Gold Target for Week of September 14th

Buy: $991 | Stop: $984 | Target: $1015 | Quick Target: $1005

Barrick Gold Logo

Before I get into the report a little, I want to speak about a very significant development in the gold mining industry. Just last week, the worlds largest gold miner Barrick Gold Corporation (ABX) announced they will be buying all their hedges at cost of almost 6 billion dollars. This is an incredible development in the gold mining industry. Simply put, Barrick Gold is betting 6 billion dollars that gold will move upwards. The hedge contracts that Barrick had in place created great security for the company, allowing them to make money even if the price of gold went lower. Removing these hedges effectively removes the security blanket and allows them to reap rewards only if the price goes upwards. If they are betting 6 billion dollars that gold is going to go up from here, that sure means a lot to me.

As for the report, Barrick thinks gold is going up and so do I. I’ve been 100% right in the past month in terms of the gold patterns and I anticipate I will continue to be right going forward. Right now, my signal is buy buy buy. Buy on all pull backs in the 990′s and high 980′s. I see lots of support at 996 and lots of resistence at 1001. If we can break 1001 by Tuesday, we could see a big jump to 1015-20. Enjoy trading everyone!

Predictions for 2009

Welcome to my very first blog post for Churn.ca. Playing the market is something I’m fascinated with and a few people are interested in following every move I make. I want to stress, I’m not providing investment advice, I’m just here to show you what I’m doing. I’m going to repost a few things I made at Covestor back in January before I start freshening up the content. Here are my predictions I made for 2009…

• Gold breaks the $1,000 barrier in Q1 2009.
• DOW will not hold at 7500, I’m looking for the break in late Q1 or Q2. 
• Gold miners (equities) will be the top performer for 2009 (AUY, ABX, NEM, ABX, GG).

Good luck trading in 2009, I hope it goes well!