Meanwhile, the Dow Transports are stuck below 4500 and their 200 Day Moving Average, the S&P 500 is 13% below all time highs, and other stock indices lie even further below all time highs. Add to that a fatal rising wedge on the chart, & a broadening top, and you have the recipe for an enormous & sudden fall. Oh, it may not happen tomorrow, and the Dow might press ahead another 2 or 3% from here, but the outcome is sure, and the forecast is certain. This is a bear trap, set most likely by the Bears Little Elves, the Nice Government Men trying to assure election victory for the administration. Beware, beware, and take this golden opportunity to swap stocks for silver & gold.
The GOLD PRICE dropped today US$21.40, then dropped another 1.60 in the aftermarket. It gapped down on the open, and that set off all sorts of technical alarms as it collapsed through one set of stop loss orders after another to find its footing again at the 575 resistance level.
The SILVER PRICE followed gold down, falling even further percentage-wise, to close at 1095.50, below the crucial 1100 level, and then dropped another 11 cents in the after market to wind up at 1084.
If you're listening for me to sing "Woe is me" you'll be waiting a long time. Isn't this what I have been looking for? Now will silver & gold stop at these previous strong support levels, and post a double bottom, or will they drop a little further for new lows? I don't know. Tomorrow they might make another of those V-bottoms, spiking down during the day then closing higher or unchanged. This is what we have been waiting for, this is our opportunity. Do NOT go to sleep at the switch now. Buy Gold and Silver, and if they drop further, buy more. Put two-thirds in silver and one-third into gold.
The GOLD/SILVER RATIO rose today, predictably, but not high enough to trigger our swap. I've been waiting for 55. Keep watching.
The US DOLLAR made another meaningless move. Until it breaks 86 upside or 85 downside, it's just a tale told by an idiot. Come to think of it, it's that all the time.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
To avoid confusion, please remember that the comments above have a very short time horizon. Always invest with the primary trend. Gold's primary trend is up, targeting at least $1,250.00; silver's primary is up targeting 16:1 gold/silver ratio or $78.13; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.