Tuesday, March 20, 2007

1350-1380 Silver and 667 Gold Could See Short Selling

The GOLD PRICE, right on cue, rose over 657 resistance to close at 657.90. The SILVER PRICE, too, obliged my wishes and rose 13.8 cents to close at 1328.50 cents, not quite my 1330, but close enough.

Y'all bear in mind that when silver reaches 1350 - 1380 & gold reaches 667, the short sellers will pour out of the woodwork like roaches after a sloppy wedding. Be ready for another correction or at least a big fight at those levels. I may be the only person in the world who thinks so, but all I can see in those charts are higher silver & gold prices.

Don't things depend an awfully lot on how you look at them? Some people might look at the Dow Jones Industrial Average's performance today and say, "Wow. Up 50.15 points." On the other hand, people (like me) might say, "Wow. Couldn't get through 12,300 again." See -- it's all in how you look at it. I'm beginning to wonder if stocks really can get any closer to the last high. Well, I'm going to say it one more time, while there's still time: Swap stocks for silver & gold.

By the way, here's a little piece of research for y'all. From the bottom in 2002, the S&P has risen 45.5%, the Dow 35.2%, gold 77.2%, and silver 192.5%. Silver has actually risen 65.2% against gold.

The DOW IN GOLD DOLLARS moved off the dime today and fell to G$385.73 (18.67 oz). Could be about to drop sharply, that is, gold might rise sharply against stocks, or stocks might drop sharply.

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.