RE: gold action and sharesHi Adobe, I hear what your saying and would have thought same about $700 pog and share prices being more in lockstep. MHO is the share investors have been eager to sell since about December '05 when top callers started shouting. Although the HUI is getting close to being oversold now, as RSI on 3 year chart is 37 and close to April 2005 level. Each low on HUI ended around 30 as bottom. I don't think pm shares will go into deep oversold and if they do, not for very long, as many large pools of institutional investors have been waiting for a pullback to buy into pm shares.
https://stockcharts.com/h-sc/ui
BVG really had big run when it listed on Frankfurt exchange and since, has lost that speculative frenzy. Frankfurt listings always make me uneasy about a junior. Most others have held onto some pretty big gains so far. Atleast from the point of the intermediate bullish run from 2005. Not sure if we are due for another rest period here yet, but at some point in future, the shares will outperform the actual metal. That is pretty much guarranteed. When that period comes is MHO when general public gets wind of the "gold bull market" and the alternatives, like Google, RIM, Bank shares in general, all lose their appeal. The good stories will probably see 200% gains or more. If Staccato hits more good holes, these prices ( .68 ) will look like bargain basement prices.
On physical, so far so good today, as gold is $689 at this moment on spot price. Looks like London physical market was too much for bears. I see USD Wednesday rally is starting to fizzle and Comex open is good so far. One more hurdle at 11am Eastern time, when London PM fix is made for the day and historically, the bearish forces try a sell off afterwards. ( paper gold sales ) If gold closes over $700 in New York and USD drops below .84 on USDX today or tomorrow, then this bearish correction will be toast and next week might see some fireworks. It will mean that bearish troops ran out of ammo and physical demand is too strong to keep price down. Might also signal, that there is some bad financial stuff brewing. ( currently, there is a rumour that London Metals Exchange is in trouble, as the carry trade are way underwater in copper, zinc etc hedges. Lets hope gold holds $680, which will set up big May and June for gold bulls.
cheers