Gold and gold stocks have been the rage lately, as the price of gold reaches new highs. However, not all gold stocks are the same. Some have vast reserves of proven gold in the ground. Others have lower productions costs that give them an edge. Using three of the best… Read More

Experienced investors know that no trend — no matter how profitable — lasts forever. The same is true for gold. Gold has risen from below $700/oz. in November 2008 to $1,315/oz. in the beginning of October 2010. That’s an +88% gain in under two years. And while any mention of shorting gold is enough to get a gold bug’s blood boiling, one day the time will come when it’s the right trade to make. Consumer sentiment My daughter is home for a couple of months before she starts work as an attorney. When… Read More

Experienced investors know that no trend — no matter how profitable — lasts forever. The same is true for gold. Gold has risen from below $700/oz. in November 2008 to $1,315/oz. in the beginning of October 2010. That’s an +88% gain in under two years. And while any mention of shorting gold is enough to get a gold bug’s blood boiling, one day the time will come when it’s the right trade to make. Consumer sentiment My daughter is home for a couple of months before she starts work as an attorney. When I asked her if it was time to go short on gold, and she said that she hoped so. Her thought was, “If I’m shorting gold, then I believe the economy is improving, jobs are forming and a brighter future is heading our way.” And that would be terrific news for many of her friends who recently finished graduate school and are still looking for jobs. Her comments very much reflect the effect that confidence has on the economy. If things are looking up, people are willing to invest in risky assets that offer… Read More