The strongest in a bullish sector: GG

As was discussed in this thread, GG seems to have the best fundamental background of the gold industry. The chart confirms this assessment, since the stock yesterday closed at a 52 week high:

I believe there was recently a fundamental shift in gold prices. My believe comes from the perception that gold is not anymore just an hedge to a falling USD, since the dollar rose over the past few months and the gold price rose too, altough modestly:

USD Index:

GOLD continuous contracts:

It would be a pretty safe bet to buy some gold contracts at this juncture, since we have this fundamental shift related to the USD and usually gold stocks precede the bullion price.

We have many gold stocks trading, and many of them showed up in my filters. But experience tells me you should ride the stronger horse, instead of picking up the slower ones. GG is the stock, from the gold group, that is closer to all time highs so this is the one I have to go with.

I'm buying GG at the open, 6.66% of the portfolio.

Everyday I will analyze GG after the market close until I sell the stock. I always tell I'm going to sell before I actually take action. You just have to follow the answers to this post.

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