GOLD REMAINS IN BULLISH TREND

Gold is down again this morning, as there seems to be increased risk appetite for equities. That took away some of the safe haven demand for gold and left gold somewhat on the defensive this morning. Technical considerations may also be involved as gold is sliding back toward the level from which it made a breakout higher on Friday. In early trading, gold is down $6 and silver is down $.17. Meanwhile the Dow Industrials are up 90 points at 8,265. The dollar remains in a declining trend, which should be positive for the gold market. The dollar is down 66 basis points at 83.77 and oil is trading at about unchanged at 41.54.

All eyes are on the Fed awaiting the decision that will be made today. No one expects a change in the interest rate structure, but there are some concerns about what the policy statement might indicate. The consensus view is that their policy statement will remain unchanged with the exception of the announcement that the Fed will be buying more troubled assets and expanding the scope of its purchases.

As I said yesterday, gold could dip as far as the $875 support level and still be bullish. In fact, even if gold were to dip further than that, it would still remain in a bull market trend. Analysts are asking the question of whether this slight correction we've seen over the past two days is the pause that refreshes or the beginning of more serious decline. That remains to be seen. Nevertheless, the expectation of most analysts is that before this year is over, gold will trade above $1,000 an ounce. For now, it continues to trade around the $900 level and if it consolidates around this level, it will be a very constructive development. At this point, it appears that gold is in a bargain buying opportunity zone that will benefit those who acquire it at these levels.

As we watch for word this afternoon as to whether the Fed will announce quantitative easing measures, and we await word from the Obama administration as to whether there will be an aggregator bank established or some form nationalization of the banks that are in trouble, the markets are essentially on hold. At this point equity traders are hoping for the best in terms of policy direction, while gold investors are taking a more wait and see attitude.

For the moment gold is well above the overnight low and I think that is a constructive situation. Some analysts are also saying gold is well bid on the U.S./China currency tension issues. Yesterday, Chinese Premier Wen Jiabao, told European leaders, "I am confident that we master the financial crisis." He is talking about cooperating with Europe to get through the financial crisis, but notably excludes the United States from his comments. That would suggest that China is trying to strengthen its ties with Europe and weaken Europe's ties to the U.S. Analyst Pete Grant told the Dow Jones Wire Service that tension between the U.S. and China over "currency manipulation" will increase speculation over the future of the dollar as the sole global reserve currency. He stated, "The yuan needs to be revalued or the dollar needs to be devalued and either way it is inflationary for the U.S. That is what the gold market is reacting to."

Those who would like to acquire gold should call Goldline at 1-877-341-2646. Goldline will assist you in getting started with the form of gold or silver that best meets your personal needs and objectives. Some may wish to take advantage of Goldline's Price Guarantee Program, which provides you with a two-week window of opportunity to re-price your order to obtain more gold or silver for your money in the event of a correction. You should ask Goldline which assets qualify for the Price Guarantee Program.

You may also wish to get the free information package from Goldline, which contains an excellent series of articles, the company brochure and the Risk Disclosure Booklet. You will also receive a free CD interview with Peter Grandich. Peter gives his forecasts for the economy and the markets. You will find it very helpful. This will be the last week that we will be offering this CD as part of the free information package. Call Goldline at 1-877-341-2646.

Investors should contact Goldline and ask them to explain the features, benefits and cost structure of the various gold and silver investments that are available. Select those that best meet your own personal and individual investing needs and objectives. Investors looking for low transaction costs may wish to consider bullion assets such as American Eagles, Krugerrands, Canadian Maple Leafs, Silver Bags or Silver Bars. However, the Price Guarantee Program is not available with these assets.

If you would like to take advantage of the Price Guarantee Program, which provides you with a two-week window of opportunity in which to re-price your order in the event of a correction, you must select assets with some collectible value such as 20 Francs, Double Eagles and Silver Dollars. Call Goldline at 1-877-341-2646 for further information on the Price Guarantee Program and how you may be able to receive free coins.

To receive the free information package, including articles on the dollar, the economy and gold, call Goldline at 1-877-341-2646. Goldline also provides several other helpful articles. There are a number of other independent third-party source articles that you will find extremely helpful and informative. You will also receive the Client Account Agreement, a company brochure and a Coin Facts Risk Disclosure booklet. Read these carefully before you make an investment. Call Goldline at 1-877-341-2646 now to receive your free information package.