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Gold has traded in a narrow range so far today between $1,744 and $1,755…as of 6:05 am Pacific, the yellow metal is down $3 an ounce at $1,745…Silver is off 3 cents at $32.93…Copper is flat at $3.69…Crude Oil is up 33 cents at $92.42 while the U.S. Dollar Index has slipped further to $79.01…

Early polls have given President Obama a slight edge in last night’s fiesty town hall debate between Obama and Mitt Romney…Obama bounced back from a lethargic performance in the first debate, and even got a little help from CNN moderator Candie Crowley, while Romney wasn’t quite as sharp as the first debate and missed some opportunities to land some verbal punches that would connected…the bottom line is that Obama has likely reasserted himself as a clear favorite in the November 6 election and that should help to keep the U.S. Dollar in check and provide support for Gold…

Today’s Markets

Asian markets were strong overnight, following in the footsteps of the positive action in the U.S. markets yesterday…European shares are generally higher this morning while stock index futures in New York as of 6:05 am Pacific are pointing toward a slightly higher openon Wall Street as traders absorb another onslaught of key earnings reports…so far the third quarter hasn’t been quite as bad as some had feared on the earnings front…of the 22 S&P 500 companies that have reported since Oct. 9 through yesterday, only 3 or 13.6 per cent have missed earnings per share forecasts, according to Bespoke Investment group…in data just released in the last half hour, U.S. home construction jumped 15% in September to a four-year high of 872,000, while permits rose as well…

The Venture Exchange had an impressive 17-point move yesterday that took it back to the 1300 level…what we’re looking for is the formation of a bullish “W” on the RSI…as demonstrated yesterday, this market is underpinned by excellent support…

Euro Strength – Positive For Gold

The euro jumped to a one-month high versus the dollar and gained ground on other major rivals Wednesday after ratings firm Moody’s Investors Service held Spain’s rating a notch above junk grade in a long-awaited decision late the previous day…a cut by Moody’s would have made it harder for Spain to win back foreign investors…at issue for Madrid now are the hoops it must jump through to get the ECB to intervene in Spain’s bond market, bringing down the country’s borrowing costs…the ECB has indicated it will buy Spanish bonds only if Madrid first applies to the euro-zone governments’ bailout fund for a line of credit, called an “Enhanced Conditions Credit Line”…Senior Spanish officials signaled on Monday and Tuesday that Madrid is now more open to applying for an ECCL…

Fund Managers Growing More Bullish Toward Equities, Risk Assets

CNBC reports that while bonds have been the asset class of choice this year, equities are quickly gaining favor among global asset managers as central banks pump liquidity into the financial system and investors grow less fearful of the euro zone debt crisis…a monthly survey by Bank of America/Merrill Lynch showed 24% of fund managers are overweight equities – the highest in six months – rising from 15% in September…the survey of 200 managers, who oversee a combined $561 billion, was conducted over Oct. 5-11…European and emerging market equities have been the biggest beneficiaries of the shift in risk appetite, the survey showed…the percentage of participants bullish on emerging markets, for example, rose to 32% in October from 19% in the previous month – the biggest monthly rise in eight months…Roman Scott, chairman of investment management firm Calamander Group, said the investment case for equities is getting stronger given the liquidity boost provided by policymakers in the West…“This very blunt tool of monetary policy to effectively keep money very cheap, in fact almost free, is designed to force all of us into risk assets…(Federal Reserve Chairman Ben) Bernanke wants everybody to buy equities and risk assets; the European Central Bank wants the same thing…I do think there’s a good case that the risk-on position is looking more attractive,” Scott told CNBC…

TSX Gold Index Chart

Another encouraging sign for Gold and the Venture Exchange is the strength in the TSX Gold Index at the moment…it has solid support at the 330 level and enjoyed its best session in over a month yesterday with an 8-point gain to 341…below is John’s updated 6-month Gold Index chart…

ATAC Resources (ATC, TSX-V) Releases More Yukon Results

ATAC Resources Ltd. (ATC, TSX-V) has released positive  results from 22 diamond drill holes completed at the Isis, Isis East and Osiris zones as well as the newly discovered Sunrise zone which is located 300 metres to the east of the Osiris zone…all zones are within the Nadaleen Trend at the eastern end of ATAC’s 100% owned 1,600 sq/km Rackla Gold Project in central Yukon…the Sunrise  Zone is the fifth significant Gold discovery made within the 3 by 4 km Osiris footprint as drill hole OS-12-173 intersected 14.76 metres near-surface grading 10.54 g/t Au …

Alliance Mining (ALM, TSX-V)

We first alerted our readers to Alliance Mining (ALM, TSX-V) a few months back, and the stock continues to hold up well and has seen a recent increase in volume including 174,000 shares changing hands on the Venture yesterday as ALM gained 2.5 cents to 9.5 cents…this newly-listed company has put together an impressive portfolio of past producing properties in Arizona’s richest historic Gold region, an area that hosted over 3,000 mines before the Second World War…ALM has just 29 million shares outstanding…

RJK Explorations (RJX.A, TSX-V)

RJK continues to drill in the Blackwater area and while volume in the stock remains relatively low, it has been forming a strong base and could suddenly explode higher if the company is able to connect on some holes…they do have an abundance of exceptional targets at their Blackwater Northeast and Blackwater West properties…below is an updated 2-year weekly chart from John that shows RJX.A is rebuilding after forming an important double bottom…

Troymet Exploration (TYE, TSX-V)

In addtion to RJK and Parlane Resources (PPP, TSX-V), Troymet Exploration (TYE, TSX-V) is very active in the Blackwater area and has just commenced a reverse circulation drill program at its Key Gold Project…at a nickel, it’s hard to imagine how one could go wrong on TYE…there’s always risk but we do like the risk-reward ratio on this one as the Blackwater camp is such an attractive exploration area and one that will likely produce more discoveries…what’s particularly interesting about TYE is that it recently broke out of a downtrend line that was in place for over a year…below is John’s updated 18-month weekly chart…

Note: Both John and Jon hold share positions in RJK Explorations while Jon also holds share positions in TYE and PPP.