This article is part of a 20 article special report on "Metals, miners and money".

"When building a portfolio of junior mining stocks, stick with the best -- not just the cheapest," says money manager and advisor Adrian Day in his industry-leading The Global Analyst.

Although he is cautious on gold prices for the near term, Adrian Day suggests, "Gold is still only part way through its current bull move, one that likely still has years to run." Here, he looks at five favorite top-quality junior miners.

"Gold has had an extraordinary run, based partly on the decline in the dollar, which appears overdone in the short term. The fundamentals for a weaker dollar and for a stronger gold price remain intact, but I would be cautious about chasing markets now, especially the seniors.

"But it would be a mistake to sell too much, particularly in an attempt to trade the market and buy back precisely the same stocks at lower prices. Such attempts often end badly, as one fails to buy back favorite companies after selling at perhaps intermediate tops.

Continue reading Top resource ideas: Adrian Day 'sticks with the best'

Top resource ideas: Adrian Day 'sticks with the best' originally appeared on BloggingStocks on Sun, 11 Nov 2007 14:10:00 EST. Please see our terms for use of feeds.

This article is part of a special 20 article report on "Metals, miners and money".

"It wasn't that long ago -- in late 2003, to be exact -- when we were bumping up against the $400 ceiling in gold; and now we've barreled through $800," says Brien Lundin, editor of The Gold Newsletter, and host and opening speaker at the recent New Orleans Investment Conference.

Although he remains cautious on the near-term outlook -- and indeed, forecasts a correction from current levels -- he suggests, "Perhaps the reasons behind gold's rally don't matter -- and we need only consider the fact that it is rallying."

From a long-term perspective, he suggests, "The very fact that gold is rallying so strongly is telling us something about the geopolitical, economic, and/or investing scene. Does gold know something we don't?"

The gold and resource investing expert suggests, "Perhaps it's telling us that global liquidity is far deeper than we can yet understand. Maybe it's telling us that the worldwide move away from the dollar as a reserve currency is accelerating behind the scenes.

"Perhaps it's indicating that economic growth in Asia will continue, and is capable of thriving without the support of Western consumer demand.... Maybe gold is foreshadowing a geopolitical blow-up.

"Perhaps the metal is whispering that the housing crunch, with peaks in adjustable rate mortgage resets coming at the end of the year, will become worse than anyone yet fears. Or perhaps that there is some still unseen derivative or other economic crisis about to erupt.

Continue reading Top resource ideas: 'Does gold know something we don't?'

Top resource ideas: 'Does gold know something we don't?' originally appeared on BloggingStocks on Fri, 09 Nov 2007 15:55:00 EST. Please see our terms for use of feeds.