Gold rallied less than 1% today, meanwhile, the GDXJ (Market Vectors Junior Gold Miners ETF) gained 3.68% closing at session highs. Every day we hear a lot about how "stocks are the only place to be invested", as gold and other "uncorrelated assets" have suddenly lost favor among investors. However, there has been no greater time for investors to express a bullish view on gold through the purchase of a basket of gold mining equities, junior miners in particular.

With the recent vast underperformance in gold mining equities and the deeply depressed sentiment across this space, investors have finally been delivered a highly attractive investment opportunity with significant potential upside leverage to the gold price. Moreover, there are signs that astute investors have already begun to seize this opportunity:

Click to enlarge

GDXJ_Daily_3.12.2013

The gold chart has also begun to turn much more constructive in recent days - over short term resistance near $1597 we could easily see a push back up to the $1610-$1620 area. A daily close above $1620 would put gold in a short term uptrend with a shot at breaking above the falling 50-day simple moving average and out of the 7-month downtrending channel:

Gold_3.12.2013

I hear a lot about "investors" buying Dow stocks that are sitting at all-time highs, but not much about investors adding deeply depressed gold miners to their portfolios. With multiple ways for investors to win in the junior gold mining space from current levels (industry consolidation, gold price appreciation, operational improvements & new resource discoveries, etc.), perhaps it's time to move some money into this deeply depressed & undervalued space.