Open interest has fallen significantly on the Crimex to 404,427 contracts. It was 461,062 in last week’s CoT with POG at 1210. This finally suggests the commercials are more aggressively covering their hedges. I smell very good catch up traction now. I added to PHYS at 9.60 yesterday and will scale in more as POG trends lower.
I never make predictions on the randomly generated and criminally bogus job numbers, but if it is not gold friendly on Friday, I intend to stinky bid aggressively and top off more positions into the Italian referendum. Check the New Nationalist today for an analysis of Paul Elliott Singer’s comments, including on gold. I concur.
Pilot Gold released more drill holes. This mostly looks like 100 meter step outs from previous drilling, and continues to repeat the pattern of near surfuce oxides seen elsewhere. The pattern has been mostly one gram intercepts with some concentrations of two gram mixed in. This is shapely up to be a low cost deposit with ounces adding up. Pilot’s goal is 2-3 million ounces. The pending holes are more aggressive step outs as shown on the map. It is here that new hits will indicate something greater than the goal. I rate Pilot a 10 below 50 cents Cdn.
Continental Gold (CNL.TO)(CGOOF) announced the receipt of it’s long awaited the environmental permit for the Company’s Buriticá project. The stock has been penalty boxed for quite awhile on this and should respond. It should also be a positive for the sector. So far looks like a bid coming in, but keep an eye out. I am putting a 2.35 US price alert on.