Gold followed signals from the USD Index, as I suggested in the recent Premium Updates, but it happened earlier than the analysis of previous events suggested. This means that the momentum on the precious metals market is very strong.

Given the strength of this week's rally, it seems that it can take gold to the 1070-80 area before looking back.

Based on what we've seen this week, it seems that if the general stock market declines from here, it would correspond to a small decline in the precious metals that would not drag gold below $1000 once again. On the other hand, if the general stock market moves temporarily higher (unlikely, but nobody can rule that out), I would expect gold, silver and PM stocks to soar.

Summing up, it seems that precious metals are going higher either immediately, or after a short period of consolidation. This implies that it does no longer pay to wait for lower PM prices, if you were planning to get back on the long side of the market, or to add to your positions.

As far as the recent survey is concerned, I would like to thank you for participation. The option that is most popular is the current way that updates are posted (during weekend), but the difference between weekend's update, and Friday's update is minimal (40% vs. 36%).

Therefore, I decided to write this week's update a little earlier, as a test (I figured that the weekly volume could be estimated by extrapolating the Monday-Thursday period to the whole week; and if the difference on Friday is meaningful, I could send an Alert), and if the feedback is positive I will switch to this system. Naturally, if the weekend edition is still preferred, I will continue to provide updates in this way.

Sincerely,
Przemyslaw Radomski