it's ground hog day ...

Gold rises strongly to over US$1510 and with no currency issues to worry about you'd think the HUI gold shares would put in a strong performance.

But in another ground hog day for genuine gold share investors - hedge funds shorting these stocks as a hedge against their long gold positions and the banksters are laughing - Dan Norcini had this to say:

"The potential fly in the ointment, much to my surprise, is the lackluster performance of many of the gold shares as evidenced by the HUI and XAU. While both are higher today, neither one has mustered sufficient strength to have taken out Friday's session high on the charts. That is rather disappointing considering that these stocks led the metals on the way down. I fully expected them to lead on the way back up for a short while. As of right now, they are in a follower's role instead. It is also noteworthy that they are lagging against a backdrop of a rather strong day in the broader equity markets."

At http://traderdannorcini.blogspot.com/2011/05/gold-4-hour-chart-update_09.html

My comments: So it still looks like we have the same old, same old. Gold shares have no problems getting smashed big time leading the metals down, but then of coursde lag on the upside.

While this conditioning process continues the average investor will stay well clear of gold shares imo.