Gold has just made a new all time high

This morning gold came close to 1580 breaking it ask time high of 1577. Look for the price to accelerate when the US market opens.  Silver is testing 37 as I am posting this as well.

Gold break out again; close to all time high | Silver soon to follow

Gold does it again, sneaks up on common observer and is filtering with all time highs ($1577 and change).  Today's move came at 1:45-2:15 where gold jumped $20 to just shy of 1575.  Remember folks the screams and shouts about gold being over priced a few months back as prices started to slide.  This new relevance of gold is putting central banks around the globe into panic mode.  The fear is simply a loss in faith of governments as they ramp up the printing machines to fight this second crunch.  With The US debt debate in full swing it will be interesting to see how it will be resolved and what the market reaction will be.  August 2nd, 2011 is a big day for the US and it is approaching relentlessly.


Yamana Gold Inc, (YRI on the TSX) has been a company I have been watching for some time now.  Search for YRI for more posted from the past 6-12 months.  This company is outside my normal range of $2-$7 stocks but it is awesome for options as they are relatively liquid.  Currently I have an August option @ $12 strike.

Today's move was dramatic, 3.32%.  Note that since it has blown outside the bollinger bands it would be unwise to jump in now as it is likely to correct.  However, picking this stock up at 12.00-12.10 with a tight stop would be a high potential trade with limited downside.  The slow stochastic is overbought but looking like it my "embed" which means the K and D line will remain above 80 for a few more days while the stock gains another buck or so.  I am looking at the $13 area as a potential time to exit unless it is reached in short order.   This is one of those stocks that reacts very well with gold.

In fact Yri could be considered undervalued relative to gold by about 10%.

EnWave (ENW.V), Sabina Gold and Silver (SBB), Great Panther Resources (GPR)

EnWave has been a stock I have been following for some time now.  I am considering my stop below the bottom channel line around 1.70.  However, This stock could be turning, I have been waiting for an up move for the past couple of does and it appears that a based has been formed at the 1.75 mark.

A company description from EnWave's corporate website:
"EnWave Corporation is an industrial technology company developing commercial applications for our Radiant Energy Vacuum (REV) dehydration technology. REV is used to dehydrate food, bulk liquids, and pharmaceuticals. EnWave's mission is to establish REV as a new dehydration standard: faster and cheaper than freeze drying, with better quality than air drying or spray drying."

 Sabina (SBB.TO) is still looking to break the wedge that has been formed.  Today we saw this stock slightly gain with other precious metal companies fall as silver broke more than 2.5%.  Other gold companies did well as well, for example Yamana Gold (YRI.TO) .

A company description from Sabina's corporate website:
"Sabina Gold & Silver Corp. is a Canadian precious metals exploration Company with a portfolio of several different properties in Canada at different stages of development.  The Company's flagship projects are currently located in Nunavut, in the Canadian North."

Great Panther Resources (GPR.TO) is a very interesting stock, my plan is to play a "wave 5" or impulse move to the upside.It is interesting to see the Fibonacci fan used with this stock, it appears to fit well with this current move.  The slow stochastics is clearly oversold and looking like the momentum is shifting back to the upside.  This break was interesting as silver fell dramatically but gold made some mild gains.  Therefore, Silver is likely going to follow gold for the next bit but today would have been a good time to buy into silver stocks.  They might continue to drop a bit more but I couldn't expect silver falling much lower than it did today.

The current prediction I have for a wave 5 is 3.85 therefore I am maintaining a sell order at this level unless metals look like they are going to go parabolic.

A company description from Great Panther Resource's corporate website:

"Great Panther Silver Limited, headquartered in Vancouver, Canada, is one of the fastest growing primary silver producers in Mexico with strong leverage to future rises in the price of silver. The Company owns two operating mines in Mexico, and employs over 900 people."


Just to demonstrate the mixed day with silver and gold going opposite directions here is some quotes from a list of companies that I follow.

Another strong bull move for gold another strong day for mining companies

Another massive up day for the mining sector with gold rising and silver rising on geopolitical instability.

 Gold filtering with 1530

While silver is holding around $36

Mining Stocks start popping: AXR +7.91%, FVI +7%, EDR +9.14%, GPR +3.04%

A quick update on mining companies (and some oil/services) that I have been following.  Today was one of those break out days for many stocks.  I am expecting some continued gains as silver / gold prices continue to creep up.

Great Panther Resources (TSX:GPR) - Setting up for a big move to the upside

A battle is being fought to stay above the 0 level on the MACD, another series on increasing positive ticks on the histogram is expected as silver / gold metal prices continue their uptrend.

Very interesting the Fib relationships with this impulse.  Even the Fib Fan matches up relatively well.

With The wave 2 prediction at 3.18 coming within 1 cent of the actual value, wave 3 prediction should be a good measure of future price target.

Below is the three highest probability targets for GPR.TO (Great Panther Resources)

Using these targets with the fib fan, possible paths can be predicted. 

Based on the website here: http://www.terminusa.com.ar/EWT/EWT.php
The above version is a Google docs based calculator soon to be available on marketscheming.blogspot.com

Is oil looking to make a run? Weekly Chart Analysis

Support looking like it might have been found last week at the 50 Moving week average, confirmation with another week to the upside would be a strong indicator of a momentum shift.

This momentum shift is occurring with the MACD trying to flatten out above the 0 level.  Typically long term momentum is dictated by the MACD line value +/-.

A momentum change is even more likely because the commodity is in oversold territory.   If, however, the slow stochatics stays below the 20 level for a couple of more weeks, strong sell pressure is likely going to occur.

A closer look at this past months reversal.

If the oil instabilities get worst (ie another oil producer cutting shipments) prices could get to 125 by summers end.