Gold Prices Will Run to at Least 790-800 Before They Take a Breather
Gold Price Close This Week: 742.80
Change: 11.40 or 1.6%
Silver Price Close Last Week : 1347.5
Silver Price Close This Week: 1379.4
Change: 31.90 cents or 2.4%
Whoa. Deep breath.
It took SILVER and GOLD PRICES all week to batter through 733 & 1350, but today they smashed that barrier & tore it apart. Gold rose US$10.10 & silver 27.7¢. I'll get back to metals in a second -- let's look at other things first.
The US Dollar Index fell through 78.19 like an anvil through a rotten porch floor. The Japanese & Euros were already whining and croaking about the low dollar hurting their exports to the US, so what do you reckon they're saying now? I suspect Bernanke & Bush are getting an earful about doing something to raise the dollar's wretched exchange rate. (See how ridiculous all these fiat currencies are?) I will be more than mildly surprised if either the Fed or the Euros don't make some announcement on Monday designed to take steam out of the Euro & put steam under the dollar. What a hoax! Whatever you do, get out of any & all investments that pay you dollars, euros, or yen in the future, things like annuities & pensions. They're sure losers.
STOCKS showed how little faith investors have in them -- all the Wall St. rats left that sinking ship, taking their week's profits with them on their way to Long Island & their martini. Dow in silver & gold is sinking apace. I repeat my plaintive plea: swap stocks for silver & gold, while you still can. Even if stocks pierce the last top at 14,000, and make nominal gains over the next 10 years, they will still be losers compared to silver & gold.
Back to SILVER & GOLD. Today's breakout doesn't lend itself to two interpretations, only one: they're going higher. We're in the ether, here, with so little previous trading here that no resistance/support exists above us, except at 850. Surely gold will run at least to 790 - 800 before it takes a breather, & silver to 1500, maybe 1580 or 1600. Whoa -- 1800 is possible. Why, O Why didn't I buy options back at the bottom in August? No, can't think about that now, just rejoice you are long gold, and buy more. Lots more. It has another ten to 15 years to put gain in your pocket.
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.