NASDAQ_400
03-27-2003, 07:59 AM
Sit tight
Richard Russell
Dow Theory Letters
March 27, 2003
Extracted from the 26 March 2003 issue of Richard Russell's Dow Theory Remarks
Gold --I've been advising subscribers to build a "comfortable" position for themselves in gold and
then -- sit tight. Don't trade your position. You don't trade your home, you don't trade your
jewelry, you don't trade your art -- and my advice is "Don't trade your gold."
Nevertheless, I do watch the gold action (as subscribers know, I love the action of markets).
Looking at April gold, its 200-day moving average stands today at 330.90. And gold's 200-day MA
is still rising. April gold for the last few days has been trading around its 200-day MA. The
stochastics for gold are on their lows. Gold is beginning to act as though it's "sold out."
XAU and HUI have formed what looks like possible "double-bottom" structures, although the
metal looks stronger than the stocks at this point.
HUI, the unhedged "gold-bug's" average, is below its 200-day MA (126.68), but appears to have
support around the 112-115 area,
The Commercials have reduced their gold short position to its lowest level in the last 20 weeks.
At any rate, I would guess that most "Johnie-come-lately" gold buyers and the "in-and-out" gold
speculators have been knocked out of their gold and gold share positions by now. We'll see.
More follows for subscribers. . .
Richard Russell
March 27, 2003
Dow Theory Letters
© Copyright 2003 Dow Theory Letters, Inc
http://www.321gold.com/editorials/russell/russell032703.html
Richard Russell
Dow Theory Letters
March 27, 2003
Extracted from the 26 March 2003 issue of Richard Russell's Dow Theory Remarks
Gold --I've been advising subscribers to build a "comfortable" position for themselves in gold and
then -- sit tight. Don't trade your position. You don't trade your home, you don't trade your
jewelry, you don't trade your art -- and my advice is "Don't trade your gold."
Nevertheless, I do watch the gold action (as subscribers know, I love the action of markets).
Looking at April gold, its 200-day moving average stands today at 330.90. And gold's 200-day MA
is still rising. April gold for the last few days has been trading around its 200-day MA. The
stochastics for gold are on their lows. Gold is beginning to act as though it's "sold out."
XAU and HUI have formed what looks like possible "double-bottom" structures, although the
metal looks stronger than the stocks at this point.
HUI, the unhedged "gold-bug's" average, is below its 200-day MA (126.68), but appears to have
support around the 112-115 area,
The Commercials have reduced their gold short position to its lowest level in the last 20 weeks.
At any rate, I would guess that most "Johnie-come-lately" gold buyers and the "in-and-out" gold
speculators have been knocked out of their gold and gold share positions by now. We'll see.
More follows for subscribers. . .
Richard Russell
March 27, 2003
Dow Theory Letters
© Copyright 2003 Dow Theory Letters, Inc
http://www.321gold.com/editorials/russell/russell032703.html