GOLD DIGGERS

[#1]

Following this latest rally in the USD gold price, everyone seems to be jumping into GLD HAR etc but these shares tracks mostly the ZAR/oz price which is totally a different picture compared to the USD/oz. IMO the rallies in HAR GFI is only due to temporarily predictable volatilty sparked by sentiment. My opinion: when gold hits 1200, dont expect HAR to be R120. Or am I wrong?

[#2]

It seems to be tracking the dollar gold price. If that keeps on shooting up I don't think Harmony will be far behind.

[#3]

The rand weakened last week and it didn't even effect gold shares. We actually went down in that period. Yesterday we went mad after gold broke through 1040. So therefore, why you guys worried about R/gold, just ride it up for now!!! We should test 1100 fairly soon imo. If harmony breaks above 92 then we have easy 97 on the cards. If we break 100, then we have an easy 110 on the cards. Easy money me thinks ;P

[SimonPB]

correct, local market is focusing on gold in USD .. rand headache will sink in eventually, unless it weakens which is unlikely .. but for now tis being ignored .. so just trade the price ..

[kwagga]

Gold shares in SA are driven by sentiment based on the Gold price only at the moment. Remember that when trading gold shares, because it means that it can become frothy quickly resulting in volatility and increased risk. Thus a short term play and not favourites of many big long term players.