Gold is trying to bounce back after Friday’s setback that took it below the $1,730…it fell to a 6-week low of $1,721 overnight before some short covering and bargain hunting took hold…as of 8:25 am Pacific, the yellow metal is up $4 an ounce at $1,724…Silver is 19 cents higher at $32.26…Copper is up a penny at $3.63…Crude Oil is off 50 cents at $89.55 while the U.S. Dollar Index has retreated nearly one-tenth of a point to 79.57…
(Please note that we’ve changed the regular Morning Musings posting time to between 8:00 am and 8:30 am Monday thru Friday.)
Today’s Markets
Asian markets were up overnight with Japan’s Nikkei average posting its sixth straight day of gains, as a softer yen and expectations of easing from the Bank of Japan outweighed some disappointing U.S. earnings…European shares are slightly lower while U.S. markets have turned mildly negative after being up slightly in early trading, showing continued weakness following Friday’s 200+ point drop…the Venture Exchange, which is looking for its fifth consecutive daily advance, is currently off 8 points at 1308…
It’s an important week with a number of events that could influence the direction of the markets…President Obama and Republican candidate Mitt Romney square off in their final debate tonight with the latest polls showing a very tight race for the White House with elections just over two weeks away…Chinese PMI is due out tomorrow…ECB President Mario Draghai addresses the German Parliament Wednesday…and U.S. advance third quarter GDP numbers will be released Friday…
Updated Silver Charts
Despite recent weakness, Silver is up 18% since the end of July, so the pullback we’re seeing is cleansing the overbought condition that emerged last month…there are a couple of support levels to watch for…$32 plus a zone between $30.50 and $31 which is very strong…
Silver – Long-Term Chart
We have found the RSI(2) on Silver’s long-term chart (15-year monthly) to be a very accurate guide in recent months, and below you can see that it has declined from overbought levels to 49%, though it could still drop a little more…a powerful “Wave 5” move remains firmly intact, however, with a Fibonacci target (no timeline) of $78 an ounce…
Bitterroot Resources Ltd. (BTT, TSX-V)
One of the high fliers on the Venture recently has been Bitterroot Resources (BTT, TSX-V) which gained another 3 pennies Friday to close at 18 cents on big volume (6.2 million shares, all exchanges)…as of 8:25 am Pacific, BTT is off half a penny on much lighter volume…Bitterroot controls a growing portfolio of nickel/copper/PGM exploration targets within its 360 square miles of wholly owned mineral rights in the Upper Peninsula of Michigan…as always, perform your own due diligence on any possible opportunity…long-term moving averages are in bullish alignment, which is positive, but BTT’s next major hurdle is to overcome resistance at 18 cents…
Solvista Gold Corp. (SVV, TSX-V) Chart Update
Solvista Gold Corp. (SVV, TSX-V), working on an interesting project in Colombia, found support as expected recently in the 70’s and is up another 2 pennies to 83 cents as of 8:25 am Pacific after jumping a nickel Friday…this is a nice-looking chart with the recent overbought condition having completely unwound…
Wildcat Silver (WS, TSX) Chart Update
Note: John, Jon and Terry do not hold positions in BTT, SVV or WS.
BMR,
what happened to that report with regards to RBW?
Comment by Stuart — October 22, 2012 @ 7:45 am
We said Monday, today is Monday, so it will be posted today.
Comment by Jon - BMR — October 22, 2012 @ 7:47 am
You also said Wednesday but it looks like you really mean it this time
Comment by Rick — October 22, 2012 @ 8:00 am
Yes, later today.
Comment by Jon - BMR — October 22, 2012 @ 8:02 am
Great results from comstock (csl.v) Best drill hole in yukon this season. One to watch over winter and grab some. Would be a takeover target very quickl. 5 to 15cms snow to-day in kootenay area of B.C. makes for harder drill conditions for gold viking property. Excellent report Jon on RBW. I look forward to next few weeks for assays. richard l
Comment by richard l — October 22, 2012 @ 8:05 am
Very good results, indeed, especially considering they rushed this drill program.
Comment by Jon - BMR — October 22, 2012 @ 8:08 am
Hell October almost over Rbw share price very fustrating has done nothing in months money coulda been put to better use oh well November is around the corner and that bulk sample to make some $$$ that to has been silent as far as a nr have they even applied for a permit.
Comment by Gerry — October 22, 2012 @ 8:17 am
Jon,
I sense a little bit of hostility.. is it perhaps because the weekend is over and it is now Monday morning?
Always remember, if I, or anyone else on this board, is asking you for something, it is simply because we look forward to your input – i know i definately do.
Furthermore, next time please be more clear with your time frames, because when you say Monday, someone such as myself is going to assume it is Monday morning, since that is when you normally put up your posts.
Thanks.
Comment by Stuart — October 22, 2012 @ 8:27 am
I told you last week RBW is going down. A good way to make money on this one is sell in the low to mid 20’s and then rebuy in the high teens. I have. Been doing this for a while. Target of. 17 cents for entry point this time. Glta
Comment by Ed — October 22, 2012 @ 8:53 am
Have you ever done any analysis on KWG Resources. It looks like a very interesting siuation is developing as union members from the Ontario North Rail (which Ontario Gov is divesting itself of) have put together a proposal to move the assets to a Port Authority group and utilize their manpower and the existing equipment/assets of ONR to build a road to the ROF. This appears to be getting needed support from First Nations, northern communities, local polititions and at least 1 Conservative MOP.
The rail would be built on land held by Canada Chrome -which is owned by KWG.
Comment by Barry — October 22, 2012 @ 10:11 am