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Is it Time to Hold Gold?

Since peaking at near $1,800 an ounce in late 2012, gold has given back most of the gains it has put on since 2009. Whilst long-term gold bulls may be keeping their opinions to themselves for the moment, I'd bet my hat they're also planning an entry back into the market when things level out. I'm not going to proffer an opinion on the short-term direction of gold, it's certainly not something I've had too much luck with of late. Although using the one year chart below as guidance it don't take Buffet to figure the current short to mid-term trend. [caption...

Gold, Supergroup, Lavendon, Archipelago and Avocet

It seems like an age since I've put index fingers to keyboard and tapped out a bit of an update. It's not as though I haven't had a dabble on the markets here and there, it's just that I've been a little preoccupied with some of our other web ventures. But more on that in a later post. We dipped back into gold long at $5 per point at $1609 an ounce back in mid February. Since then - with a tug-of-war as China, Russia, et al. stockpile the stuff and fund managers offload it - it's traded in a range...

Archipelago Resources

We've been bullish on gold since Buffet was, well, pretty old actually, and whilst our spectacularly speculative buy into Norseman Gold (123,211 shares at 3.26 pence) hasn't exactly paid off - Norseman is down, but not yet out - we still have faith in the sector, as gold continues its holding pattern in the $1,600 to $1,800 an ounce band. Archipelago Resources (AR..L) is a far less speculative investment prospect than Norseman. Based out of Singapore, Archipelago is a growing mid-cap gold producer. Their key asset is the Toka Tindung Gold Mine, located in North Sulawesi, Indonesia, which currently has a nine-year mine life...

Norseman Gold Results

Reassurance that Norseman Gold is getting operations back on track came in the form of their third quarter results released Tuesday 1st May 2012. We wrote about Norseman a couple of weeks ago, having taken up 41,768 shares at 3.92 pence in late March (Norseman shares have changed hands at well over 60 pence within the past 18 months). It was a very speculative buy at best and one based entirely on Norseman's intention to conduct a "complete review of operations". Norseman's problem has never been lack of gold - they own Australia's longest continuously running gold mining operation, which has produced...

Norseman Gold

So we've been trawling the depths of AIM for months now adding distressed companies to a dossier of potential turnarounds. It's a bulging bundle, but I am an optimist by nature. Our latest investment, Norseman Gold - like many companies we've bought into over the years - has certainly seen better days (we added 41,768 shares of Norseman to our portfolio at 3.92 pence a share on 20th March 2012). When looking to add a holding to our portfolio, better days usually equates to higher prices so provided a few criterion are met, I'm happy to trade recent bad performance for...

A Little Look at Alecto

We bought a bunch of Alecto Energy back in November 2010, our reasons then were speculative but simple: "Alecto has been awarded three gold and copper mining and two uranium mining licenses in the Mauritanide mobile belt of Mauritania and there’s the possibility of more good news on the horizon." Since we jumped on board, trading in Alecto has been within a range of between three and four-and-a-half pence a share. Volumes are probably slightly down on where they were six months ago but without doing too much homework on the matter, I reckon that's probably true across the board for AIM...

A Golden Update

It's been a bit of a rocky road for our gold play over the past few weeks since we got on board in late April at just a notch above $1,500 an ounce. The one month chart (below - courtesy of SharePrice.co.uk) shows the spot price for gold rocketed to over $1,560 an ounce in late April before returning those gains (and then some) sharpish in the first fortnight of May. The 12 month chart (below) makes for a little more optimistic viewing in the mid- to long-term but after taking a closer look at the three more substantial short-term downtrends...

Buying Gold

So I'm up and running with my first financial spread bet for a while. The ghosts of financial spread betting failures past have been laid to rest with a renewed bout of reading and I'm ready to make my fortune (sic) trading commodities. I popped 100 quid in my trading account (big spender) and I've bought gold at 10 pounds a point at $1,502 with a stop at $1,492. The stop is a little closer than I'd like it but being an optimist (albeit one with only 100 quid in their account) I've opted for a larger bet and a closer stop...

New Copper-Gold Opportunities for Herencia Resources

In a week or two that's been largely forgettable from a portfolio value point of view, Herencia Resources forced a smile from me yesterday when they announced a new copper and gold opportunity in Chile and an update to their Paguanta Project. Here's a little of the meat from the RNS on the new opportunity: Herencia has entered into a non-binding Memorandum of Understanding (MOU), through one of its 100% owned Chilean subsidiaries, to potentially acquire a 51% controlling interest in an exciting new copper-gold opportunity in Chile. The project is located approximately 750 kilometres north of Santiago in Region III in Chile...

Purchase – MeDaVinci

Although it sounds like a back-street peddler of pharmaceutical art, MeDaVinci - after a change in direction - is nowadays firmly in the mineral exploration game. The change in strategy and resultant restructuring (MeDaVinci was originally a Medical tech investor) came about following a review of their investment portfolio in mid 2009. In the period since, MeDaVinci has been looking at it's options. This from the Final Results for the year ended 31 March 2010: Since the year end the company has re-focused the investment strategy of the company to one focused on companies involved in mineral exploration and production in Europe. As...