We summarized yesterday's Market Alert in the following way:

"The HUI Index is very close to the May 2012 low - this might be the place where miners bottom along with gold at $1,590 and silver slightly above the $29 level. We still think that watching gold for the best moment to go long is the way to go here."

Earlier today gold dipped below $1,590 (it's at $1,594 at the moment of writing these words) and silver moved briefly below $29 (it's now at $29.22). Yesterday the HUI Index moved to its May 2012 low.

Today, the USD Index moved to 80.66 after a short-term rally and the cyclical turning point is upon us. Silver's cyclical turning point is here as well.

Multiple precious metals indicators either show an extremely oversold situation or are flashing buy signals (the SP Gold Stock Extreme Indicator just flashed a buy signal as well).

Consequently, we are suggesting moving back on the long side of the market with your speculative capital. This is a buy alert for gold, silver and mining stocks.

This means that at this time full speculative long positions are suggested for gold, silver, and mining stocks.

Naturally, we suggest remaining in the precious metals market with your long-term investments.

As always, we'll keep you updated should our views on the market change. We will continue to send out Market Alerts on a daily basis (except when Premium Updates are posted) at least until the end of March, 2013 and we will send additional Market Alerts whenever appropriate. In other words, we have decided to keep you informed on a daily basis for another full month.

Thank you.

Sincerely,
Przemyslaw Radomski, CFA