“Mini Melt Up” Update

Posted by Peter Grandich - Agora Small Cap Epicenter

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The mini “melt-up” in the U.S. Stock Market continues. In 2008, professional money managers and the like were asked, “How come you didn’t get me out?” Now, they’re being asked, “How come you didn’t get me in?” Justifably or not, the U.S stock market continues to rise sharply without any major setbacks. This is causing more people in whether they like it or not. Hitting DJIA 10,000 is only going to intensify this need as the media plays up the event.


My target remains DJIA 10,500 – 11,000. If and when its hit, my plan is to put back on my perma-bear suit. But for now, sit back and watch the “Don’t Worry, Be Happy” crowd do their thing.

The very short-term key (like in hours or a few days) is – you guess it, the U.S. Dollar. It’s now below key support of 76 on the U.S. Dollar Index. A further sell-off should limit or avoid any metals correction but a reversal could bring on a sharper correction. I don’t like to hedge but it’s a coin flip right now so stay tuned.

Lots of emails about Continental Minerals (KMK-TSX-V $1.40). What I can tell you is this:

The latest deal has created lots of interest in Asia. This is a big deal having two different Chinese mining companies taking a major stake in the same company. Both have been playing up their interests in the financial media. I’m told by KMK that Asian institutional interest has gone bonkers since the announcement (You can see it in the big increase in volume). KMK management tells me they’re on a road tour promoting KMK for the first time in quite awhile and key management is heading for China as we speak. Hmmm…

I will be out of the office all next week. I will be interviewed on BNN next Tuesday at 4:15PM EST. I look forward to seeing many of you at Michael Campbell’s conference on October 24th. There will be a special “after-hours” workshop where I will expand on my latest thoughts.

…..go HERE for Peter’s comment on near term prospects for all metals and mining shares.




On Major Moves, Grandich has been very right and not only saved many investors fortunes, but expanded them dramatically. On November 3, 2007 at the MoneyTalks Survival Conference, Peter Grandich of the Grandich Letter warned that “an unprecedented economic tsunami will hit American beginning in 2008”.   Peter advised publicly to short the US market two days from the top in October, 2007 and stayed short until the last week of October, 2008. He began to buy stocks in March 7th,  2009. He also bought oil and oil related investments near the lows after the dive from $147.
….go to visit Peter’s Website.