However, while the gold price can be viewed as a healthy pullback after an extended run, gold mining stocks have simply been taken to the woodshed. The percentage declines that senior producers such as NEM have taken is far greater than the gold price. And of course these companies still have the same assets that they had when gold was at $1900.

But if the senior producers have been taken to the woodshed, it’s fair to say that junior gold stocks have been blindfolded and placed in front of the firing squad. Many names in this group have seen their market cap cut in half or more since early 2011.

Anyone who has survived as a speculator in the junior gold market for very long knows that good markets are for selling and bad markets are for buying. You have to be a true contrarian to make money in these markets and the atmosphere in the current junior mining stocks should be catching your attention.

There are some real problems in this sector such as debt and the need for many companies to find financing on possibly unfavorable terms in the coming year. Governments continue to interfere with onerous regulations. But despite the climate, now is the time to find those juniors that are severely oversold and have prospects that will be the catalyst for high percentage gains moving forward.

Jaguar Mining (JAG) is one of the stories that may be worth a look.

After reaching a high of $9+ early this year based on a takeover offer, the stock has been pushed into the $2s as uncertainty about the buyout offer and the general market malaise have taken a toll. It’s been a perfect storm of market turmoil and company confusion and shareholders have voted with their feet.

The question is what are JAG’s prospects going forward. The company mined 156,764 ounces of gold in 2011 from its three mines currently in operation. Their Gurupi deposit in Brazil holds over 3 million ounces that grades over 1g/t and is likely to increase.

So discounting whatever may or may not occur after the buyout distraction is settled, JAG will move forward as a junior producer with exploration upside. Yes they may have to raise money this year. And yes the overall market look awful at the moment.

What more could a true contrarian ask for. While the blood is in the streets it’s time to look closely at Jaguar Mining.

Like with every other investment opportunity, it is always important to consider the right or the best gold to invest in. many people have been wary over the years about the junior gold stocks and especially because they have been found unreliable according to surveys. These stocks are normally mining company shares and are generally in the stage of development and exploration. It is however worth noting that the stocks of this kind normally have a great return for the investors and therefore could be worth risking. It will therefore be a worth consideration and especially after studying the company floating the stocks before putting the money into the deals.

There are various best gold stocks 2012 that one could consider when seeking for a greater opportunity to get the best returns for their investment. Normally, following the analysis and the trends out there could definitely do the magic and help you to understand the stocks that have been performing well over the past few months. This could also help in predicting what is bound to happen over the coming months thus giving you an idea of where you could invest. It is however a fact that trading in gold is a great idea compared to the forex trading and the returns are always greater, rising with every dawning day.

Certainly, we already own a ton of the king in the junior graphite space, Zenyatta Ventures (ZEN.V/ZENYF.PK) so we will not get into the stock in detail here. Except to say we feel ZEN will be a leader (and already is) going forward in the sector and has the most exciting discovery in graphite.

That’s all in this update, we just wanted to pass along the idea that the graphite stocks are reversing and we see profitable trades across the sector. We may see the sector in new high territory on this run but we see, at minimum, stocks retesting their 52 week highs.

Best,

Eric Muschinski

Gold Investment Letter

Another great buy is Berkwood Resources Limitd (BKR on the stock market). It’s currently very inexpensive, but it’s on the edge of huge increases, which makes 2012 the perfect year to buy. It mines primarily in South East Asia, as well as North America, for both gold and silver. They recently discovered the enourmous Cimandiri Gold Prospect, with a span of almost 11,000 hectacres in West Java, and their stocks are poised to go through the roof.

A great silver stock to invest in is Silver Bear Resources Incorporated (stock symbol is SBR). It has discovered over 18 million ounces of silver, and counting. It’s had large market gains over the past year and makes for a tried and true, solid investment to add to any precious metals portfolio.

If you buy into any or all of these companies via the publicly traded stock market or even private stocks or ventures, you should see large increases in your portfolio’s value. Precious metals always increase in value; historically you can’t lose out investing in gold, silver, or graphite. Precious metals are some of the safest investments on the market today, even though the past few years have made the stock market rocky terrain to tread.

Disclaimer: None of this is legal advice, and we are not to be held accountable for any gains or losses.

There has been a recent demand of graphite stocks due to the demand of the mineral in industrial processes and in the development of clean energy technology. According to http://www.resourceinvestor.com, the price of the mineral has risen from between $500 to $2,500(low) and $750 to $3000(high) from 1999 to 2011. The demand of the graphite has also spanned growth of developed and developing economies in the search of this mineral in different locations in the world.

Graphite in its natural state possess properties that makes it a must have component in the industrial processes. It is the most stable form of carbon, thus it is a very conductor of electricity. For this reason it is used as the standard state for heat formation of other carbon compounds. Used in pencil making, steelmaking, brake lining, it’s a natural lubricants, electric motor brushes.

It is a component used to make lithium-ion batteries, fuel cells, nuclear reactors, Vanadium-redox batteries for use in wind turbines and solar cells. It is used to reinforce plastics, in radar absorbent materials, superconductors and computers and laptops and military hardware.

There are publicly listed companies that an investor can invest in. Some of them that an investor can look into are; Canada Rare Earths, Atocha Resources, St Georges Platinum and Base Metals Ltd, Hickman William & Co., etc. Visit your investment manager to advise you on the available options for investing in graphite stocks.

While it can be quite difficult to get one’s hands on top gold stocks or even silver stocks for that matter, the moment that they can be had, they must be obtained. The real profit begin investing in precious metal stocks is in the demand for these raw materials which are used in a variety of different applications, with the industrial and the aesthetic leading the gamut of industries that are after such precious materials. Since time immemorial, precious metal stocks have been equivalent to good hard cash in any situation, whether in peacetime or war, and investing in a large amount of top gold stocks or silver stocks not only guarantee a fortune convertible to instant cash regardless of the situation – it also assures one of an investment that will never depreciate or fail. The more that people seek out precious metals and the higher the demand for refined and finished products from such materials are the more these treasures become scarcer, and it is in that scarcity that one can find the true and unwavering profit in investing in precious metals. If a good and infallible investment is what one is after, all other commodities rank second or third best to investing in precious metals as their value and their importance grows every year as these materials become scarcer by the decade. Overtime, whoever hold the greater amassed precious metal stocks will have the influence and the substantial leverage to build or topple nations.

A potentially good investment that may outdo gold and silver is found in graphite flake mineral. Supply for this mineral is formerly dominated by China but with recent development in the United States and Canada uncovered a much higher grade quality that are just available at home. This then is an alert for traders seeking a real active trading of precious minerals stock pick. It is quite obvious that graphite will hit the top spot very soon and to start investing on this graphite mineral is truly worthwhile for consideration. Timberline Resources Company, mining stocks for gold, silver and graphite is your investment partner that will lead you on.