BullMarketRun.com

Gold is taking a breather today after its recent strong run…the yellow metal dipped as low as $1,199 but as of 7:30 am Pacific time it’s trading at $1,203, off $2 for the day…following China’s decision to open up its Gold market by allowing more banks to trade in bullion, Indian banks have decided to approach the Reserve Bank of India for permission to trade in gold…at present, Indian banks are only allowed to sell gold –  they cannot buy it… the CDNX, looking for its 8th straight winning session, is up another 3 points this morning to 1468…Gold Bullion Development (GBB, TSX-V) is down 3 more pennies to 51 cents…the stock is in a zone of very strong technical support and astute investors will recognize the current weakness for what it is – an early Christmas gift, but grab it while you can…first assay results from the highly prospective LONG Bars Zone “eastern extension” area could “theoretically and potentially come any day now” according to Gold Bullion President and CEO Frank Basa, who was very upbeat when we spoke to him last week to confirm an upcoming interview…given some very obvious clues (visual observations, mineralization encountered near surface and at depth, etc.) in the last 2 Gold Bullion news releases, in addition to publicly available technical reports including Willoughby’s 1994 “Geology, Structure and Gold Mineralization on the Granada Extension Property“, we have every reason to believe that Gold Bullion has hit some “sweet spots” in the east that could produce some spectacular drill results out of at least some of the 27 holes completed in that area as of July 28 (drilling continues)…these holes cover a surface area nearly 400 metres north-south and 400 metres east-west and are outside the 2.4 to 2.6 million ounce Preliminary Block Model (potential non-compliant resource estimate)…not only does mineralization appear to be broad-based and near-surface throughout the Block Model and the eastern extension area drilled to date, but the July 29 news release also stated there are “very encouraging showings” below 150 metres vertical depth where only limited historical drilling has occurred…this is interesting as it supports the theory of a Granada feeder system at depth…Willoughby’s 1994 report states (on page 34):  “A large circular feature interpreted from air photos encloses most of the Granada Mine Property and suggests an intrusive stock at depth, perhaps the feeder for the numerous sills and dykes mapped at surface“…the LONG Bars Zone gets more and more fascinating as we continue to study it and as drilling and results come in…we are convinced a massive discovery is in the works here…Sidon International Resources (SD, TSX-V), which is up some 200% since we introduced that company just 4 months ago, is off a penny to 14 cents this morning…Sidon is consolidating nicely and unwinding its recently overbought technical condition…Richfield Ventures (RVC, TSX-V), which has been on a tear recently, is off a penny to $1.72…we’re looking for a near-term pullback to about $1.50 (the 100-day moving average) on Richfield…