With the market bouncing back up, you can now expect gold to bounce
back up too as it already did today. I took a long position with ABX
at $36.27, with a stop loss at $33.75, and a stop buy order at $37.75.
Almost all gold stocks are pretty much moving the same direction (EGO,
AUY,GG...). Taking one gold stock over another should give you around
the same returns, I chose ABX over AUY because I prefer stocks with a
higher dollar value, making them somewhat safer. I decided to go long
ABX because it bounced back up strongly over its 200 day MA, while
this position also allowed me to set a stop loss order below the 200
day MA without taking on a loss of more than -7.00%, giving me more
potential upside than downside. My stop buy order at $37.75 will be
triggered if it goes back over its 50 day MA, which would give us
another BUY SIGNAL.

Long ABX @ an average of $36.27 - Stop Buy @ $37.75 - Stop Loss @
$33.75

My analysis on gold, is based on my observations of the Dow Jones, and
the Canadian Dollar Index vs. the US Dollar. All three are very
positively correlated with one another, and all have bounced back up
strongly today. The Canadian dollar jumped back up so far from $92.7
yesterday to $93.7 today. The Canadian Dollar bounced back up strong
support which was indeed around $92.7. When the Canadian Dollar is up
relative to the US Dollar, this of course means that the US Dollar is
down, and thus Gold is up as people start losing confidence in the US
Dollar. The Canadian Dollar being up is mostly due to Oil being up
because of the weaker US Dollar, and because Canada has a lot of Oil
resources and its value is mostly driven by Oil prices (it's an Oil
Dollar). The market being up so much, in part has to do with the fall
of the US dollar, where it pushes prices up to compensate for the
lower value. Usually when you see Gold up, the US dollar will be down,
and therefore Oil will also be up along with the market. Basically
what this means is if the US dollar and the market were to fall/
increase by the same amount, you would only have artificial gains for
that day, because the US Dollar will be worth less.

To check out all the charts and all my analysis you can visit my blog:
http://yoel-stockpredictions.blogspot.com/