Below you will find a quick summary of the report that we're preparing at this moment and that we will publish later today.

The situation for the US Dollar is extremely tense. Index levels are right at a crossroads and one route must be taken very soon. The direction taken could have a significant impact on the precious metals markets.

The general stock market appears likely to be moving higher although some bearish factors are present. The lack of support in the financial sector appears to be outweighed by the fact that RSI levels are not in the overbought range any longer and that the trend is up.

Gold and silver are somewhat correlated with currencies and stocks but to a reasonable extent they have been moving on their own. Still, several risk factors are present for the short term and we will continue to monitor these and report to you accordingly.

Based on gold, silver and mining stocks alone, a rally from here appears to be in the cards. Gold has broken out, the move has been confirmed, and is likely to lead the other precious metals higher.

Speculative capital may be used to bet on this outcome at this time. The risk/reward ratio appears favorable for entering speculative positions today. In other words, we're suggesting opening speculative long positions in the precious metals sector.

Thank you.

Sincerely,
Przemyslaw Radomski