Gold Chart of the Week

Each week Longleaftrading.com will be providing us a chart of the week as analyzed by a member of their team. We hope that you enjoy and learn from this new feature.

Weekly Gold Report (10-8 through 10-12)

We begin this week at the bottom end of a three week range in December Gold futures. Since Thursdays test of the early March high near $1800, we have settled back almost thirty dollars an ounce on Columbus Day in the Unites States. Bonds will be closed today, while equities and other markets will be trading on lighter volume.

After the United States reported Non-Farm Payrolls on Friday, the sentiment in the markets overall has been mixed. The number sent many futures contracts rallying to chart resistance Friday, only to run into profit taking shortly thereafter. It is clear that NFP takes a back seat to the continued worries in Europe. Continue reading "Gold Chart of the Week"

REE Stocks Are Down but Not Out: Siddharth Rajeev

The Critical Metals Report: Siddharth, despite the poor price performance of critical metals equities since the fall of 2011, most of the prices for the underlying commodities have indicated relatively stable demand. What's your view?

Siddharth Rajeev: It's tough to generalize on the mining sector because each critical element has its own supply and demand drivers. We have a positive outlook on a few elements; this is not so with others. However, it's true that commodity prices have not dropped as much as equities. If you look at industry data, you can see that mining companies are in a much better position now compared to four or five years ago. For example, the margins, return on equity and balance sheets of gold and copper producers have improved significantly over the past five years. Despite that, why is the TSX Venture, 50% of which is comprised of mining companies, down by 60%? I believe that the market is overreacting, just as it did in 2008. Therefore, we believe there is a good opportunity to buy quality assets at this time at cheap valuations. Continue reading "REE Stocks Are Down but Not Out: Siddharth Rajeev"

Deepwater Service Stocks Are Tapping the Supercycle Sweet Spot: Elliott Gue

The Energy Report: A lot has happened in the energy markets since your last interview. What are the most significant changes in the space?

Elliott Gue: The Gulf oil spill in May 2010 and the Fukushima event in March 2011 were the two most pivotal events of the past two years. The repercussions of the Gulf spill extended for over a year. Fukushima dramatically changed the policy toward nuclear energy in Japan and in Germany and caused a surge in global natural gas prices due to increased Japanese demand, Japan having suddenly lost about 30% of its power. Japan has since built new natural gas plants, which are the only plants that can be brought onstream very quickly to generate large amounts of power. Continue reading "Deepwater Service Stocks Are Tapping the Supercycle Sweet Spot: Elliott Gue"

The Solar Silver Thrust

By Jeff Clark, BIG GOLD

In early July, Japan set a premium price for solar energy that was three times the rate of conventional power. This meant utility companies would be paid three times more for electricity sourced from solar. It's widely expected that the premium will ignite the use of solar power – and solar uses a lot of silver.

Silver Demand from PV Panels

As you may know, silver is used in photovoltaic (PV) technology to generate solar power. A typical solar panel uses a fair amount of the metal – roughly two-thirds of an ounce (20 grams). To put that in perspective, a cellphone contains around 200 to 300 milligrams (a milligram weighs about as much as a grain of sand). A laptop contains 750 milligrams to 1.25 grams. Continue reading "The Solar Silver Thrust"

Daily Video Update: Don't fight the FED

Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with your mid-day market update for Friday, the 5th of October.

Don't fight the FED, why? Because the deck is stacked against you and the FED holds all the cards.

Today we received a major reversal signal based on our Trade Triangle technology that I will share with you in today's video.

Did you vote in our poll on the debate? Continue reading "Daily Video Update: Don't fight the FED"