Had a letter from the bank today regarding my business account & this is what caught my eye: Charging you interest on credit balances - global interest rates remain at very low levels and in some markets are currently negative. Dependent on future market conditions, this could result on us charging interest on credit balances. Never known anything like this in my lifetime. Forgetting bank charges for paying in, withdrawing etc does this mean the more money I have in the account the more I will be charged for the privilege? Jeez, my dad would have gone through the roof! No wonder the banks are in the state they are in. Good post Marmot, enjoy your hols.
You are too kind. I'm sorry I haven't been making a contribution lately but I will try and post when I next get internet access.
I know it is frustrating to see the price backtrack over the last 2 weeks but I really don't think it is indicating a change of trend for gold or CEY. It is just a healthy pause and consolidation before the next up move. After 4 year's of accumulating through uncertainty and adversity you of all people should now reflect on your good judgement. CEY's management are building a great business and gold's fundamentals are getting stronger by the day and some day soon Comex is going to have a failure to deliver. The experts at GATA reckon that could happen this Autumn.
I built my CEY position to trade the miner's growth and it is still far off it's potential upside in my view. But the real kicker is that by holding shares in a debt free gold producer we are our own central banker. If the Fed loses credibility (what's left of it) or the Chinese do their long awaited devaluation watch gold rise and take CEY with it. But a black swan event which no one has expected - stock market correction; Enron style fraud; sovereign debt failure - could trigger a move into gold by mainstream investors at any time.
Holding CEY at a good average price over the last 4 years is fire insurance for what comes next. But as macro events unfold I expect to trade 10%-20% of my holding as we move to the next upside range but for now I'll hold or add on further weakness.
Well now they've effectively missed the deadline for publication of the Law 32 report for the August SCC meeting they look like they're going in to the mining concession bid period (September?) with the cc still unresolved. Disappointing but not surprising I suppose.
However, there's lots of interesting possibilities for positive news coming up so I'm probably staying with this in to the Autumn.
Glad you had the recent success due to ignoring British Bulls! You obviously have a good knowledge of their strategy and you really should write that book or at least an article or two as it may help some people to understand what goes on! Since you rated BB in the past I now always have a look at their latest advice.
On holiday, travelling but untroubled by this CEY pullback. Traditionally, July and early Aug are the dog days of precious metals before the Indian seasonal gold buying begins end Aug,Sept. None of the fundamental reasons for holding precious metals or their miners has changed. It's just that we have to wait patiently like the surfer for the seventh wave for our next advance.
Gold and the miners have had a fantastic 6 months so a backfilling pullback like the one in May-June for gold is healthy. Note how we seem to have established a series of 30p trading ranges in CEY and we are now pulling back to the bottom of the latest range: 140p-170p. Below 145p I will be a buyer and then I'll just sit back and wait for the seasonal uplift to return to take us back up to challenge 170p in Aug or Sept.
The control of the paper Comex markets is getting more difficult by the day as they struggle to find physical for deliveries. Tomorrow is Comex options expire so expect price weakness into that. Then later in the week we have the Fed interest rate decision. The US economy does not justify a rise but it is possible the Fed want more room to cut later. Cut or stick it will be gold positive when the dust settles.
I expect Gold and therefore CEY to be pushed down more this week but any weakness should be seen as a buy opportunity. In August I expect gold and silver to start the next rally and it may well be led by silver which has impressed by staying robustly above $19. Remember last August the S&P had a shock 13% correction to end the complacency of investors. Now US stock prices are at new highs at a time of declining average PE ratios. This divergence cannot last long.
gold and silver have just bounced back in the last few minutes. Perhaps the conspiracy theorists have a point after all! I have been wondering whether to sell or not - hopefully CEY will bounce back.
Gold was about $1260 before the Brexit referendum and rose above $1370 at one point. Nearly half of the increase in pog has pulled back now, so the fall back in price understandably has resulted in a CEY dropping back too.
The question is, did gold race ahead and is now taking a breather waiting for its next rise. I see Tibbs is taking to quoting TA analysis for our consideration. I think this may be right - we are moving out of a fundamentals phase and back into a TA phase. This always makes me anxious as I don't really believe in voodoo, but sometimes it appears to work, perhaps because enough people out there believe in it.
I could write a book about British Bulls! I made �5k last week ignoring their advice on GKP! They basically follow charts but always set their buy or sell price to pretty well please themselves, so nearly always have leeway on the sp. Just have look at the start price on shorting Lloy today as an example. Nobody could possibly have got an entry at that price! Best take them with a pinch of salt, although should always be aware of all opinions when making decisions. Tbh I do believe Cey is going to retrace back to the 120p's but just my opinion and the reason I am out ATM. Keep an eye on LLoy as results are out on Thurs and it will be a very interesting day. Just for the record I have topped up on them today. ATB Rich
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