BullMarketRun.com

Gold has reversed and is up $5 as of 7:10 am Pacific time to $1,246 an ounce…we’re keeping a close eye on support levels for the CDNX which plunged 42 points yesterday in sympathy with the declines in Toronto and New York…after the first 40 minutes of trading this morning the CDNX is up 5 points to 1415…there is tremendous technical support for the CDNX at 1400 but if the May low of 1393 is breached, BMR’s technical analyst sees another strong area of support around 1370…it’s interesting to note that over the last two months, the CDNX is off 16% while the TSX Gold Index is actually up 6%….this is a reversal of the pattern we saw throughout 2009 and into the first few months of this year when the CDNX was outperforming both Gold and the TSX Gold Index…what this tells us is that for now some significant speculative fervor has certainly come out of the market but there’s still money to be made in selective issues – some of the current gold producers and the best of the speculative juniors (Gold Bullion Development being an example) who are enjoying exploration success and defining significant deposits…Gold Bullion (GBB, TSX-V) is down a penny this morning at 64 cents as investors wait for news from Granada…GBB is consolidating nicely in the 60’s and is underpinned by strong technical support at 60 cents…Seafield Resources (SFF, TSX-V) is under some pressure in early trading, down 1.5 cents to 19.5 cents where it has closed a gap from Monday morning…Seafield has a strong treasury and an outstanding project portfolio…the slight pullback from Monday’s high is healthy from a technical standpoint as the stock tests support at former resistance levels…there is a huge bid at 19 cents…another opportunity we like is Fire River Gold (FAU, TSX-V) which is developing its Nixon gold mine project in Alaska…the company is in the process of completing a $5.5 million financing at 50 cents, and also reported this morning it has generated just over $1 million in revenue from a mill cleanup program at Nixon (900 ounces of gold recovered)…Fire River is off a penny on light volume to 58 cents…investors looking for value outside the gold market should do their due diligence on North Arrow Minerals (NAR, TSX-V) which is about 4-6 weeks away from the start of a drill program at its very promising Lac de Gras diamond property in the Northwest Territories…North Arrow has an excellent chance of exploration success at Lac de Gras where it has identified many untested high priority kimberlite targets using proprietary technology…two legends in the diamond exploration business, Gren Thomas and Dr. Chris Jennings, have teamed up again (they co-discovered the nearby Diavik deposit nearly 20 years ago) to develop North Arrow’s Lac de Gras holdings…NAR closed yesterday at just 16 cents…