Gold and silver moved lower today, but are above our stop-loss levels, so there is no change in our approach here. Silver moved to the $31 level, which is where the long-term support line is located - there was no breakdown. Gold moved slightly below $1,650, just a little below its late-January bottom.

We'd like precious metals to rally immediately, and we believe so would you, instead of just moving back and forth like it was the case in the middle of 2012. However, just like it was the case back then, we expect the rally that will follow the end of this consolidation to be significant and worth waiting for.

Just as we indicated previously, a full speculative long position is suggested for gold and silver, and also for mining stocks.

Naturally, we suggest remaining in the precious metals market with your long-term investments. We sustain our belief that platinum will continue to outperform gold in the following months and it's not too late to take advantage of that.

As always, we'll keep you updated should our views on the market change. We will continue to send out Market Alerts on a daily basis (except when Premium Updates are posted) at least until the end of February, 2013 and we will send additional Market Alerts whenever appropriate.

Thank you.

Sincerely,
Przemyslaw Radomski, CFA