Gold and Gold Miners

Gold and Gold Miners

October 10, 2016 ( – Gold’s fundamentals are still intact. Monetary and interest rate policy are still very loose around the world. 

In 2015, gold fell sharply into the expected rate increase, and dropped further when the cut was announced, then immediately reversed and moved up. The same activity may happen this year.

Many gold analysts state that the bull market has not ended.

When gold stocks turn in a bull market, they typically move 150% to 300%.

What the markets have seen this year would be one considered one of the shallowest and shortest up swings in the price of gold in the past 30 years.

One should consider in this climate to look for good opportunities to buy active gold mining companies.

Such active gold miners are Nexus Gold Corp  (NXS.V) and Blue River Resources (BXR.V) who presently engaged in active gold exploration programs in Burkina Faso & Cambodia.

These companies are seeking the discovery of new economical & mineable gold deposits.

These companies’ market capitalizations can double or quadruple in size after gold deposit discoveries and with the addition of ounces of gold (assets) placed on to their balance sheets. 

Both Nexus Gold and Blue River Resources have made significant progress this year on their projects.

Shares in gold companies at times do increase after drill gold assays announcements.

Companies like these tend to become potential takeover targets for intermediate gold producers who may be looking to add gold ounces to their inventories.

It appears to be that the bull market for gold is intact, especially for gold miners.

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