The gold stocks gapped down at the open, but rallied back to unchanged within ten minutes...and then sold off until about 10:20 a.m...which turned out to be the low for the day...and it was onwards and ever upwards from there, even though the low for gold came minutes after 12 o'clock noon Eastern time.  The HUI finished on its absolute high of the day...up 4.13%.  As I've mentioned just about every day recently, some very big [with a capital 'B']  buyers have been buying gold and silver stocks with both hands ever since the low last week.

And despite another loss in the metal itself, the silver stocks turned in an incredible performance as well...and Nick Laird's Silver Sentiment Index closed up 3.10%.  Most of the junior producers did much better than that.

....read the whole analysis of Yesterday in Gold & Silver HERE

I am a contrarian by nature. I generally try to do the opposite of the crowd in every situation I find myself regardless of whether I am in a movie theater or trading options. As expected, the gold miners have shown relative strength recently. The miners were just absolutely massacred during the recent selloff in equities and precious metals.

CLICK HERE to read the full article

Gold bushwhacked the bears last week. It’s even got gold bugs talking about gold stocks … again.

After breaking gold bugs’ hearts by plunging to a new low for the year on Thursday, gold violently reversed. Measured by the CME floor close, the benchmark gold contract GCM2 -0.57%  gained $38.30 on the day. It followed up on Friday by adding another $17, for a two-day gain of 3.31%.

The NYSE Arca Gold Bugs Index XX:HUI +0.21%  jumped 5.29% in these two days.

Gold stocks’ outperforming the metal is significant, because they have been atrocious this year. As of Friday’s close, HUI was down 20.5% on the year, while gold was actually up 1.4% on the year. Just a restoration of late 2011’s multiples could produce serious gains.

If gold’s reversal sticks, it will be a triumph for the contrary opinion sentiment indicators. Nothing else had been offering any comfort.

The Hulbert Gold Newsletter Sentiment Index has been negative for a record 29 days. The far-sighted Australian bullion commentary The Privateer thinks something really significant has happened.

....read more HERE