Gold Bull Intact, But Not Sprinting At Present

While the U.S. markets are closed today for Presidents' Day, it is time to think over our investments. The 5-Year Gold Graph, above, clearly shows gold to be in a bull market over the five years of the graph. Presently, it is still in a correction phase, but staying mostly above $900. It is comforting that it is holding above that level.

Once, again, my priorities on investment media remain, in this order with the highest priority first: gold and silver bullion coins in hand; gold and silver Exchange Traded Funds & Trusts (GLD, SLV, CEF) Note: these are good as long as the stock markets remain in operation; pooled gold accounts at; for examples, www.EverBank.com World Markets Metal Select Accounts, www.Gold Money.com, etc.; precious metals mining stocks, and commodity stocks. It is wise to hold some cash to take advantage of dips in the market price of the selected investments.

Remember gold and silver are to be used to preserve wealth while the mining stocks are investments for sale when the third phase of these markets arrives. We will have some warning as precious metals will begin to be a major topic of the conventional media and stock brokerage firms and conversations at parties and among friends. Then the masses will attempt to jump on board and run the market prices upward for the last leg of the bull market.

Options on the stocks and commodity futures are opportunities for the more experienced investors. These are considered to have greater risks, so it is important to know your level of risk tolerance before venturing into these areas. By the way, if you are to trade options, the brokers require a margin account. To trade stocks, one only needs to have a cash account.

Last week, I began purchasing Vista Gold (VGZ). My first purchases, this time around, were in the $5 range. It has been beaten down from a November high of about $7.50. I have been in and out of this stock over the years and it has been good to me. I would consider, for myself, purchases at less than $5. You must make your own decisions. This is a speculation!

As an aside, I use internet discount brokers to save on time and commissions. My favorite is E*Trade, because they have Dividend Reinvestment Plans (DRIPs) for many stocks. I also use Scottrade, because they have low commissions (generally $7 per trade), but do not have DRIPs. These are my personal choices, you decide for yourself. There are many other good internet brokers.

I hope that you have or plan to read and study Michael Crichton's article at the website I sent earlier. It is an important article which is a must read.

I trust that you met in corporate worship with other believers yesterday. That is an important part of our obedience to our Sovereign God and our witness to the world. What a joy it is to meet together with the body of Christ, the New Jerusalem, His church. "Do not neglect the gathering together of the saints, as is the practice of some."

Best to each, Doug