Risk On Rally Benefitting Oil, Equities And Industrial Metals

By Jeb Handwerger:Gold (GLD) is pulling back to long term support and is able to be purchased at a discount. Investors may be seeking riskier assets due to fears of inflation and higher interest rates.

By Jeb Handwerger:We are still climbing the wall of worry as wealth in the ground metals becomes increasingly cheaper in a world that is threatened with the ghosts of depressions and deflations past. We observe the doubters who regale us with the view that the miners are underperforming bullion and the general equities. They claim that housing, financials and the dollar has bottomed.

Jeb Handwerger submits:The gold (GLD) and silver (SLV) meteor keeps soaring in the skies over Wall Street as the US dollar (UUP) is parachuting into new lows.

By Jeb Handwerger:During silver (SLV) and gold's (GLD) terrific move in 2011, very few analysts warned that a correction could come to shakeout all the Johnny come lately's (momentum traders) who were pushing gold and silver to nosebleed levels.

By Jeb Handwerger: "The main purpose of the stock market is to make fools of as many men as possible." Bernard Baruch

By Jeb Handwerger:We are approaching the end of the year where investors are facing a confluence of mixed signals such as tax loss selling, fiscal cliff discussions, the Greek bailout, future Fed actions and Middle Eastern geopolitical turmoil. Short term shakeouts like yesterday's early morning drop in precious metals should be expected. The precious metals markets appeared to have found support of a massive sell order at the open.

By Jeb Handwerger:Regardless of who wins the election, we believe that precious metals and especially the undervalued junior miners should be included in one's portfolio. We are living in volatile times, where we see possibly many catalysts to cause a breakout in gold (GLD) and silver(SLV).

By Scott Gibson:The price of silver has been in a slow steady recovery since it gapped down in hard selling on September 22 and 23 of 2011.