture older wells. It can enhance oil recovery with pulsed injection of water or chemicals by utilizing a tool installed in the wells that injects fluids in pulses—pumping like a heart pumps. Think of putting a kink in a garden hose. Pressure builds up and when the kink is released there is a strong pulse of water. This technology is efficient and companies can make money doing enhanced oil recovery with pulsed injection.

One such company is Wavefront Technology Solutions Inc. (WEE:TSX.V), which provides pulsing tools to operations all over the world. It has a couple new business lines with fantastic growth rates. In well stimulation, a chemical (usually acid) is injected into a formation to clean up the area around the well bore so that more oil and gas can flow. By using pulsing, the acid is placed more uniformly and better flow rates are achieved after the stimulation. This part of Wavefront’s business is growing very quickly and now accounts for roughly half of the company’s revenue.”

C. K. Cooper & Co. Analyst Darren Odenino was more impressed with CO2 Enhanced recovery, a method wherein CO2 is piped to oil fields, where it is injected via injection wells into the oil reservoir. [See infographic below.] The Department of Energy’s Office of Fossil Energy notes that about 114 active commercial CO2 injection projects are underway in the U.S., and together they could produce a collective additional 280,000 barrels of oil per day (280,000 bbl/d).

Among the higher-profile projects is Magellan Petroleum Corp.’s (MPET:NYSE) Poplar Field in Roosevelt County, Montana. In his May 2013 interview titled “How to Spot Oil and Gas Takeout Targets,” Odenino commented, “The exciting catalyst for Magellan is the opportunity to test its CO2-Enhanced Recovery project in the Poplar field’s Charles formation. If that proves successful, Magellan should be headed for a lot of growth.” Magellan has already reached several milestones for this pilot project. With funding secured for a two-year trial run and five wells drilled, Magellan is scheduled to begin CO2 injection this very month.

source: U.S. Department of Energy

Evan Smith, co-portfolio manager of U.S. Global Investors’ Global Resources Fund, sees producers moving toward a manufacturing-like process in the coming year with multi-well pad drilling. In an interview earlier this month titled “Producers that Can Pump at $60/bbl Oil,” he commented, “The rig count has declined by more than 50% over the last two years, and yet we continue to see a steadily increasing supply of natural gas. It’s a testament to the technology that has been developed by the industry to drill faster and more efficiently and to unlock and produce more reserves with less input.”

“I think in 2014, people in the field will have delineated most of their acreage and are going to turn these things into a pure manufacturing process with pad drilling. Continental Resources Inc. (CLR:NYSE) is testing 16 wells per pad in the Williston Basin in North Dakota. The company will repeat that pattern and drive costs down. We’ve seen a big shift to multi-well pad drilling in 2013, but I think it’s going to become much more standardized in 2014. The efficiencies that we’ve seen, which have led to more productivity with fewer rigs, will probably remain and perhaps even accelerate in 2014.”

North American oil and gas industry innovation is a force that is turning the global production profile upside down as companies explore new oil and gas reserves around the world that were thought all but unrecoverable. As Edison Investment Research Analyst Peter Dupont commented in his recent interview, “Has Shale Broken OPEC’s Grip?,” North American companies with shale tech know-how are poised to unlock reserves around the world, especially in South America.

“Some of these companies have first-mover advantage.,” says Dupont. “Madalena Energy Inc. (MVN:TSX.V) [is one of] the most obvious examples. . . Madalena has working interests ranging between 35–90% in three blocks in the Neuquén Basin comprising a sizeable 135,000 net acres. Contingent and prospective recoverable resources are estimated by Madalena at 2.9 Bboe, of which 45% are oil and NGLs. There is a mixture of conventional and unconventional plays. Small quantities of oil are presently obtained from the conventional Sierras Blancas formation in the Coiron Amargo Block, where horizontal drilling technology is being applied. Madalena’s key focus presently is to secure a joint venture partner for the appraisal and development of the Vaca Muerta and Agrio shale formations. Securing a partner or partners would be a critical catalyst for the stock.”

Canaccord Genuity Research Director Christopher Brown saw shale tech sweeping the old world, especially in Ukraine. In his November interview, “Four International O&G Juniors for a Globe-Sweeping Shale Revolution,” Brown commented, “On the Ukrainian side, Cub Energy Inc. (KUB:TSX.V)has done well at introducing new technologies to the country. Cub has received the approvals to bring in this new technology and apply it. It’s going to be a slow process, but as the company continues to unlock value, there’s no denying that its region and fiscal terms are very good and provide a lot of incentive to keep on working hard to grow the production base. Turkey hosts a more difficult unconventional basin. The Anatolia Basin is still in its earlier stages, whereas the Ukrainian assets have some proven opportunities. In the Anatolia Basin, you do have some majors that are tentatively playing around the edges, but there has not yet been anything that’s really unlocked that basin. But it didn’t cost Cub much to enter the basin and the Turkey play provides shareholders with potential future value, which they don’t pay for at Cub’s current share price.

“. . .History has proven Ukraine has access to significant volume. That’s why Cub is in this country: It believes it can unlock more value. . .through its ownership in a separate private holding company (Pelicourt Ltd.), management holds a major position in Cub Energy, and recently it decided to put in additional dollars to show confidence in the future of Cub. As of its last statement in October 2013, it owns 39.54% of the shares outstanding. That’s provided a decent amount of market support.”

As the oil and gas sector continues to transform worldwide, keep tuning in for Streetwise interviewsthat shed light on promising oil and gas explorers that are poised to deliver shareholder value.

Uranium: Fundamental Changes

With the Megatons to Megawatts program officially coming to a close, investors are shifting focus to North American uranium producers that can help meet U.S. needs. John Kaiser‘s October interview, “10 Strategies for Success in a Flat Commodity Price Market,” was filled with fresh approaches to mining. In light of the small number of domestic uranium producers and the high capital costs of resource delineation and mine development, an innovative new sampling method caught Kaiser’s attention.

He comments,”A junior explorer, Uravan Minerals Inc. (UVN:TSX.V), has developed an interesting geochemical sampling method it is using on projects in the Athabasca Basin. . .Uravan has spent the last five to six years developing its geochemical sampling method in collaboration with Queens University’s Kurt Keyser, which looks for the lead isotope decay products of a uranium deposit. These get absorbed by vegetation and clay particles. The company takes tree core samples at surface to find evidence of a resource that may be 1,000–1,500m deep. You still can’t tell the size of it or the grade, but at least you know you’re going to hit something once you drill down there.

“This approach opens up a much deeper portion of the basin that has been largely out of bounds because of the difficulty in finding these deposits, which almost always are right at the unconformity between the basement rocks and the overlying sandstone rocks in association with graphite. The conventional targeting tool is a geophysical survey that looks for conductors representing these graphite beds. But deeper than 450m, these conductors become fuzzy just as drill holes that need to pinpoint the target become expensive. This is problematic because most of the graphite beds at the Athabasca Basin unconformity do not host a uranium deposit. Uravan’s radiogenic isotope based sampling tool allows the junior to see evidence of a uranium deposit at substantial depth from the surface. A case study done this summer apparently demonstrated that Cameco’s 850m deep Centennial deposit shows up as a well-constrained geochemical anomaly. Theory says that in the Athabasca Basin, the thicker the sandstone cover, the bigger and richer the potential uranium deposit at the unconformity. Uravan now has a tool that enables it to stalk super-elephants in uncharted territory.”

Kaiser continued, “Uravan can also perform this research as a service to companies that have claims in the Athabasca Basin and then earn a royalty or a small interest in exchange for generating the geochemical part of the target that you need to justify raising money for a high-stakes drill program.” Earlier this month, Uruvan completed another surface geochemical study on the Centennial depositbased on the earlier survey.

The Abasca Basin is in the spotlight more than ever this year, as superstar company Fission Uranium Corp. reported countless startling results. As Kaiser noted, “A big discovery event in the past year is the Patterson Lake South discovery in the Athabasca Basin by Fission Uranium Corp. (FCU:TSX.V) and Alpha Minerals Inc. This is a classic high-grade unconformity type of uranium deposit with grades of up to 20% uranium. The size of this discovery is stimulating interest in the potential for a new Athabasca Basin area play.”

Of course, other domestic near-term uranium producers are raising eyebrows among energy analysts, especially those who expect a uranium price comeback in the coming year. Cantor Fitzgerald Canada Metals and Mining Analyst Robert Chang highlighted Energy Fuels Inc. (EFR:TSX; EFRFF:OTCQX; UUUU:NYSE.MKT) in his September interview, “Uranium Price Headed for $50 in 2014, Taking Stocks Higher.” Chang commented, “We cover Energy Fuels, which is the second largest producer of uranium in the U.S. and probably has the best story leveraged to the uranium price. It currently produces only about 1 Mlb/year, by design, with several mines that can be turned on relatively quickly. We estimate that it could quickly turn on anywhere between 2–5 Mlb more in annual production once prices get to attractive levels. On top of that, it also has the White Mesa mill that it acquired from Denison, located in Blanding, Utah, which is the only conventional mill in the U.S. Having mill access is extremely important because you effectively cannot produce your final product without it. Energy Fuels has a monopoly position with a conventional mill and it can even make money by processing material on a toll basis for other producers. We believe that this is a very attractive company for those who believe that the uranium price will head higher.”

Meanwhile, the way that we consume nuclear power could completely change over the coming decades. In his recent interview, “Why Uranium and Coal Rank high for Energy Return on Energy Invested,”Thomas Drolet commented on a coming shift to smaller units: “Standard nuclear reactors being built today are gigantic units. Over the next decade we’re going to see a shift to smaller units—small modular reactors (SMR)—for good and valid reasons of schedule and because the utilities want them. Babcock & Wilcox Co. (BWC:NYSE) and NuScale Power LLC in the United States are being funded or potentially funded by the U.S.DOE to bring on these smaller reactors.”

What’s particularly exciting about stories like these is that they are larger than a single company. They have the potential to galvanize an entire sector and make a particular energy source more viable, period. Keep tuning in next year for more investment advice about uranium producers.

Alternative Investments

Alternative energy as a sector is built on technological innovation, but in order for the market to take notice, these innovative feats need to create a compelling bottom line. Rodney Stevens took notice of an innovative solar energy business model in his July interview, “A Short-Seller’s Investment Guide to Obama’s Climate Change Initiatives.

Stevens commented, “We like SunPower Corp. (SPWR-A:NASDAQ; SPWR-B:NASDAQ) because not only does it manufacture the solar panels, but it also has a leasing program for the retail space, similar to SolarCity. SunPower has one of the best products available on the market and it should benefit from the incentives utility companies have to add renewable sources of energy to their business. SunPower could play a big role in the utility space, but also grab the retail markets. It should benefit from the growth in solar and also it has an international base, although its operations are primarily in the U.S. . .I think decent quarterly results drove the stock. Its revenues beat expectations and its losses have narrowed. Going forward, SunPower is staged for further growth and profitability. I think that’s been the main catalyst driving the share price. We expect that revenue growth to continue. ”

House Mountain Partners founder

Chris Berry made a strong point in his June interview, “Transformative Energy Technologies.” As Berry notes,With population increasing globally, becoming more interconnected, and set to live a more commodity-intensive lifestyle, sustainability and efficiency in our progress as a society will be of paramount importance. I just do not believe that you can have as much intellectual capital and financial capital all working toward next-generation technologies and not have breakthroughs that provide compelling investment opportunities and also leave our children a lasting legacy.”

From production technical advances to futuristic visions of mega-efficient energy delivery systems, the energy investment space is vast, varied and tremendously exciting. And if you’ve ever watched a company start small and grow into a major market force, you understand the power of ideas. We hope you’ll keep checking in with us for energy investment discussions from esteemed experts in the field, and let us know what you’d like to see more of from The Energy Report. Happy holidays, and many happy returns!

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From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles on the site, may have a long or short position in securities mentioned and may make purchases and/or sales of those securities in the open market or otherwise. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legaldisclaimer.

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Leading Indicators from the Superstars of Resource Investing

Source: JT Long of The Gold Report (12/27/13)

http://www.theaureport.com/pub/na/leading-indicators-from-the-superstars-of-resource-investing

Knowledge is money in resource investing. That is why The Gold Report reaches out to the top experts in the sector all year long to bring you their best investing ideas. For this special year-end feature, we asked some of your favorite thought leaders about the tools they use to spot trends and make those important buy-sell decisions. What are the early indicators that gold will rise, plummet or coast sideways? Is it Federal Reserve bond buying? China’s growth rate? Lipstick sales? You may be surprised by the answers.

Watch the Dollar: John Williams

The best way to predict gold is to follow its inverse indicator, the dollar. That is why ShadowStats Editor John Williams is closely watching central banks. “There has been an effort to discourage people from owning gold because a rally in the price of gold is generally taken as an indication of poor performance by the central banks,” he explains. The challenge with using central banks as an indicator, he warns, is that buying and selling by central banks is usually covert; it’s done through third parties. That can lead to a confused and dysfunctional market that ignores fundamentals and reacts with extremes to headlines.

One example is all the controversy over tapering or not tapering. When asked about the Federal Reserve’s announcement to begin tapering, Williams says, “I did not expect the Fed to back off in any meaningful way, and it did not. The minimal tapering likely was more politics in advance of the change in Fed chairmanship than anything else. The banking system remains in deep trouble, favoring ongoing quantative easing (QE3), and the economy remains weak enough to continue the needed political cover. Going forward, the Federal Open Market Committee (FOMC) allowed for expansion as well as further pull back in QE3, dependent on underlying conditions. Those conditions still favor expanded easing.”

Williams cautions that quantitative easing is bad news for the dollar relative to the rest of the currencies. “That will become very inflationary because weakness in the dollar tends to spike oil and gas prices. And that’s the number one area of cost-push inflation we’ve seen in the last couple of years. The long-term result can only be higher inflation, a much weaker U.S. dollar and, eventually, higher gold prices.”

He continues, “The dollar is the basic indicator here and I am looking for heavy selling. In fact we’ve been seeing some recent weakness in the dollar particularly against the Swiss franc.”

Williams does not see official unemployment numbers as a reliable indicator. “The employment rate today is down 0.8% from last year. Normally the drop in the unemployment rate would be good news because it means that the number of people unemployed would be declining, people are going back to work and employment is rising. But in reality, the only reason the headline number has gone down is that some of the unemployed people are no longer being counted because they’ve become discouraged. They want a job, they want to work, but nothing is available.”

When it comes to the all-important consumer confidence indicator, Williams was also careful about what statistics he uses.The consumer tends to drive the economy so you need to look at things that drive consumer liquidity. One of the best indicators is median household income adjusted for inflation. It never recovered from the recession. In fact, as the recession supposedly ended and the economy bounced back, household income continued to plunge and is holding at its cycle low. And that cycle low is lower than median household income—adjusted for the consumer price index—was back in 1967–1970. The consumer is in terrible trouble here.”

Consumer credit, despite some public statistics, is also not recovering in a meaningful way, according to Williams. “All the growth has been in student loans, not in loans that buy dishwashers and automobiles. If that should start to pick up that would be a positive sign. As long as it stays as it is, it’s a negative sign.”

Consumer confidence, which Williams considers a coincident indicator, has been volatile and not any more positive. “The level of confidence still is at levels that are traditionally seen deep in recessions, not in economic recoveries. We are not having an economic recovery.”

He explains further, “The only reason that you see growth in the gross domestic product (GDP) is that the rate of inflation is understated. The implication there is a big negative for the dollar. Relative economic activity is always an important factor in the dollar’s strength.”

Williams is concerned that people will be shocked with downside surprises as the country enters what will be formally recognized as a new recession. “It’s bad news for the budget deficit because all the happy forecasts are based on solid 3–4% economic growth in the GDP instead of continued stagnation and contraction, which will result in lower tax revenues. Government spending in the support programs will be higher and the deficit will widen. That is what the markets are deadly misreading and that will be a big negative for the dollar.”

Williams also counsels watching presidential approval ratings, which are at a low right now. “Usually a president’s approval rating is a pretty good indicator of where the dollar is going because it indicates how the rest of the world views the U.S. government. All these factors are leading to significant downside pressure on the dollar. I think we are going to see a tremendous dollar selloff in the not-too-distant future and the biggest gainers should be gold and silver and the precious metals.

Ride the Cycles: Gary Savage

Like Williams, Gary Savage, publisher of Smart Money Tracker, watches the dollar very closely. “We will have a currency crisis,” he says. “Gold prices can’t stay where they are. They will go much higher. It often starts slowly, but it will happen.”

Savage uses cycle analysis and his charts show “a major low is coming. It happens every three years. This one will be similar to what happened in 2008. Money printing spikes inflation. It will have a severe impact on commodities,” he says. “It is too late to stop inflation after years of quantitative easing unless the government were to sell massive amounts of bonds. Tapering might have a slight impact but inflation can’t be stopped at this point.”

“Market seasons are like emotions,” he explains. “We overdo the excitement and then get depressed. We tend to go to extremes. The first phase of inflation is already in place. We just don’t call it that because it is stored in the stock market. When that busts because it is overvalued, money will leak into commodities. Gold and silver will be the biggest beneficiaries because they were hit the hardest.”

Capitalize on Greed/Fear Indicators: James Dines

James Dines, editor of The Dines Letter, watches the psychological state of the market and likes what he sees. “Our longtime optimism has been based largely on leading market Averages in solid Uptrends. Mass Psychology is one of our key tools, and Mass Fear all the way up has confirmed the bullish outlook, according to the Dines Theory of Positive Negativism (DITPON),” he shares. Descriptions of these two measurements are included in his battery of over 200 Indicators, called the Dines Greed/Fear Oscillator (DIGFOI).

On a short-term basis, the October Dines Letter looked for some selling to enter markets in November, followed by a December rally. “In November the Advance/Decline Index indeed turned down, on schedule, and we’re now waiting for the December rally, which is late,” he acknowledges. “Whether this changes our big Annual Forecast Issue for 2014 is now being decided, but we are staying with serious winners such as Boeing, 3D Systems, Amazon, Priceline. If they begin to break their Uptrend lines, it might be a factor in calling for an admittedly overdue market ‘Sell’ signal.” Meanwhile, he observes, technology and biotechnology have been producing “killings,” and Uptrends are generally intact as of today.

In the raw materials sector, Dines sees a continuation of “a devastating crash” that includes everything from soft commodities to metals (including rare earths, uranium and even precious metals). “We appear to be the only member of the world’s press inquiring how there could be an economic upturn without using raw materials, a topic that will be covered in depth in our upcoming Annual Forecast Issue, as it is a key to unlocking the puzzle of what is really happening to the economy and how to adjust portfolios for 2014.” For the moment, he recommends “let your profits run until Uptrend lines are broken.”

Follow the Bureaucrat: Frank Holmes

U.S. Global Investors CEO Frank Holmes sees government policies as a precursor to change. “One of the big picture things we look at is a comparison of the G7 countries (the U.S., U.K., France, Germany, Italy, Canada and Japan ) and the E7 countries (the seven most populated countries in the world, China, Russia, India, Indonesia, Mexico, Brazil and Turkey),” he says. “We look at money supply and money supply growth. As money supply rises it’s usually a reflection of lending/borrowing and economic activity. The E7 countries represent 50% of the world’s population, but 25% of GDP, whereas the G7 are 50% of GDP and less than 1% of the population.

“After the 2008 crash, the Chinese increased money supply growth to 30% to jumpstart their economy and that led to a huge boom in 2009. Fiscal policies, such as deregulation, trade agreements and tax-free zone designations are very important for stock performance.” Holmes uses the example of Spain, which eased policies for Russian and Chinese tourist visas, leading to a jump of 38% in luxury goods sales. England did the same slightly later in the year and its luxury goods sales jumped 25%. The French did not and they realized a 2% drop in sales. “More regulations result in slowdowns in economic activity, and streamlining of regulations unleashes economic activity,” he says.

Holmes also follows PMIs, the Purchasing Manufactures Index. “That is one of the best indicators for commodity demand because you need commodities to manufacture things. When Bernanke was going to pull away the punch bowl for the U.S. economy, it had a huge rippling effect in emerging countries as things went into a tailspin. At the same time, the PMIs of Germany turned positive. We were long on Mercedes cars. France’s PMI turned positive, then China followed,” he observes. He compares one month to three month global PMIs because they are historically a leading indicator to the demand for commodities. “You can do regression studies going back 20 years and they are a healthy leading indicator. The world has turned positive and has been positive now for many months. This is important as a backdrop because eventually all this mineral inventory surplus will just be consumed. Then we will start seeing commodity prices start to rise.”

Not all commodities move together, however. “Domestic energy stocks are laggers,” Holmes says. He sees natural gas at $4 per thousand cubic feet as a positive sign. “Once you start seeing steel pick up and nickel pick up, that indicates activity in the automobile sector, which means demand for zinc, iron ore and met coal. It is a chain effect and copper will follow.”

Holmes doesn’t just rely on numbers. “I am a believer in the dual-knowledge model—explicit knowledge and passive knowledge.” That is why he and his team are constantly traveling and getting a sense of how people feel at ground level. Something he has seen recently is the role of private equity rather than the equity markets in driving capital formation. “Money is going from pension funds, sovereign funds and endowments into private equity with strict requirements. Several private equity firms are looking at the mining space. They are looking for up to 18% returns on their money,” he said.

Holmes also tracks gold prices as he travels. At the open market gold jewelry stores in India, 24 karat gold jewelry was trading at $1,600/ounce ($1,600/oz) when he was there in November. “That is important. Physical gold is more expensive now in places like India. Expensive luxury goods stores are packed and they’re selling, as are $100-million homes. India produces some 400,000 Ph.D.’s a year, about four times what America produces. More than 600 million people in India are under the age of 25. That is two Americas. They are all wired and looking for the American dream. That’s not going away.”

Those observations are part of the reason Holmes is still positive about the resource space despite the disappointment in the gold sector in 2013. He also thinks investors and mining companies had learned something in the last year that could make a difference in 2014. “Gold mining companies have to clean up their act and become more focused, not on growing for the sake of growth, but on margins, streamlining operations. I think you’re going to see gold production slow down. All these brownfields aren’t going to come onstream. And they have to learn how to communicate with shareholders and the public if they are going to get shelf space in portfolios. I think that’s positive longer-term for gold.”

Holmes has some favorites. “I like copper gold stocks, like Freeport-McMoRan Copper & Gold Inc. (FCX:NYSE), I think they’re important in your portfolio and I’d rather own Freeport over Newmont Mining Corp. (NEM:NYSE) in the big-cap space. Energy is going to continue to remain strong. Master limited partnerships (MLPs) are a huge competitive advantage for the formation of capital to build out the infrastructure from pipelines, ports, and facilities that take wet gas and convert it into oil. It’s going to continue to be an attractive asset class.”

And rain or shine, Holmes advocates a diversified portfolio that includes 10% weighting max in gold, rebalanced each year. “Even with the stock market at all-time highs, that 90/10 rule will ensure you don’t get caught in the fear trade. You should be long 25% including resources, energy and MLPs. You could have a very attractive portfolio in the resource sector and make dividend yields that are much greater than 5- or 10-year government bonds and get good growth opportunities. You might even look at BHP Billiton Ltd. (BHP:NYSE; BHPLF:OTCPK) and Franco-Nevada Corp. (FNV:TSX; FNV:NYSE), which pays a monthly dividend. There are still a lot of opportunities in resources,” he concludes.

Focus on Silver-to-Gold Ratio: Bob Hoye

Bob Hoye, chief financial strategist of Institutional Advisors, says the most important indicator is the silver:gold ratio. “We have found over the decade that when you’re in a bull market for gold and silver, silver will outperform gold. It always does.”

Hoye uses a Relative Strength Index (RSI), which measures momentum. “When that gets into the 70s, speculation is getting pretty irresistible. Anything above 80 is a sign of mania,” he warns. He pointed to 2011, when the RSI was 92 for the first time since 1980. That was also when a huge bubble of $850/oz gold and $60/oz silver blew out. That was when the Hunt brothers attempted to corner silver and the silver:gold ratio was pushed to 16:1. By September of 2012, the RSI on the silver:gold ratio was 84. That was dangerous territory and warned of a substantial correction. “We have been trading intermediate swings until May of this year when things got very oversold. The damage that has been done is immense,” he laments.

But Hoye forecasts some upside in 2014. “Since September 2012, the gold market has come down while the stock market has gone up. We have seen RSIs down into 33–30 and wild action in stocks and bonds. Somewhere in the next few weeks, it should reverse. The stock market is very extended.”

Hoye doesn’t think the recovery will be across the board. “Crude oil got a bit oversold over the summer and did a nice bounce from $92 to $97/barrel. That’s over and done now. We’re looking for a bottoming process in base metals and commodities. We could be past the bottom and in the new year further move up in these, which would then help out the precious metals. The opportunity in precious metals, once the turn is made, will probably last longer than the bounce in the base metals.”

Of course that will bode well for the juniors, Hoye further predicts. “When you’re at a low, it is hard to buy, but the successful juniors have terrific leverage on the gold price. The whole sector will move once it does turn.”

Dig Deeper: Jeff Clark

Jeff Clark, senior precious metals analyst at Casey Research, is a headline watcher. “The trick is to dig deeper and put statistics in a historic and global perspective,” he warns. When the headline was that central banks were buying record amounts of gold over a three-year period, he looked at the historic gold holding levels and found they were actually at all-time lows because banks had been selling for decades. When Goldman Sacks put out a “sell gold” order in Q2/13, he looked at the report released the following quarter and figured out they were actually the largest holder in SPDR Gold Shares (GLD) because they had been doing so much buying previous to the order. When rosy economic numbers are released, he asks more questions to see if the jobs are part time or if the unemployment rate shrunk because people became discouraged and dropped out of the job market. When investing demand is shown as low compared to jewelry fabrication demand, he puts that in perspective with what he knows about the culture in India where gold jewelry is not a decorative item, it is a store of wealth.

The bottom line? “The XAU:dollar ratio is at the lowest level in history right now so it is a great buying opportunity for equities, regardless of what the headlines are saying. I need to be buying gold,” he said.

Looking Forward: Rick Rule

Finally, industry veteran Sprott Global Resource Investments Founder Rick Rule takes a long-term view. He is closely monitoring all-in commodity pricing, costs and availability of development finance. He wanted to know commodity utility to users at current pricing. The indicators are whispering in his ear: “Prepare for a soft 2014 followed by a very strong 2015.”

You heard it first in The Gold Report.

Walter J. “John” Williams has been a private consulting economist and a specialist in government economic reporting for more than 30 years. His economic consultancy is called Shadow Government Statistics (shadowstats.com). His early work in economic reporting led to front-page stories in The New York Times and Investor’s Business Daily. He received a bachelor’s degree in economics, cum laude, from Dartmouth College in 1971, and was awarded a master’s degree in business administration from Dartmouth’s Amos Tuck School of Business Administration in 1972, where he was named an Edward Tuck Scholar.

Gary Savage is the author and publisher of the Smart Money Tracker since 2007. He lives in Las Vegas and is a retired entrepreneur. Savage is also a national Judo champion and multitime national weightlifting champion, as well as the 1996 World Masters Weightlifting champion.

James Dines is legendary for having made correct forecasts that were in complete contradiction to the rest of the financial community. He is the author of five highly regarded books, including “Goldbug!,” in addition to his popular newsletter, The Dines Letter, and videotaped educational series. Dines’ highly successful investment strategies have been praised by Barron’s, Financial Times, Forbes, Moneyline andThe New York Times, among others.

Frank Holmes is CEO and chief investment officer at U.S. Global Investors Inc., which manages a diversified family of mutual funds and hedge funds specializing in natural resources, emerging markets and infrastructure. The company’s funds have earned many awards and honors during Holmes’ tenure, including more than two dozen Lipper Fund Awards and certificates. He is also an adviser to the International Crisis Group, which works to resolve global conflict, and the William J. Clinton Foundation on sustainable development in nations with resource-based economies. Holmes co-authored “The Goldwatcher: Demystifying Gold Investing” (2008). Holmes is a former president and chairman of the Toronto Society of the Investment Dealers Association, and he served on the Toronto Stock Exchange’s Listing Committee. A regular contributor to investor-education websites and a much-sought-after keynote speaker at national and international investment conferences, he is also a regular commentator on the financial television networks and has been profiled by Fortune, Barron’s, The Financial Times and other publications.

Bob Hoye is chief financial strategist of Institutional Advisors and writes Pivotal Events, a weekly market overview. His articles have been published by Barron’s, Financial Post, Financial Times and National Post.

Jeff Clark, senior precious metals analyst, Casey Research. The son of an award winning gold panner, Clark helps work his family’s placer claims in California, Nevada, and Arizona. Gold is never far from his mind or his heart. While working as a psychological counselor, Jeff invested in the IPO of Snapple, made a bundle, and discovered how very profitable speculating can be.

Rick Rule, founder and chairman of Sprott Global Resource Investments Ltd., began his career in the securities business in 1974. He is a leading American retail broker specializing in mining, energy, water utilities, forest products and agriculture. His company has built a national reputation on taking advantage of global opportunities in the oil and gas, mining, alternative energy, agriculture, forestry and water industries.

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DISCLOSURE:

1) JT Long conducted this interview for The Gold Report and provides services to The Gold Report as an employee. She or her family own shares of the following companies mentioned in this interview: None.

2) The following companies mentioned in the interview are sponsors of The Gold Report: None. Franco-Nevada Corp. is not affiliated with The Gold Report. Streetwise Reports does not accept stock in exchange for its services or as sponsorship payment.

3) The interview does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports’ terms of use and full legal disclaimer.

4) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned and may make purchases and/or sales of those securities in the open market or otherwise.

Streetwise – The Gold Report is Copyright © 2013 by Streetwise Reports LLC. All rights are reserved. Streetwise Reports LLC hereby grants an unrestricted license to use or disseminate this copyrighted material (i) only in whole (and always including this disclaimer), but (ii) never in part.

Streetwise Reports LLC does not guarantee the accuracy or thoroughness of the information reported.

Streetwise Reports LLC receives a fee from companies that are listed on the home page in the In This Issue section. Their sponsor pages may be considered advertising for the purposes of 18 U.S.C. 1734.

Participating companies provide the logos used in The Gold Report. These logos are trademarks and are the property of the individual companies.

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Forex Technical Analysis 25.12.2013 (EUR/USD, GBP/USD, USD/CHF, USD/JPY, AUD/USD, GOLD)

Article By RoboForex.com

Analysis for December 25th, 2013

EUR/USD

Euro is still forming consolidation channel, which may be considered as triangle pattern. After the market opening, price may fall down to reach level of 1.3644, return to triangle’s upper border, and then complete this correction by moving downwards and reaching level of 1.3560. Later, in our opinion, instrument may continue growing up with target at 1.4100.

GBP/USD

Pound is still consolidating below 1.6380. After the market opening, price may continue its correction and reach level of 1.6300 (at least). Later, in our opinion, instrument may continue moving upwards to reach predicted target at 1.7150.

USD/CHF

Franc started forming another ascending structure; right now market is moving inside consolidation pattern. After the market opening, price may reach level of 0.9000 and then fall down towards 0.8960. Later, in our opinion, instrument may complete this correction by reaching level of 0.9060 (at least) and then continue falling down towards 0.8300.

USD/JPY

Yet is still consolidating near its maximums. After the market opening, price may start descending structure towards level of 103.58, return to 104.00, and then continue falling down towards next target at 102.70.

AUD/USD

Australian Dollar is still being corrected towards previous descending movement; structure of this correction implies that price may fall down to reach 0.8840. Later, in our opinion, instrument may complete this correction by forming ascending structure to reach level of 0.8958 and then start moving inside down trend towards 0.8720.

GOLD

Gold is still moving towards level of 1220; after the market opening, price may reach it. This movement may be considered as the fourth wave of another descending structure. Later, in our opinion, instrument may start the fifth wave inside this final structure with target at 1175 and then form reversal pattern for new ascending movement to return to 1360.

RoboForex Analytical Department

Article By RoboForex.com

Attention!
Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex LP bears no responsibility for trading results based on trading recommendations described in these analytical reviews.