Just a very quick note to let you know our most up-to-date thoughts on the market. In short - yesterday, the resistance lines held as support and consequently it appears that there is more upside to this rally in gold and silver than we had originally expected.

As of today it appears that only half of this rally in gold, silver and mining stocks is over and it seems that it might be a good idea to close the speculative long positions around:

GLD ETF: $118 - $120
Spot gold: $1,200 - $1,220

SLV ETF: $18.5 - $19.5
Spot silver: $18.8 - $19.7
(It seems that looking at gold for trading signals for silver will be a good idea in the following days)

HUI Index: 455 - 470
GDX ETF: $50 - $51

Naturally, we will comment on that in the next Premium Update or send out another Market Alert, if we change our mind regarding the precious metals market before the next Premium Update is posted. We will also send one if we become convinced that one should close their speculative long positions.

Thank you.

Sincerely,
Przemyslaw Radomski