GOLD IN THEM THAR HILLS…… Gold was in the gutter this week, and we have three different instruments that which are all a part of the same trend rolled into one. SPDR Gold Shares (NYSE: GLD), iShares Gold Trust (NYSE: IAU), and Kinross Gold Corporation (NYSE: KGC) as one of our top gold stocks for 2011 all culminate into the three-in-one here.  Our technical analysis affiliate is Adam Hewison of INO and his short audio-video shows that $1,362.00 per ounce on spot gold is the level to watch intermediate and long-term is still up, but near-te
rm we are at key levels despite gold being oversold in a trading range for the last several months.  Hewison hopes we are close to a bounce and current support has to be watched short-term.  The other big call on gold was the “still bullish S&P call” on energy and materials, where S&P surmised that gold would finish 2011 around the $1,600.00 per ounce level.  If that holds true, then there would be implied targets of roughly $158 to $159 on SPDR Gold Shares (NYSE: GLD) and targets of roughly $15.80 to $15.90 on the iShares Gold Trust (NYSE: IAU).  As far as Kinross Gold Corporation (NYSE: KGC), that $18.10 level we spotted on Tuesday as our level (with hedges) ended up at $17.52 on Friday.  If gold makes it back to $1600 an ounce, only execution faltering would prevent Kinross from challenging well above $20.00 per share.

Netflix, Inc. (NASDAQ: NFLX) was back in the target zone for analysts this week.  They key call which stood out the most was an initiation of coverage from Gabelli & Co. with a SELL rating and a $144 price target objective on the stock.  Oddly enough, Netflix closed out 2010 at $175.70 and closed out this last week at $179.30.  The implications of the call made it the standout because many feel that the stock is overvalued even if it hits its growth targets.  Thomson Reuters lists a mean target consensus on Netflix of $148.22.

Potash Corp. of Saskatchewan (NYSE: POT) may be on the heels of Mosaic and Monsanto earnings gains this last week but there are three key analyst calls that are effectively the same trends.  The analyst community is deciding that the busted merger is “oh so 2010″ and ratcheting targets higher.  If what came from Mosaic and then from Monsanto remains, then Potash Corp. with its biggest market cap of peers is going to be a hot-bed in 2011.  Three calls came this week, all above the $161.50 rough target as a consensus that makes us believe more target price hikes are coming:

• Boenning & Scattergood started coverage at “Outperform” with a $190 price target;
• Canaccord Genuity raised its target to $185 from $175;
• UBS raised its target to $185 from $165.

You can expect another busy week of analyst upgrades and downgrades in the week ahead.  It is not just over earnings season.  Many research units at key brokerage firms were all but shut down for the last two weeks of December.

You can join our free daily email distribution list to hear more about analyst upgrades and downgrades, top day trader and active trader alerts, dividend trends, news on Buffett and other investment gurus, IPOs, secondary offerings, private equity, and more.

JON C. OGG