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Little-known "K-Ratio" predicts major imminent move in gold stocks
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Friday, April 24, 2009
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From Seeking Alpha:

One reliable indicator that I have followed over the years to time the purchase of gold stocks is the K-Ratio.

At the present time, the K-Ratio is giving a strongly bullish signal. The K-Ratio is computed by dividing the value of Barron's Gold Mining Index (GMI) by the Handy & Harmon gold price. Using data from the latest issue of Barron's, the K-Ratio is now at .90 and flashing a very strong buy signal.

The last extremely bullish reading was registered in late October of last year when the K-Ratio recorded an all time low reading.

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Topics: Gold | Commodities
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