St Andrew Goldfields Ord STADF

Gold stocks & Gold prices not aligned

[PUNJABI]

Gold has come down somewhat but the gold stocks some even that are producing at $400 to $500 per Oz are trading at 52 week lows. The relationship between the gold price & gold stock prices is totally off. This means that either gold prices will come down or prices of gold stocks will rebound to catch up with gold prices. Low cost gold producers are a very good buy because even if gold prices drop further they will  be still making money.

The other option to play the gold sector is ETF HEP. This ETF created a new all time low today. It is a  Gold income fund & pay a dividend while the prices recover. Gold should boucne in summer.