Calling bottom at 905

I'm going to go out on a limb here and say buy. I'm calling the bottom at 905, and here's why:

1. Gold is hitting below the trading bands at 905 which is generally a buy signal anyway if you wanna leave it at that.

2. As I've said before when I've so many times stated that gold will not fall below 930, In these situations today that we face a price for gold below 930 oz CAN NOT BE SUSTAINED!! Yes you will see it go beyond there, the powers that be that hate the gold bulls are good at shattering our hope, but they cannot stop the trend! They can only delay it. (I know it sucks, I'm impatient too.)

3. In September '08 gold fell from its high at 990 till it hit a low of 700 in Nov. That was a 30% decline. In April gold fell to 865 from it's high at 1000... a 14% decline...( half of a 30% decline) now gold has fallen from 990 again to 905 an 8% decline... notice a pattern here?

Consolidation will continue more on the up side now. Continue to trade with caution. this summer will be spent as most in the markets...dull. But in that time we will work are way up to what I presume to be 1080 by September. (Possibly 1050 or meeting of the old high at 1035.) Can you guess what will most likely follow then? a 4% decline, then 1200 will greet us soon.

If you want a good stock to trade on this, I have a great one. TRE Tanzanian Royalty Exploration. This is Jim Sinclair's company, the company owned by the guy who called the gold market within 13 dollars in the 80's, then went and started a cable tv company. TRE is a short sellers delight, but it wouldn't be if they knew what he was planning. His properties in Ghana west Africa have so much gold on the surface, he's gonna send trucks in there to rake up the gravel and just pick it up. the bring it to the mill where they expect to be pouring gold bars by the END OF THIS YEAR!! Do you know what happens to a gold stock when they announce they poured gold for the first time? They usually double. At least. Plus because there picking it up off the ground there expecting a cost of $50/OZ!! Sinclair is a family friend of mine, and he is so kind you can call the CEO (him) at his home! This is a $6 stock by Jan guaranteed.

This is a bull market remember, buy on pull backs. Next target will be to take back 930.

-J