Despite current weakness in gold around the $1650 area we expect a turnaround in gold with a new leg up to $1800 area and eventual breakout at $2000 in 2013. Despite noises heard in the Fed minutes of a purported exit from quantitative easing, Central Banks around the world have flooded the markets with fiat currency.
Around the world gold has outstripped every competitive currency for the past ten years, yet the mainstream fail to understand the importance of owning gold and the gold miners. Recently we have been in a sideways basing period in gold where the price has bounced between $1800 and $1550. Gold may now be forming the base for a major breakout at $1800.
For the past ten years gold has been the place to be yet the masses have still not yet participated. The recent consolidation like 2008 may prove to be a great discount opportunity.
Keep a close eye on this fully permitted miner operating in mining friendly Spain. This country is desperate for new mines as their unemployment rate is extremely high. This past year has been significant in the development of this nascent junior miner which is permitted and in the feasibility stage.
The first half of 2013 could be even greater as they plan to announce an updated resource estimate and a bankable feasibility study on its Corcoesto Gold Project. Edgewater Exploration (EDW.V or EDWZF) just announced approval of its Environmental Impact Statement (EIS) by the Government in Spain.
There are very few advanced and permitted junior miners who are so close to producing over 100,000 ounces of gold annually. The first half of 2013 could be significant for Edgewater as they are preparing an updated resource estimate and a bankable feasibility study.
This mine has significant support from the local region that is dealing with high unemployment as this project could have major economic benefits. Investors may realize the undervaluation of this permitted project which is already at the advanced bankable feasibility stage. The bankable feasibility study should be published in the first half of 2013. The Safest Way To Leverage The Coming Gold Mania
The company’s long term trend appears to be turning higher as technically the chart is showing a bullish golden crossover of the 50 and 200 day moving averages. Each time it has pulled back to support at the 50 day moving average, strong buying came in showing increased interest. Keep a close eye on this chart which may be beginning a new major uptrend.
Non-Stop Gold –January 13, 2013