| Gold Stocks $XAU $HUI GLG NEM |
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| Thursday, January 12, 2006 |
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Nightly Update - XAU, HUI, GLG, & NEM
Good afternoon. Since we have been on an oil kick lately I would like to cover another sector that looks very good right now. That sector is the Gold sector. Just pretend it is a software company and load up. The XAU looks more bullish than the HUI.
The Gold and Silver Index - Philadelphia (XAU) - Daily Chart
The daily chart of the XAU shows that it has broken out of an ascending symmetrical triangle and has rallied sharply ever since. The daily chart of the XAU illustrates that it is forming a nice bull flag. It looks like a buy here. I would load up on charts like GLG. The indicators and oscillators are bullish, and the PPO continues to make new highs along with price.
The Gold Bugs Index - Amex (HUI)- Daily Chart
The daily chart of the HUI shows that it has broken out of an ascending symmetrical triangle and has rallied sharply ever since. On the weekly, the HUI is breaking out of a slim jim pattern and is doing what it is supposed to. As you can see, the Aroon is in a bullish trend. The PPO continues to make new highs along with price as is the RSI. Finally, the stochastics are bull flagging. Stick with the leaders and the front runners, such as NEM, GG, ABX, and GLG, you will be fine. There are no hints that a correction is about to start. Dump your precious metal laggards now and get into large caps. Again, the trend is bullish and the PPO continues to make new highs along with multi year/decade highs in price.
Glamis Gold Ltd. (GLG)- Daily Chart
The daily chart illustrates that GLG has pulled back off of it's highs to form a bull flag. As you can see, GLG has been in a strong bullish trend and looks poised to move higher. I would recommend buying GLG once it breaks out of the bull flag.
Newmont Mining (NEM) - Daily Chart
The daily chart illustrates that NEM is in a flat sideways consolidation and is also in the process of forming a bull flag. As you can, NEM like GLG, has been in a bullish trend and looks poised to move higher. I would recommend buying NEM once it breaks out of the bull flag. Indicators and oscillators are moving up along with price, and you can see that the PPO is making new highs.
TOMORROW ECONOMIC NEWS IS PACK FILLED.....LOOKING AT THE CHARTS IT APPEARS WHATEVER THE NEWS IS GOLD STOCKS ARE GONNA LOVE IT.
$XAU
$HUI
GLG
NEM
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