Gold Price Close Today : 874.20
Change: -$14 or -1.6%
Silver Price Close Today : $12.231
Change: -75 or -5.8%
US Dollar Index Today: 79.49
Change: 1.77 or 2.3%
Listen to the latest from the Looney Bin. I've been hearing the whining and whinging about the terrible bank-burdening accounting rule called "mark to the market." They're blubbering that if it weren't for the mean-old mark to market rule, they wouldn't have balance sheet problems.
Now mark to the market is an accounting rule that says,"What you paid for it doesn't matter, what you think it's worth doesn't matter, only what somebody is actually willing to pay today." Otherwise, how could you ever know what a business is worth?
What are the banks saying? "We have rotten MBS that we paid 100 cents for. Nobody wants the stuff so today it's only worth 15 cents on the dollar, but we want to value it on our balance sheet at 100 cents."
Think about this. Abandoning mark to the market means you can never know what a bank is really worth. It is the accounting equivalent of running naked through the woods with your thumb in your mouth, blind running drunk. And the powers -- the SEC & the Fed & the Treasury -- are seriously talking about junking mark to market. No, I'm not drunk and I'm not joking. These are not serious people.
Well, passing from the contemptible to the somewhat less contemptible, let's look at what the Nice Government Men accomplished today, but first, a lesson in manipulation.
Say the Plunge Protection Team doesn't like the Dow dropping 777 points in one day. So the next day even before the market opens they go into the futures market and buy Dow futures and S&P futures. Traders see those futures rising and assume the market will rise, and so buy stocks. Arbitrageurs also sell the futures and buy the underlying stocks to profit from the value divergence, raising the Dow & S&P in the process.
And since it wouldn't do for the price of gold to blast through US$1,000 while a financial crisis loometh, the NGM must also control price of gold. How to do that best, easiest, cheapest?
Sell platinum and silver, or better yet, platinum and silver futures (so you don't need to own any actual metal) to drive those markets down. Traders see them falling and assume the gold price will fall as well. Bingo! Manipulation accomplished.
In the outcome, the Dow rose 485 points to 10,850.66, "on the expectation the bailout plan will pass." Right. Gold came under attack and lost US $14 to close at $874.20 while the silver price dropped 75 cents to $12.2310 But those were just the futures markets spot month closes. In the aftermarket the gold price today traded as low as $865, the silver price as low as $11.70.
So what happened? The wholesale premium on US 90% silver coin rose from 185 cents an ounce over spot to 280 cents over spot by day's end. In other words, the paper price dropped while the physical price rose. The fix ain't working.
NGM aren't taking any prisoners here, so y'all will have to play the man. I told y'all volatility would increase, and that the NGM would attack silver and gold. However, this will pass, just as the bailout will pass in a couple more days. Don't expect any silver/gold correction to last more than 4-5 days, and I doubt it will go lower than this. Today marked a double bottom with silver's last low in paper prices, but in physical prices it was a higher low.
Silver and gold remain in a bull market. Keep on buying on every dip. Get out of stocks and US dollars.
Y'all know probably that Abraham Lincoln stole his Gettysburg address line -"government of the people, by the people, for the people" -- from John Wycliffe (d. 1385). Now we are finally free of the quotation & the notion, because now we have a government of the banks, by the banks, and for the banks.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Tuesday, September 30, 2008
Monday, September 29, 2008
The Bailout Bill WILL be Passed - Silver and Gold Prices will take a Whack, but that Won't Last Long
Gold Price Close Today : $888.20
Change: $5.30 or 0.6%
Silver Price Close Today : $12.981
Change: -47.8 or -3.6%
US Dollar Index Today: 77.87
Change: 0.15 or 0.2%
Events are moving faster and faster.
The Gold Price closes at 12:30 Central time, and closed today at $888.20, up $5.30, and the silver price closed at $12.9810, down 47.80 cents. (Always expect the Nice Government Men to attack the thinner markets first -- silver and platinum -- where they get a bigger bang for their manipulating buck.) The Dow had been bounding along just above 10,800. Then came news about 13:30 Central time that the House of (mis)Representatives wouldn't approve the bailout plan. Stocks collapsed, closing down 777.68 at 10,365.45, while silver and gold prices soared. At one point I believe I saw gold at 932, up 44 from the close, but it quickly settled back around $905, then rose in the aftermarket to $912. Silver jumped to $13.13.
And while all this was going on, I was frantically trying to return phone calls, along with everybody else in the office. The phone is ruthless, relentless -- you can't hang it up before it rings. Pick it up to call someone & there's somebody already waiting on the line.
Premiums are shooting up. US 90% silver coin, still the lowest cost form of silver, is trading today at 185 cents an ounce over spot; 100 oz. silver bars at 225 cents over spot, and silver American Eagles at 4.50 over spot.
The paper and the physicals markets are de-coupling, with no relief in sight. Tomorrow is a Jewish holiday which will make the market even tougher, since so many traders will be absent.
In the aftermarket the Dow in Gold Dollars dropped to G$235.08 (11.372 oz), just one gold cent off the last low in July. Through all this the US DOLLAR INDEX managed to close up 15.4 cents -- right, THAT'S a free market.
Friday WAMU was fed to JP Morgan. Monday Citibank was hungry, so the gummit fed Wachovia to them. Sharks are circling, and if you don't have friends in Washington, won't eat. The bailout bill WILL be passed. The charade taking place right now, even given the remote possibility of a few honest congressmen, is merely theater for the voters. Once it passes, stocks will jump up and silver and gold prices will take a whack, but that won't last long at all, and I doubt metals will fall far.
Buy silver, buy gold. Make certain you have no more than the FDIC insurance limit of $100,000 in any one bank. More turmoil is coming.
Yesterday was born Edmund FELIX Hawksley Sanders, son of my son Christian & his wife Eric, their second child and second son, and mine & Susan's eleventh grandson and twelfth grandchild. God is good above all we can think or ask or imagine. In the midst of the worst strife and trouble in the world, he keeps life going.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Change: $5.30 or 0.6%
Silver Price Close Today : $12.981
Change: -47.8 or -3.6%
US Dollar Index Today: 77.87
Change: 0.15 or 0.2%
Events are moving faster and faster.
The Gold Price closes at 12:30 Central time, and closed today at $888.20, up $5.30, and the silver price closed at $12.9810, down 47.80 cents. (Always expect the Nice Government Men to attack the thinner markets first -- silver and platinum -- where they get a bigger bang for their manipulating buck.) The Dow had been bounding along just above 10,800. Then came news about 13:30 Central time that the House of (mis)Representatives wouldn't approve the bailout plan. Stocks collapsed, closing down 777.68 at 10,365.45, while silver and gold prices soared. At one point I believe I saw gold at 932, up 44 from the close, but it quickly settled back around $905, then rose in the aftermarket to $912. Silver jumped to $13.13.
And while all this was going on, I was frantically trying to return phone calls, along with everybody else in the office. The phone is ruthless, relentless -- you can't hang it up before it rings. Pick it up to call someone & there's somebody already waiting on the line.
Premiums are shooting up. US 90% silver coin, still the lowest cost form of silver, is trading today at 185 cents an ounce over spot; 100 oz. silver bars at 225 cents over spot, and silver American Eagles at 4.50 over spot.
The paper and the physicals markets are de-coupling, with no relief in sight. Tomorrow is a Jewish holiday which will make the market even tougher, since so many traders will be absent.
In the aftermarket the Dow in Gold Dollars dropped to G$235.08 (11.372 oz), just one gold cent off the last low in July. Through all this the US DOLLAR INDEX managed to close up 15.4 cents -- right, THAT'S a free market.
Friday WAMU was fed to JP Morgan. Monday Citibank was hungry, so the gummit fed Wachovia to them. Sharks are circling, and if you don't have friends in Washington, won't eat. The bailout bill WILL be passed. The charade taking place right now, even given the remote possibility of a few honest congressmen, is merely theater for the voters. Once it passes, stocks will jump up and silver and gold prices will take a whack, but that won't last long at all, and I doubt metals will fall far.
Buy silver, buy gold. Make certain you have no more than the FDIC insurance limit of $100,000 in any one bank. More turmoil is coming.
Yesterday was born Edmund FELIX Hawksley Sanders, son of my son Christian & his wife Eric, their second child and second son, and mine & Susan's eleventh grandson and twelfth grandchild. God is good above all we can think or ask or imagine. In the midst of the worst strife and trouble in the world, he keeps life going.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Saturday, September 27, 2008
Gold Price Closing Above US$900 will Signal a New Breakout, Silver Above $13.50
Gold Price Close Today : $882.90
Gold Price Close 19th of September: $860.60
Change: $22.30 or 2.6%
Silver Price Close Today : $13.458
Silver Price Close 19th of September: $12.425
Change: $1.033 or 8.3%
US Dollar Index Today: 76.961
US Dollar Index 19th of September: 77.736
Change: -0.775 or -1.0%
Technically silver and gold prices backtracked this week on the stunning gains made as they reversed up from lows. The gold price closing above US$900 will signal a new breakout, silver above $13.50. Downside? Trend is good as long as the gold price remains above $850 and the silver price above $13.00. Naw, there isn't any downside, really. Notice that the Dow priced in silver (827.99 -88.582 or -9.7% since September 19th) and gold (12.621 -0.612 or -4.6% since September 19th) has worked its way down from recent highs and draweth ever closer to the March lows, which, when it breaks, will commence a free fall.
STOCKS have been struggling. Next week the consummation of the bailout will be announced, and they will take a little jump from that, but a big slide lies ahead of them. Get out of stocks, and stay out.
Despite the Nice Government Men's best efforts, and I am certain they have been trying, the US dollar closed the week below 77 at 76.961, down a bruising 55 basis points Friday alone, down 1% during the week when silver rose 8.3%. Which kind of money would you rather hold?
Get ready for a wild ride. Volatility will increase from here. Buy more silver and gold, get out of stocks and dollars.
On Capitol Hill the charade continues, a spectacle of easy virtue trying to clean its skirts in advance, most of it (I allow for that statistically rarest of all creatures, an honest congressman) simply to fool the masses. I suspect the financial industry bailout plan will pass pretty much as written (back in March, or July at least).
Briefly reflect on the change made: the US constitution has been officially junked and the economy openly transformed into a fascism for benefit of the banks and well-connected. Probably not the death of the system, but pretty much the end of y'all's economic hopes, if you remain inside that system.
Whether the outcome is a hyperinflation or slow-burn, whether it arrives sooner or later, makes no difference. The Tapeworm is consuming its host. You either swallow the worm medicine, or die. It's what John Milton called "Necessity, the tyrant's plea" when he put the words in Satan's mouth in Paradise Lost.
9/11 ended the personal rights under the constitution and bill of rights, the bailout will end economic rights. It has happened. Be a man, face it, stop living in your dream world. The bright side is that events are confirming the death throes of the monster, even though he might thrash around for several more decades. It's time to get you and yours outside his usurious economy. Revive the local economies long ago gutted to feed the Tapeworm. First, secure your ongoing livelihood. If you don't have a business that produces or sells something people need, get one. If you have no business or farm, make yourself indispensable in your job.
Regarding money, convert your dollar-denominated assets, all of them to silver and gold. Regardless whether events slow-burn or hyperinflate, the dollar will be destroyed. So will you if you stay in it.
Look around your local economy and figure out how you can supply each other's needs. Encourages people to use silver and gold as money, instead of withering dollars. (Go to www.silverandgoldaremoney.com for an easy exchange calculator.) You cannot survive alone. Okay, call me crazy. But if you do, you have to look at those madmen and frauds on Capitol Hill and call them sane.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Gold Price Close 19th of September: $860.60
Change: $22.30 or 2.6%
Silver Price Close Today : $13.458
Silver Price Close 19th of September: $12.425
Change: $1.033 or 8.3%
US Dollar Index Today: 76.961
US Dollar Index 19th of September: 77.736
Change: -0.775 or -1.0%
Technically silver and gold prices backtracked this week on the stunning gains made as they reversed up from lows. The gold price closing above US$900 will signal a new breakout, silver above $13.50. Downside? Trend is good as long as the gold price remains above $850 and the silver price above $13.00. Naw, there isn't any downside, really. Notice that the Dow priced in silver (827.99 -88.582 or -9.7% since September 19th) and gold (12.621 -0.612 or -4.6% since September 19th) has worked its way down from recent highs and draweth ever closer to the March lows, which, when it breaks, will commence a free fall.
STOCKS have been struggling. Next week the consummation of the bailout will be announced, and they will take a little jump from that, but a big slide lies ahead of them. Get out of stocks, and stay out.
Despite the Nice Government Men's best efforts, and I am certain they have been trying, the US dollar closed the week below 77 at 76.961, down a bruising 55 basis points Friday alone, down 1% during the week when silver rose 8.3%. Which kind of money would you rather hold?
Get ready for a wild ride. Volatility will increase from here. Buy more silver and gold, get out of stocks and dollars.
On Capitol Hill the charade continues, a spectacle of easy virtue trying to clean its skirts in advance, most of it (I allow for that statistically rarest of all creatures, an honest congressman) simply to fool the masses. I suspect the financial industry bailout plan will pass pretty much as written (back in March, or July at least).
Briefly reflect on the change made: the US constitution has been officially junked and the economy openly transformed into a fascism for benefit of the banks and well-connected. Probably not the death of the system, but pretty much the end of y'all's economic hopes, if you remain inside that system.
Whether the outcome is a hyperinflation or slow-burn, whether it arrives sooner or later, makes no difference. The Tapeworm is consuming its host. You either swallow the worm medicine, or die. It's what John Milton called "Necessity, the tyrant's plea" when he put the words in Satan's mouth in Paradise Lost.
9/11 ended the personal rights under the constitution and bill of rights, the bailout will end economic rights. It has happened. Be a man, face it, stop living in your dream world. The bright side is that events are confirming the death throes of the monster, even though he might thrash around for several more decades. It's time to get you and yours outside his usurious economy. Revive the local economies long ago gutted to feed the Tapeworm. First, secure your ongoing livelihood. If you don't have a business that produces or sells something people need, get one. If you have no business or farm, make yourself indispensable in your job.
Regarding money, convert your dollar-denominated assets, all of them to silver and gold. Regardless whether events slow-burn or hyperinflate, the dollar will be destroyed. So will you if you stay in it.
Look around your local economy and figure out how you can supply each other's needs. Encourages people to use silver and gold as money, instead of withering dollars. (Go to www.silverandgoldaremoney.com for an easy exchange calculator.) You cannot survive alone. Okay, call me crazy. But if you do, you have to look at those madmen and frauds on Capitol Hill and call them sane.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Tuesday, September 23, 2008
Financial Industry Bailout Plan - Result Will be a Huge Inflation, if not Hyperinflation and Death of the Dollar
Gold Price Close Today : $885.50
Change: -$18.40 or -2.0%
Silver Price Close Today : $13.120
Change: -28 cents or -2.1%
US Dollar Index Today: 76.81
Change: -0.52 or 0.7%
Now the Nuthouse is staging a drama. Senators pretend to resist the plan, while Hank the Honker and Buggsie Ben insist in tears that only the bailout will prevent financial meltdown that will take New York down to the center of the earth. You there! Yes, you alligators! Cry some bigger tears!
Best part of the "Financial Industry Bailout Plan" is that I can't find a copy of it on the web, not even on the Senate's website. Odd, doncherthink? But somebody did send me one little part of it, says that none of it will be subject to judicial review. Yessir, once this fix is in, no judge will be allowed to review or change it.
End of rule of law and other elitist nonsense. Thank you Bush administration, and cooperating politicians.
The US DOLLAR INDEX rose 56 basis points today while silver and gold prices fell 28 cents to $13.12 and 18.40 to 885.50. Dollar Index at 76.811. I told y'all to expect from the Nice Government Men a counter-attack on gold and silver to protect their phoney paper dollar, and today might have been it. Don't let it rattle you, it doesn't mean but one thing: a chance for you to buy silver and gold a little a cheaper.
I have to travel the rest of this week, so won't be publishing a commentary Wednesday, Thursday, or Friday.
Keep your eyes on the long-term. The "financial Industry bailout plan" will pass, that's a foregone conclusion. Result will be a HUGE inflation, if not hyperinflation and death of the dollar. Don't think for a minute that the shills and running dogs putting this through don't know what they're doing. They know all right, and they're doing it on purpose.
Occam's Razor demands the simplest answer to any riddle, so we ask, Could they really be that stupid, stupider than any other humans who have ever lived? Or, Are they doing it on purpose? Simplest answer says, On Purpose. Remember it when the time comes.
Get out of stocks and dollars, and into silver and gold.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Change: -$18.40 or -2.0%
Silver Price Close Today : $13.120
Change: -28 cents or -2.1%
US Dollar Index Today: 76.81
Change: -0.52 or 0.7%
Now the Nuthouse is staging a drama. Senators pretend to resist the plan, while Hank the Honker and Buggsie Ben insist in tears that only the bailout will prevent financial meltdown that will take New York down to the center of the earth. You there! Yes, you alligators! Cry some bigger tears!
Best part of the "Financial Industry Bailout Plan" is that I can't find a copy of it on the web, not even on the Senate's website. Odd, doncherthink? But somebody did send me one little part of it, says that none of it will be subject to judicial review. Yessir, once this fix is in, no judge will be allowed to review or change it.
End of rule of law and other elitist nonsense. Thank you Bush administration, and cooperating politicians.
The US DOLLAR INDEX rose 56 basis points today while silver and gold prices fell 28 cents to $13.12 and 18.40 to 885.50. Dollar Index at 76.811. I told y'all to expect from the Nice Government Men a counter-attack on gold and silver to protect their phoney paper dollar, and today might have been it. Don't let it rattle you, it doesn't mean but one thing: a chance for you to buy silver and gold a little a cheaper.
I have to travel the rest of this week, so won't be publishing a commentary Wednesday, Thursday, or Friday.
Keep your eyes on the long-term. The "financial Industry bailout plan" will pass, that's a foregone conclusion. Result will be a HUGE inflation, if not hyperinflation and death of the dollar. Don't think for a minute that the shills and running dogs putting this through don't know what they're doing. They know all right, and they're doing it on purpose.
Occam's Razor demands the simplest answer to any riddle, so we ask, Could they really be that stupid, stupider than any other humans who have ever lived? Or, Are they doing it on purpose? Simplest answer says, On Purpose. Remember it when the time comes.
Get out of stocks and dollars, and into silver and gold.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Monday, September 22, 2008
The Silver Price has Turned Back Up, and Must be Bought - It Rose 7.8% Today
Gold Price Close Today : $909.00
Change: $44.30 or 5.1%
Silver Price Close Today : $13.400
Change: $0.975 or 7.8%
US Dollar Index Today: 76.29
Change: -1.44 or -1.9%
Yesterday the Nuthouse became even nuttier, as -- sniff, sniff! -- poor ol' Morgan Stanley & -- sniff! -- Goldman Sachs threw in the towels on being investment houses and became bank holding companies, "ending an era." Yes, indeedy, the "era" where Goldman Sachs floated billions of toxic mortgage backed securities. But the two sadly saw that unless they became bank holding companies, there was no way they could suck at the $700 billion government bailout trough, so they swallowed the bitter pill & shouldered in amongst the rest of the slop hogs.
This is more food for us, the Mushrooms. I never heard such hogwash in my entire life. Are Americans really stupid enough to swallow this stuff, the e. coli 0157 of press releases? And how about that Hank Paulson still telling us how good it is for us to bail out "our" banking system. He must have a mouse in his pocket, because WE don't have any stake in the banking system.
Ned Schmidt of the Value View Gold Report described the bailout this way: The banks go to Las Vegas to gamble. If they win, they keep the profits. If they lose, the government takes the losses.
Today the market pushed a finger clean through the wet cardboard screen the government has thrown in front of the US Dollar & Stocks. Stocks made a stunning reversal downward when they hit their 50 DMA at 11,392, dropped 373. Dow remains firmly in a down trend, lower prices coming. Dow in Gold Dollars has fallen again to G$252 (12.190 oz), about an ounce above the last low, and falling.
The US DOLLAR INDEX fell a colossal 144 basis points today, the largest one day drop I believe I have ever seen. At 76.294, the buck is not far above its 50 DMA (75.84) and 200 DMA (74.45). Falling through them can only leave the dollar's late rally to be interpreted as what it is, a bear market rally. All the indicators point down.
Both SILVER & GOLD PRICES have turned up sharply against all commodities.
Buy any SILVER PRICE close over $14.10, which turns silver up. The 200 DMA (Day Moving Average) presently stands at $16.57 (50 DMA @ $14.86), and when silver crosses that the roaches will be sent running. The silver price must hold above $12.30. Keep flinched for some government counterattack on silver and gold prices, and hold for a wild ride. The silver price has turned back up, and must be bought. It rose 7.8% today, 97.5 cents.
The GOLD PRICE closed today at $909, up $44.3 and above the 200 DMA ($893.13) and the 50 DMA ($863.18), and way above 28 year resistance at $850. Buy gold now, and buy gold on any close above $940. The gold price is strong as a hog's breath. It's astonishing how quickly it has recovered so much ground. Yes, buy.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Change: $44.30 or 5.1%
Silver Price Close Today : $13.400
Change: $0.975 or 7.8%
US Dollar Index Today: 76.29
Change: -1.44 or -1.9%
Yesterday the Nuthouse became even nuttier, as -- sniff, sniff! -- poor ol' Morgan Stanley & -- sniff! -- Goldman Sachs threw in the towels on being investment houses and became bank holding companies, "ending an era." Yes, indeedy, the "era" where Goldman Sachs floated billions of toxic mortgage backed securities. But the two sadly saw that unless they became bank holding companies, there was no way they could suck at the $700 billion government bailout trough, so they swallowed the bitter pill & shouldered in amongst the rest of the slop hogs.
This is more food for us, the Mushrooms. I never heard such hogwash in my entire life. Are Americans really stupid enough to swallow this stuff, the e. coli 0157 of press releases? And how about that Hank Paulson still telling us how good it is for us to bail out "our" banking system. He must have a mouse in his pocket, because WE don't have any stake in the banking system.
Ned Schmidt of the Value View Gold Report described the bailout this way: The banks go to Las Vegas to gamble. If they win, they keep the profits. If they lose, the government takes the losses.
Today the market pushed a finger clean through the wet cardboard screen the government has thrown in front of the US Dollar & Stocks. Stocks made a stunning reversal downward when they hit their 50 DMA at 11,392, dropped 373. Dow remains firmly in a down trend, lower prices coming. Dow in Gold Dollars has fallen again to G$252 (12.190 oz), about an ounce above the last low, and falling.
The US DOLLAR INDEX fell a colossal 144 basis points today, the largest one day drop I believe I have ever seen. At 76.294, the buck is not far above its 50 DMA (75.84) and 200 DMA (74.45). Falling through them can only leave the dollar's late rally to be interpreted as what it is, a bear market rally. All the indicators point down.
Both SILVER & GOLD PRICES have turned up sharply against all commodities.
Buy any SILVER PRICE close over $14.10, which turns silver up. The 200 DMA (Day Moving Average) presently stands at $16.57 (50 DMA @ $14.86), and when silver crosses that the roaches will be sent running. The silver price must hold above $12.30. Keep flinched for some government counterattack on silver and gold prices, and hold for a wild ride. The silver price has turned back up, and must be bought. It rose 7.8% today, 97.5 cents.
The GOLD PRICE closed today at $909, up $44.3 and above the 200 DMA ($893.13) and the 50 DMA ($863.18), and way above 28 year resistance at $850. Buy gold now, and buy gold on any close above $940. The gold price is strong as a hog's breath. It's astonishing how quickly it has recovered so much ground. Yes, buy.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Friday, September 19, 2008
Buy as Much Gold and Silver as You Can - The Time to Delay has Long Passed
Gold Price Close Today : $860.60
Gold Price Close September 12th: $760.30
Change: $100.30 or 13.2%
Silver Price Close Today : $12.24
Silver Price Close September 12th: $10.735
Change: $1.69 or 15.7%
US Dollar Index Today: 77.736
US Dollar Index September 12th: 79.040
Change: -1.304 or -1.6%
I ought to rename this commentary "Nuggets from the Nut House." Thing is, it's only a nut house among the public, who buy the stories coming out of the Washington phonies & cronies, who are bailing out their friends & making -- literally -- billions for them at taxpayer expense.
And what did our Great Leaders do today? Well, Bush mumbled an utterly incomprehensible statement about markets. Meanwhile the people in charge came up with three new moves that are stunning in their bold fraud & theft:
(1) the Fed government will set up a "trust"(get that word!) to take all the bad debt off the "troubled" banks' books (if the economy were a concentration camp, this would equal calling in the bulldozers to dig a huge crater where you can bury all the corpses) [Think of that: when you are "troubled" by making utterly stupid investments or mismanaging your business like a wino on Ripple, just give ol' Ben Bernanke a call & tell him you need a loan of a couple of hundred thousand to tide you over. Just guess what he will say.]
(2) No one can short financial stocks. Oh, just think what this means -- the great Free Marketers in Washington have discovered they don't want a free market in their buddies' stocks, which would free them to fall, and
(3) Rotten Money Market Funds will be backed by the Depression-era slush fund, the Exchange Stabilization Fund, the same secret slush fund they use to manipulate metals & the dollar price.
Oh, I forgot one more leetle action: Comex raised margin rates on gold contracts by 47% [sic] & on silver by 20%. Wouldn't want you hoi polloi thinking you could invest in silver & gold in the Big Boys' market, now would we?. How does the saying go? "They spit in our face & call it honey." And I will actually puke if I hear one more person say all this is "necessary" to prevent a crash. Sounds real sophisticated, but what it really means is this: "We would rather give up all freedom & let the government subsidize corrupt businesses than let justice come to those guilty of financial drunkenness." And mark, this great "wisdom" and "kindness" will reap much more grief & sorrow & pain than just letting these parasites go bankrupt.
Now, to markets.
STOCKS rallied on news of Paulson's non-existent plan, but any trigger would have set them off, so oversold were they. Expect the rally to last a short time, then to be overtaken by a vicious collapse. Sell them while you can.
The US DOLLAR INDEX fell an astonishing 50 points today, growing nearer to the fateful 76 mark. A fall through 76 would probably mark the death of the dollar rally. Take this opportunity to get out of all investments that promise to pay future dollars. The apparatchiki in Washington have sent you a telegram, & it reads,"We have proved by all our actions that we are destroying the US dollar, & will keep on to the end." If you won't read the telegram, you will lose everything you have in dollars. Sell dollars while you still can.
SILVER & GOLD PRICES made stunning reversals this week. Wednesday gold posted its biggest one day gain ever, US$70.10 up 10%, & silver gained 15%. Looking at the weekly charts, gold made a flashy reversal after a 3 leg ABC correction, & burst up through its 50 DMA. The silver price, which was trading below its 200 Day Moving Average, made a similar reversal, but rising up through the 200 DMA. All other indicators for both metals are flashing, "Countdown to blast-off!" Supply is still very spotty, delays are long, & premiums (especially silver) are historically high.
Look for much greater instability & volatility in all markets. Just steel yourself for it. Look for the Nice Government Men to attack silver & gold, more than they [probably] did today, yet the metals will not succumb. Get your house in order. Buy as much gold & silver as you can. The time to delay has long passed.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Gold Price Close September 12th: $760.30
Change: $100.30 or 13.2%
Silver Price Close Today : $12.24
Silver Price Close September 12th: $10.735
Change: $1.69 or 15.7%
US Dollar Index Today: 77.736
US Dollar Index September 12th: 79.040
Change: -1.304 or -1.6%
I ought to rename this commentary "Nuggets from the Nut House." Thing is, it's only a nut house among the public, who buy the stories coming out of the Washington phonies & cronies, who are bailing out their friends & making -- literally -- billions for them at taxpayer expense.
And what did our Great Leaders do today? Well, Bush mumbled an utterly incomprehensible statement about markets. Meanwhile the people in charge came up with three new moves that are stunning in their bold fraud & theft:
(1) the Fed government will set up a "trust"(get that word!) to take all the bad debt off the "troubled" banks' books (if the economy were a concentration camp, this would equal calling in the bulldozers to dig a huge crater where you can bury all the corpses) [Think of that: when you are "troubled" by making utterly stupid investments or mismanaging your business like a wino on Ripple, just give ol' Ben Bernanke a call & tell him you need a loan of a couple of hundred thousand to tide you over. Just guess what he will say.]
(2) No one can short financial stocks. Oh, just think what this means -- the great Free Marketers in Washington have discovered they don't want a free market in their buddies' stocks, which would free them to fall, and
(3) Rotten Money Market Funds will be backed by the Depression-era slush fund, the Exchange Stabilization Fund, the same secret slush fund they use to manipulate metals & the dollar price.
Oh, I forgot one more leetle action: Comex raised margin rates on gold contracts by 47% [sic] & on silver by 20%. Wouldn't want you hoi polloi thinking you could invest in silver & gold in the Big Boys' market, now would we?. How does the saying go? "They spit in our face & call it honey." And I will actually puke if I hear one more person say all this is "necessary" to prevent a crash. Sounds real sophisticated, but what it really means is this: "We would rather give up all freedom & let the government subsidize corrupt businesses than let justice come to those guilty of financial drunkenness." And mark, this great "wisdom" and "kindness" will reap much more grief & sorrow & pain than just letting these parasites go bankrupt.
Now, to markets.
STOCKS rallied on news of Paulson's non-existent plan, but any trigger would have set them off, so oversold were they. Expect the rally to last a short time, then to be overtaken by a vicious collapse. Sell them while you can.
The US DOLLAR INDEX fell an astonishing 50 points today, growing nearer to the fateful 76 mark. A fall through 76 would probably mark the death of the dollar rally. Take this opportunity to get out of all investments that promise to pay future dollars. The apparatchiki in Washington have sent you a telegram, & it reads,"We have proved by all our actions that we are destroying the US dollar, & will keep on to the end." If you won't read the telegram, you will lose everything you have in dollars. Sell dollars while you still can.
SILVER & GOLD PRICES made stunning reversals this week. Wednesday gold posted its biggest one day gain ever, US$70.10 up 10%, & silver gained 15%. Looking at the weekly charts, gold made a flashy reversal after a 3 leg ABC correction, & burst up through its 50 DMA. The silver price, which was trading below its 200 Day Moving Average, made a similar reversal, but rising up through the 200 DMA. All other indicators for both metals are flashing, "Countdown to blast-off!" Supply is still very spotty, delays are long, & premiums (especially silver) are historically high.
Look for much greater instability & volatility in all markets. Just steel yourself for it. Look for the Nice Government Men to attack silver & gold, more than they [probably] did today, yet the metals will not succumb. Get your house in order. Buy as much gold & silver as you can. The time to delay has long passed.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Thursday, September 18, 2008
Yesterday the Gold Price Staged its Largest One Day Rise in History, US$70.10 up 11%
Gold Price Close Today: 892.70
Change: 46.10 or 5.4%
Silver Price Close Today: 12.648
Change: 1.028 or 8.8%
Mercy! What a nut house we live in. The gold price today rose as high as US$920 and the silver price up to $12.98, then about 14:30 Eastern time they crashed and stocks rallied. The gold price dropped as low as $838 and the silver price to $11.90, after closing at $12.648 and $892.70.
Stocks ended with a big up day. Well, wait, that's not quite true. The Dow rose 406.45 points on the day, but that's after losing 900 points over two days this week. Point is, the Dow managed to climb over 11,000 to close at 11,016.11. US Dollar index rose a ponderous 11 basis points to 78.24.
Lo, what worked this alchemical change upon the market so suddenly? This is where the nut house comes in. US Treasury secretary Hank "the Honker" Paulson met with congress and spoke about a plan "to deal with bad debt similar to the creation of the Resolution Trust Corporation in 1989 that resolved the US savings and loan crisis." That caused the market to rally. Now get this: there is no plan. There was no deal. No resolution is in order. Hank the Honker merely "spoke about" a plan. Spider webs. Er spinnt. Yet stocks were looking for an excuse to rally. Yesterday 1,200 stocks made new lows, and any day when 1,000 or more stocks make new lows always points out a bottom.
Welcome, O victims, to the brave new world of the government run economy! If the US economy were a filling station (in Oregon, where somebody pumps your gas) and Ben Bernanke and Hank Paulson were the gas pumpers, they'd be wearing green denim jackets with the slogan across the back, "Makin' the world safe for Big Business!"
Friends, for the next little while you are going to get volatility and yet more volatility, so put down that wastebasket, stop puking, and tighten your belt.
Yesterday the gold price staged its largest one day rise in history, US$70.10 up 11% and the silver price rose $1.15, then another 36 cents in the aftermarket, up 15%. Today gold rose 46.10, a number right up there with all-time big moves, with a range of US$93! (920.20 high to 827 low). Right now in the aftermarket they're trading US857.70 and $11.92. I have no doubt that we saw the silver and gold lows on Tuesday. But volatility hasn't ended yet.
The Nice Government Men needed not only to resuscitate stocks, they must also goose the dollar and slam silver and gold. They will launch an attack on silver and gold, and that right soon. It may, probably will, drive them down, but not for long. Why? Well, answer that with another question: why did gold rise US$70.10 in one day? Did anything happen around that time to send it running? Well, matter of fact, without benefit of congress or constitution, the Federal Reserve bank (a private corporation) and the US Treasury secretary nationalised AIG, taking a 79.9% ownership interest and fronting AIG $85 billion bucks. That, with the other bailouts -- Bear Stearns, Fannie, Freddie, Countryside, etc. -- proved to somebody that the NGM will inflate the dollar to bail out its buddies, & the rest of the country, and the dollar, be damned.
Cry, O, cry for what they have done, and what will come! You may hold on to value by holding silver and gold, but the misery will spread so wide and far that owning them will be a bittersweet pleasure.
Buy silver and gold. The NGM have plainly telegraphed what they will do: inflate the dollar to nothingness. Yes, volatility and turmoil will reign in the short term, but just keep your eyes on the long term: the dollar's death. Besides, ask yourself which you had rather hold, physical silver and gold in your hand, or bank deposits? Brokerage balances? US bonds? US dollars? Euros? To me, the answer is clear.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
Buy Silver and Gold Coins at:
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Change: 46.10 or 5.4%
Silver Price Close Today: 12.648
Change: 1.028 or 8.8%
Mercy! What a nut house we live in. The gold price today rose as high as US$920 and the silver price up to $12.98, then about 14:30 Eastern time they crashed and stocks rallied. The gold price dropped as low as $838 and the silver price to $11.90, after closing at $12.648 and $892.70.
Stocks ended with a big up day. Well, wait, that's not quite true. The Dow rose 406.45 points on the day, but that's after losing 900 points over two days this week. Point is, the Dow managed to climb over 11,000 to close at 11,016.11. US Dollar index rose a ponderous 11 basis points to 78.24.
Lo, what worked this alchemical change upon the market so suddenly? This is where the nut house comes in. US Treasury secretary Hank "the Honker" Paulson met with congress and spoke about a plan "to deal with bad debt similar to the creation of the Resolution Trust Corporation in 1989 that resolved the US savings and loan crisis." That caused the market to rally. Now get this: there is no plan. There was no deal. No resolution is in order. Hank the Honker merely "spoke about" a plan. Spider webs. Er spinnt. Yet stocks were looking for an excuse to rally. Yesterday 1,200 stocks made new lows, and any day when 1,000 or more stocks make new lows always points out a bottom.
Welcome, O victims, to the brave new world of the government run economy! If the US economy were a filling station (in Oregon, where somebody pumps your gas) and Ben Bernanke and Hank Paulson were the gas pumpers, they'd be wearing green denim jackets with the slogan across the back, "Makin' the world safe for Big Business!"
Friends, for the next little while you are going to get volatility and yet more volatility, so put down that wastebasket, stop puking, and tighten your belt.
Yesterday the gold price staged its largest one day rise in history, US$70.10 up 11% and the silver price rose $1.15, then another 36 cents in the aftermarket, up 15%. Today gold rose 46.10, a number right up there with all-time big moves, with a range of US$93! (920.20 high to 827 low). Right now in the aftermarket they're trading US857.70 and $11.92. I have no doubt that we saw the silver and gold lows on Tuesday. But volatility hasn't ended yet.
The Nice Government Men needed not only to resuscitate stocks, they must also goose the dollar and slam silver and gold. They will launch an attack on silver and gold, and that right soon. It may, probably will, drive them down, but not for long. Why? Well, answer that with another question: why did gold rise US$70.10 in one day? Did anything happen around that time to send it running? Well, matter of fact, without benefit of congress or constitution, the Federal Reserve bank (a private corporation) and the US Treasury secretary nationalised AIG, taking a 79.9% ownership interest and fronting AIG $85 billion bucks. That, with the other bailouts -- Bear Stearns, Fannie, Freddie, Countryside, etc. -- proved to somebody that the NGM will inflate the dollar to bail out its buddies, & the rest of the country, and the dollar, be damned.
Cry, O, cry for what they have done, and what will come! You may hold on to value by holding silver and gold, but the misery will spread so wide and far that owning them will be a bittersweet pleasure.
Buy silver and gold. The NGM have plainly telegraphed what they will do: inflate the dollar to nothingness. Yes, volatility and turmoil will reign in the short term, but just keep your eyes on the long term: the dollar's death. Besides, ask yourself which you had rather hold, physical silver and gold in your hand, or bank deposits? Brokerage balances? US bonds? US dollars? Euros? To me, the answer is clear.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
Buy Silver and Gold Coins at:
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Tuesday, September 16, 2008
The Gold Price has Carved out an Uptrend - Yesterday was the First Burst Up, Today the Test of Footing, and Tomorrow the Take-off
Gold Price Close Today: 776.50
Change: -6.6 or -0.8%
Silver Price Close Today: 10.462
Change: -61.3 cents or -5.5%
Limb, limb -- where are you? I want to climb out there. Today's silver trading, combined with the last two days, has formed an upside-down head and shoulders. Unless the silver price drops below $10.37, from this platform it should launch a large rally.
Gold over the past 3 days has carved out an uptrend. Yesterday was the first burst up, today the test of footing, and tomorrow the take-off.
VERY slow deliveries and shortages continue to rule the physical silver and gold markets. Call me crazy, but I would still be buying silver and gold like the barbarians were at the gate. I would also swap gold for silver, since the financial crises have driven down silver against gold, an unexpected opportunity.
The glorious Comrades at the Glorious Soviet Central Bank -- wait, wait, scratch that, make that the "Federal Reserve" -- decided today that what all the rest of us needed was to keep interest rates flat. This was not so much a display of wisdom as it was cowardice. If they raised rates, they risked crashing the stock market; if they lowered rates, they crash the US dollar. What's a central banker to do? Take the middle of the road, where the yellow stripe runs. Meanwhile, add Washington Mutual S&L to the list of potential corpses, alongside Lehman Brothers and AIG and Merrill Lynch.
STOCKS, helped, no doubt by Nice Government Men on the Plunge Protection Team, came back after a rocky start to close up 131 points at 11,049.33. Yes, it's a paltry close, but think of the psychological value of closing over 11,000. Right. And think of all the money you're losing on stocks. But don't take my word for it, just listen to your stock broker, stay where you are, & watch.
The glorious people's US Dollar rose 62 basis points today to close at 79.103. It remains in an uptrend unless it closes below 76. This rally can hardly last longer than end-October, if it can make it to end-September, that is.
Here's something that will really make y'all feel comfy about holding all your assets as electrons in US banks. Customer of ours from upper Texas called today to explain he had meant to wire payment, but his money was in Houston & the bank there had no electricity, thanks to the hurricane, therefore he could get no wire. Yessirree, nothing like modern interdependency.
Sorry, I won't be sending y'all a commentary tomorrow because I will be finishing my September Moneychanger.
I took Susan down to Florence, Alabama today for her orientation for cardiac rehab. She did fine walking, and other than trouble sleeping & fatiguing easily, she's doing very well. Thanks for your continuing prayers.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
Buy Silver and Gold Coins at:
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Change: -6.6 or -0.8%
Silver Price Close Today: 10.462
Change: -61.3 cents or -5.5%
Limb, limb -- where are you? I want to climb out there. Today's silver trading, combined with the last two days, has formed an upside-down head and shoulders. Unless the silver price drops below $10.37, from this platform it should launch a large rally.
Gold over the past 3 days has carved out an uptrend. Yesterday was the first burst up, today the test of footing, and tomorrow the take-off.
VERY slow deliveries and shortages continue to rule the physical silver and gold markets. Call me crazy, but I would still be buying silver and gold like the barbarians were at the gate. I would also swap gold for silver, since the financial crises have driven down silver against gold, an unexpected opportunity.
The glorious Comrades at the Glorious Soviet Central Bank -- wait, wait, scratch that, make that the "Federal Reserve" -- decided today that what all the rest of us needed was to keep interest rates flat. This was not so much a display of wisdom as it was cowardice. If they raised rates, they risked crashing the stock market; if they lowered rates, they crash the US dollar. What's a central banker to do? Take the middle of the road, where the yellow stripe runs. Meanwhile, add Washington Mutual S&L to the list of potential corpses, alongside Lehman Brothers and AIG and Merrill Lynch.
STOCKS, helped, no doubt by Nice Government Men on the Plunge Protection Team, came back after a rocky start to close up 131 points at 11,049.33. Yes, it's a paltry close, but think of the psychological value of closing over 11,000. Right. And think of all the money you're losing on stocks. But don't take my word for it, just listen to your stock broker, stay where you are, & watch.
The glorious people's US Dollar rose 62 basis points today to close at 79.103. It remains in an uptrend unless it closes below 76. This rally can hardly last longer than end-October, if it can make it to end-September, that is.
Here's something that will really make y'all feel comfy about holding all your assets as electrons in US banks. Customer of ours from upper Texas called today to explain he had meant to wire payment, but his money was in Houston & the bank there had no electricity, thanks to the hurricane, therefore he could get no wire. Yessirree, nothing like modern interdependency.
Sorry, I won't be sending y'all a commentary tomorrow because I will be finishing my September Moneychanger.
I took Susan down to Florence, Alabama today for her orientation for cardiac rehab. She did fine walking, and other than trouble sleeping & fatiguing easily, she's doing very well. Thanks for your continuing prayers.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
Buy Silver and Gold Coins at:
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Monday, September 15, 2008
We saw the Lows in Silver and Gold Last Week. Buy, Buy, and Buy More, While it's Still Possible
Gold Price Close Today: 783.10
Change: 22.80 or 3.0%
Silver Price Close Today: 11.075
Change: 34 cents or 3.2%
When the British surrendered at Yorktown, their army marched out with the band playing "The World Turned Upside Down." Might be a suiting tune for today on Wall Street. Lo, how are the mighty fallen! Failing to convince the imperial yankee government to bail it out, merchant banker Lehman Brothers simply -- failed. Insurance giant AIG is bankrupt, borrowing from itself (its subsidiaries, really, but only in today's cockamamie financial world would such a statement even be possible), from banks, from merchant bankers, from the shoe-shine boy, from everybody who is stupid or self-interested enough to lend. And -- surprise! -- Bank of America gobbled up Merrill Lynch brokerage (?biggest in the US?) with no notice at all. What skunks lie buried under a marriage that hasty?
What's next, foreign exchange controls, before all the money leaks out of the country, living only a green scummy ring around the shores?
Friend of mine remarked that when landmarks like these go under, it attacks the foundation of all your presuppositions, like finding out that pedophiles lurk among the clergy. In fact, it oughtn't have been such a surprise, given the rottenness of the system, the corruption from government financing, and greed unchecked by good sense.
The GOLD PRICE rose 22.80 today, the SILVER PRICE rose 34 cents, closing at $783.10 and $11.078. The US Dollar Index sank to 78.485, down another 44 basis points after falling over 100 bp on Friday. Nobody scared there, huh? Now if I were the Nice Government Men, what would I do next? I would strongarm my fellow crooks in other central banks to buy all the dollars they can, trying to prop up the buck. I would also hint broadly, perhaps even threatening a nuclear attack, that I would like for them to sell gold, maybe make an announcement they intend to sell gold. And I would short silver like crazy.
Who will win, the NGM or the market? Don't bet on the NGM. I watched them work during the 1970s when they kept auctioning off Treasury gold to keep down the price, all of which successfully resulted in holding the gold price down from $42 an ounce to $850 an ounce by 1980. [sic]
Seems nobody much wants to own stocks anymore. Dow sank 504 today to 10,917.51 and S&P500 sank 59 to 1192.70. Remember on Thursday or Friday I remarked that the Dow in Gold Dollars had hit the high of its range, but we needed a couple of days to tell whether it would break out or fail again? Well, it told us today, falling to G$288.19 (13.940 ounces) from G$318.84 (15.414 oz). Is further explanation needed?
Mach' schnell! Today's action, plus all the corpses falling out of Wall Street's closets and cupboards, forces me to conclude we saw the lows in silver & gold last week. Buy, buy, and buy more, while it's still possible! A lot of our customers are complaining that we're not returning their calls. Please, forgive us, but this morning there were 42 calls waiting on us when we arrived. If you're having trouble getting through, just call again. We're running fast as we can.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
Buy Silver and Gold Coins at:
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Change: 22.80 or 3.0%
Silver Price Close Today: 11.075
Change: 34 cents or 3.2%
When the British surrendered at Yorktown, their army marched out with the band playing "The World Turned Upside Down." Might be a suiting tune for today on Wall Street. Lo, how are the mighty fallen! Failing to convince the imperial yankee government to bail it out, merchant banker Lehman Brothers simply -- failed. Insurance giant AIG is bankrupt, borrowing from itself (its subsidiaries, really, but only in today's cockamamie financial world would such a statement even be possible), from banks, from merchant bankers, from the shoe-shine boy, from everybody who is stupid or self-interested enough to lend. And -- surprise! -- Bank of America gobbled up Merrill Lynch brokerage (?biggest in the US?) with no notice at all. What skunks lie buried under a marriage that hasty?
What's next, foreign exchange controls, before all the money leaks out of the country, living only a green scummy ring around the shores?
Friend of mine remarked that when landmarks like these go under, it attacks the foundation of all your presuppositions, like finding out that pedophiles lurk among the clergy. In fact, it oughtn't have been such a surprise, given the rottenness of the system, the corruption from government financing, and greed unchecked by good sense.
The GOLD PRICE rose 22.80 today, the SILVER PRICE rose 34 cents, closing at $783.10 and $11.078. The US Dollar Index sank to 78.485, down another 44 basis points after falling over 100 bp on Friday. Nobody scared there, huh? Now if I were the Nice Government Men, what would I do next? I would strongarm my fellow crooks in other central banks to buy all the dollars they can, trying to prop up the buck. I would also hint broadly, perhaps even threatening a nuclear attack, that I would like for them to sell gold, maybe make an announcement they intend to sell gold. And I would short silver like crazy.
Who will win, the NGM or the market? Don't bet on the NGM. I watched them work during the 1970s when they kept auctioning off Treasury gold to keep down the price, all of which successfully resulted in holding the gold price down from $42 an ounce to $850 an ounce by 1980. [sic]
Seems nobody much wants to own stocks anymore. Dow sank 504 today to 10,917.51 and S&P500 sank 59 to 1192.70. Remember on Thursday or Friday I remarked that the Dow in Gold Dollars had hit the high of its range, but we needed a couple of days to tell whether it would break out or fail again? Well, it told us today, falling to G$288.19 (13.940 ounces) from G$318.84 (15.414 oz). Is further explanation needed?
Mach' schnell! Today's action, plus all the corpses falling out of Wall Street's closets and cupboards, forces me to conclude we saw the lows in silver & gold last week. Buy, buy, and buy more, while it's still possible! A lot of our customers are complaining that we're not returning their calls. Please, forgive us, but this morning there were 42 calls waiting on us when we arrived. If you're having trouble getting through, just call again. We're running fast as we can.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
Buy Silver and Gold Coins at:
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Friday, September 12, 2008
Wade into Silver and Gold with Both Hands, Buying all the Physical You Can
Gold Price Close Today: 760.30
Gold Price Close 5th September : 797.60
Change: -37.30 or -4.7%
Silver Price Close Today: 10.735
Silver Price Close 5th September : 12.24
Change: -$1.51 or -12.3%
Less than a week has passed since the Fannie Mae and Freddie Mac bailout by the government was announced last Sunday, and already the other hogs are pushing to get their snoots into that fat gummint trough, too. Lehman Brothers investment banking house is going down, and talks are underway to see how to bail them out. Insurance giant American International Group fell 31% Friday, and both institutions have portfolios chock-a-block full of mortgage based securities. Like Freddie Kruger of Nightmare on Elm Street fame, every time Paulie Paulson and Ben Budget-buster Bernanke assure us the worst is over, worse yet comes back.
Do y'all realize what the Fannie and Freddie takeover means? It means that the constitution no longer exists, and American fascism, the marriage of Big Government with Big Business, that has so long preferred to pretend it was a "democracy" has now come out of the closet. And what a suck-sess it is! A year ago Fannie stock stood at $68, today it closed at 74 cents. Freddie a year ago was about $60 a share, and today closed at a massive 46 cents. All the management skill that for years has been the monopoly of the US Postal Service will now be lavished on the US mortgage industry, of which the government now controls, O, say, roughly 100%.
Of course my native suspicion already had me staring at my charts and saying, "This ain't possible -- there's a government skunk somewhere in these woods," and turns out I am not alone. Go read the short article at:
The real reason commodities are tumbling
A reputable Canadian, Donald Coxe, chairman and chief strategist of Harris Management, has said out loud that he, too, believes the Nice Government Men trashed markets to make the dollar and stocks look good just as they floated the Fannie and Freddie bailout. Y'all draw your own conclusions.
Volatility is now the name of the game, which means you're going to have to stop puking in your wastebasket and cinch up your belt. My guess is that SILVER and GOLD PRICES probably bottomed last week, but they will have to hold Thursday's lows at $10.49 and US$741.30.
Most of all, do NOT be sucked into this ploy, that the dollar is healthy. "Just look at that tan!" scream the shills. Forget Paulson, forget Bernanke, forget all the other shills -- it's not a tan, it's jaundice. The dollar is sunk, and will resume its downward course shortly. Stocks peaked yesterday against gold, barely managing to reach the top of their trading range. The dollar fell today over one hundred basis points.
Now is the time to wade into silver and gold with both hands, buying all you can. The last six weeks have shown how really thin supply in the physical market is, how small the doorway into silver and gold. You've been warned.
Many thanks to all of you for your prayers and well wishes and cards and e-mails for my wife Susan. Two weeks have passed since her heart surgery, mitral valve repair, and she is recovering nicely, although I am spoiling her shamelessly. She still tires easily, but most of her pain is past. Most hearty thanks to you all for your sweet compassion.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
Buy Silver and Gold Coins at:
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Gold Price Close 5th September : 797.60
Change: -37.30 or -4.7%
Silver Price Close Today: 10.735
Silver Price Close 5th September : 12.24
Change: -$1.51 or -12.3%
Less than a week has passed since the Fannie Mae and Freddie Mac bailout by the government was announced last Sunday, and already the other hogs are pushing to get their snoots into that fat gummint trough, too. Lehman Brothers investment banking house is going down, and talks are underway to see how to bail them out. Insurance giant American International Group fell 31% Friday, and both institutions have portfolios chock-a-block full of mortgage based securities. Like Freddie Kruger of Nightmare on Elm Street fame, every time Paulie Paulson and Ben Budget-buster Bernanke assure us the worst is over, worse yet comes back.
Do y'all realize what the Fannie and Freddie takeover means? It means that the constitution no longer exists, and American fascism, the marriage of Big Government with Big Business, that has so long preferred to pretend it was a "democracy" has now come out of the closet. And what a suck-sess it is! A year ago Fannie stock stood at $68, today it closed at 74 cents. Freddie a year ago was about $60 a share, and today closed at a massive 46 cents. All the management skill that for years has been the monopoly of the US Postal Service will now be lavished on the US mortgage industry, of which the government now controls, O, say, roughly 100%.
Of course my native suspicion already had me staring at my charts and saying, "This ain't possible -- there's a government skunk somewhere in these woods," and turns out I am not alone. Go read the short article at:
The real reason commodities are tumbling
A reputable Canadian, Donald Coxe, chairman and chief strategist of Harris Management, has said out loud that he, too, believes the Nice Government Men trashed markets to make the dollar and stocks look good just as they floated the Fannie and Freddie bailout. Y'all draw your own conclusions.
Volatility is now the name of the game, which means you're going to have to stop puking in your wastebasket and cinch up your belt. My guess is that SILVER and GOLD PRICES probably bottomed last week, but they will have to hold Thursday's lows at $10.49 and US$741.30.
Most of all, do NOT be sucked into this ploy, that the dollar is healthy. "Just look at that tan!" scream the shills. Forget Paulson, forget Bernanke, forget all the other shills -- it's not a tan, it's jaundice. The dollar is sunk, and will resume its downward course shortly. Stocks peaked yesterday against gold, barely managing to reach the top of their trading range. The dollar fell today over one hundred basis points.
Now is the time to wade into silver and gold with both hands, buying all you can. The last six weeks have shown how really thin supply in the physical market is, how small the doorway into silver and gold. You've been warned.
Many thanks to all of you for your prayers and well wishes and cards and e-mails for my wife Susan. Two weeks have passed since her heart surgery, mitral valve repair, and she is recovering nicely, although I am spoiling her shamelessly. She still tires easily, but most of her pain is past. Most hearty thanks to you all for your sweet compassion.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
Buy Silver and Gold Coins at:
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Thursday, September 11, 2008
Silver Closed at $10.49 and Gold at $741.30 - That Could be the Bottom of it
Gold Price Close Today: 741.30
Gold Price Close Yesterday : 757.90
Change: -16.60 or -2.2%
Silver Price Close Today: 10.490
Silver Price Close Yesterday : 10.817
Change: -32.7 cents or -3%
Here's an eye-catching development: today the Dow in Gold Dollars, measuring the value of stocks against gold, reached a new high by pennies, G$318.84 (15.424 oz). Think of an unfinished "M" and you can picture it: Low 17 March at G$247.14 (11.955 oz), climbs by 2 May back to G$315.31 (15.253 oz), back down to G$231.86 on 15 July (11.216 oz), then back to G$318.84 (15.424 oz) today. May be a double bottom, or may be the limit of the move, since G$318.90 is old resistance. Tomorrow will tell us. Remember that the Dow in Gold Dollars is the most faithful & reliable indicator I follow. If it breaks out above G$318.84 (15.424 oz) then stocks could outperform gold for quite a while -- 6 months or more. Of course, silver will follow right along with that. But it hasn't broken out yet.
Odd, odd, odd, these charts. I see straight-up breakouts in the DiG$ & the Gold/Silver Ratio at 70.67, but they just make no sense where they are. The Ratio has moved up to the top of an old resistance area -- Sept. 02 to Dec. 03. Ought to stop there, if there's any logic left in the world.
Message is plain: the market is handing us another opportunity to swap gold for silver. Better do it quickly.
The US DOLLAR INDEX managed to climb above 80 today, yahoo. Now it's hitting tougher resistance. From here it ought to correct, which will give us a chance to gauge how well silver and gold prices will come back.
Well -- the silver price closed at $10.49 (down 32.7 cents) and the gold price at US$741.30 (down 16.60). That could be the bottom of it. Today for the first time in a long time both metals rose in the after market, the gold price to 745.80 and thte silver price to 1053. Who can pick bottoms? Who recognizes them?
[For those of you still waiting for Confederate General silver rounds, the mint is shipping me 6,200 tomorrow, so the rest of your orders will ship as soon as we receive those. Please forgive us for the delay.]
On this day in 1789 Alexander Hamilton was appointed first US Treasury Secretary. Hamilton & Jefferson, who was Secretary of state in the same cabinet, represent the two opposing philosophies that have struggled for supremacy in America ever since. Jefferson saw the country's strength in its independent freeholders, farmers & craftsmen & shopkeepers, the "middlin'" people, and of course hard money and strictly controlled banking. Hamilton favoured big monied interests, a national bank, corporations, and large merchants -- what we today would call "special interests" and multinational corporations -- and paper money.
For the first 80 years, the Jeffersonians managed to hold their ground and even generally prevail. The War Between the States engineered the complete victory for the Hamiltonians & corporations, who have ruled the country ever since.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Gold Price Close Yesterday : 757.90
Change: -16.60 or -2.2%
Silver Price Close Today: 10.490
Silver Price Close Yesterday : 10.817
Change: -32.7 cents or -3%
Here's an eye-catching development: today the Dow in Gold Dollars, measuring the value of stocks against gold, reached a new high by pennies, G$318.84 (15.424 oz). Think of an unfinished "M" and you can picture it: Low 17 March at G$247.14 (11.955 oz), climbs by 2 May back to G$315.31 (15.253 oz), back down to G$231.86 on 15 July (11.216 oz), then back to G$318.84 (15.424 oz) today. May be a double bottom, or may be the limit of the move, since G$318.90 is old resistance. Tomorrow will tell us. Remember that the Dow in Gold Dollars is the most faithful & reliable indicator I follow. If it breaks out above G$318.84 (15.424 oz) then stocks could outperform gold for quite a while -- 6 months or more. Of course, silver will follow right along with that. But it hasn't broken out yet.
Odd, odd, odd, these charts. I see straight-up breakouts in the DiG$ & the Gold/Silver Ratio at 70.67, but they just make no sense where they are. The Ratio has moved up to the top of an old resistance area -- Sept. 02 to Dec. 03. Ought to stop there, if there's any logic left in the world.
Message is plain: the market is handing us another opportunity to swap gold for silver. Better do it quickly.
The US DOLLAR INDEX managed to climb above 80 today, yahoo. Now it's hitting tougher resistance. From here it ought to correct, which will give us a chance to gauge how well silver and gold prices will come back.
Well -- the silver price closed at $10.49 (down 32.7 cents) and the gold price at US$741.30 (down 16.60). That could be the bottom of it. Today for the first time in a long time both metals rose in the after market, the gold price to 745.80 and thte silver price to 1053. Who can pick bottoms? Who recognizes them?
[For those of you still waiting for Confederate General silver rounds, the mint is shipping me 6,200 tomorrow, so the rest of your orders will ship as soon as we receive those. Please forgive us for the delay.]
On this day in 1789 Alexander Hamilton was appointed first US Treasury Secretary. Hamilton & Jefferson, who was Secretary of state in the same cabinet, represent the two opposing philosophies that have struggled for supremacy in America ever since. Jefferson saw the country's strength in its independent freeholders, farmers & craftsmen & shopkeepers, the "middlin'" people, and of course hard money and strictly controlled banking. Hamilton favoured big monied interests, a national bank, corporations, and large merchants -- what we today would call "special interests" and multinational corporations -- and paper money.
For the first 80 years, the Jeffersonians managed to hold their ground and even generally prevail. The War Between the States engineered the complete victory for the Hamiltonians & corporations, who have ruled the country ever since.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Wednesday, September 10, 2008
The People Who Own the Physical Silver Won't Sell at the Paper Price of $10.62
Gold Price Close Today: 757.90
Gold Price Close Yesterday : 787.10
Change: -29.20 or -3.7%
Silver Price Close Today: 10.817
Silver Price Close Yesterday : 11.64
Change: -82.3 cents or -7.1%
US Dollar Index Today: 79.98
US Dollar Index Close Yesterday: 79.52
Change: 0.47 or 0.6%
No matter how dreadful things seem, it's always a good idea to go back and check the numbers. I did just that with silver and gold prices. In spite of what seems terrible, irredeemable damage in the gold market, the real loss from the 18 March high at $1,003.20 has been US245.30. Figuring that gold began its run at 255.10 in February 2001, that US$245.30 loss amounts to only a 32.8% correction of the gain.
A Fibonacci 38.2% correction would take gold to 717.43. (That's not my target, I'm just playing with numbers).
For silver, the 975.7 cent correction of the 1654.8 cent rise from 402.6 on 26 November 2001 equals a 59% correction. Tough, but a possible 61.8% correction would take silver to 1034.73 cents.
These aren't my targets, as I said. Today gold closed at 757.90, down 29.20, and in the aftermarket dropped another 6 bucks. Silver close at 1081.7, down a huge 82.3 cents, and fell off another 20 cents in the aftermarket. Weak, weak, weak.
But I watch premiums on physical silver and gold items for a clue where the market is headed. Premiums continue to rise. US 90% silver coin which sold at a 25 cent per ounce discount on 18 March at the top, today command an 85 cent per ounce premium. Premiums on other silver items are simply impossible, never before seen: 200 cents on hundred ounce bars, 200 cents on 10 ounce bars, 325 cents on one ounce silver American Eagles. Clearly, the people who own the silver won't sell at the paper price of 1062.5. That spells very, very strong support beneath silver.
So where will they stop? I'm sick of guessing, and this has been going on over 40 days. Here's another "possibility": gold drops to 750 tomorrow, even 720, and stops. Silver drops to 1050 or 1025.
And just musing upon the Conspiracy That Doesn't Exist, if I were US Government appartchiki and I wanted to add $5 trillion to government liabilities, I wouldn't want to do that in the face of a collapsing dollar and exploding silver and gold prices. So first I would convince my central banking buddies to buy lots of dollars (which they did in the week before Georgia invaded Russia [sic, regardless what US politicians and media say] and then I would slam gold and silver. More than that, I would slam silver harder than gold, because it's a smaller market where I would get more bang for my manipulating buck. After all, everybody watches the gold/silver ratio, and if silver drops much more than gold (the ratio rises), then arbitrageurs will sell more gold. Ahh, but I'm just thinking out loud. Those nice government men would never meddle in markets -- Why, they're all free marketers, aren't they?
(For those of you who thought we had given up hope on ever receiving your Confederate general silver rounds, they have been pouring in to our office and we've been mailing them out as fast as possible. You ought to receive yours soon. I apologize for the delay.)
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Gold Price Close Yesterday : 787.10
Change: -29.20 or -3.7%
Silver Price Close Today: 10.817
Silver Price Close Yesterday : 11.64
Change: -82.3 cents or -7.1%
US Dollar Index Today: 79.98
US Dollar Index Close Yesterday: 79.52
Change: 0.47 or 0.6%
No matter how dreadful things seem, it's always a good idea to go back and check the numbers. I did just that with silver and gold prices. In spite of what seems terrible, irredeemable damage in the gold market, the real loss from the 18 March high at $1,003.20 has been US245.30. Figuring that gold began its run at 255.10 in February 2001, that US$245.30 loss amounts to only a 32.8% correction of the gain.
A Fibonacci 38.2% correction would take gold to 717.43. (That's not my target, I'm just playing with numbers).
For silver, the 975.7 cent correction of the 1654.8 cent rise from 402.6 on 26 November 2001 equals a 59% correction. Tough, but a possible 61.8% correction would take silver to 1034.73 cents.
These aren't my targets, as I said. Today gold closed at 757.90, down 29.20, and in the aftermarket dropped another 6 bucks. Silver close at 1081.7, down a huge 82.3 cents, and fell off another 20 cents in the aftermarket. Weak, weak, weak.
But I watch premiums on physical silver and gold items for a clue where the market is headed. Premiums continue to rise. US 90% silver coin which sold at a 25 cent per ounce discount on 18 March at the top, today command an 85 cent per ounce premium. Premiums on other silver items are simply impossible, never before seen: 200 cents on hundred ounce bars, 200 cents on 10 ounce bars, 325 cents on one ounce silver American Eagles. Clearly, the people who own the silver won't sell at the paper price of 1062.5. That spells very, very strong support beneath silver.
So where will they stop? I'm sick of guessing, and this has been going on over 40 days. Here's another "possibility": gold drops to 750 tomorrow, even 720, and stops. Silver drops to 1050 or 1025.
And just musing upon the Conspiracy That Doesn't Exist, if I were US Government appartchiki and I wanted to add $5 trillion to government liabilities, I wouldn't want to do that in the face of a collapsing dollar and exploding silver and gold prices. So first I would convince my central banking buddies to buy lots of dollars (which they did in the week before Georgia invaded Russia [sic, regardless what US politicians and media say] and then I would slam gold and silver. More than that, I would slam silver harder than gold, because it's a smaller market where I would get more bang for my manipulating buck. After all, everybody watches the gold/silver ratio, and if silver drops much more than gold (the ratio rises), then arbitrageurs will sell more gold. Ahh, but I'm just thinking out loud. Those nice government men would never meddle in markets -- Why, they're all free marketers, aren't they?
(For those of you who thought we had given up hope on ever receiving your Confederate general silver rounds, they have been pouring in to our office and we've been mailing them out as fast as possible. You ought to receive yours soon. I apologize for the delay.)
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Tuesday, September 09, 2008
Where's the Bottom for a Collapsing Market?
Gold Price Close Today : $787.10
Change: -10.40 or -1.3%
Silver Price Close Today : $11.64
Change: -35 cents or -2.9%
US Dollar Index Today: 79.52
Change: 0.12 or 0.2%
The time a long-term bull like me capitulates to a correction is about the time the correction has ended. I look at the charts and there is no logic to them, neither gold nor silver. Where's the bottom for a collapsing market? Go back a long ways to old triangles and see if any apex is a candidate. Look for long term, very long term, uptrend lines. I remain in the same quandary, because I cannot accept that the silver and gold bull market have ended. First, not enough time has elapsed - the bulls should run at least another 7-8 years. Second, the chief driver of the bull -- inflating fiat national currencies -- favours silver and gold as strongly as ever.
Look at the US dollar, & tell me what has fundamentally changed? The government has huge fiscal deficits, the country runs huge balance of payments deficits, the economy is falling into re/depression, which trips all the institutional "circuit breakers" installed since the Great Depression to ramp up inflation whenever any downturn strikes, the Administration wallows in an Iraqi war that's lasted longer than World War II, has a war in Afghanistan (which ate both the Russians and the British before them), and is trying to start a war with Russia. And now the geniuses in Washington have added Fannie & Freddie's half a trillion in debt, adding 50% to its own debt at one fell swoop. Brilliant. Stunning.
Now, explain to this pore ol' natcheral born fool exactly WHAT has changed to strengthen the dollar? Its exchange rates have risen? Sharply? Welcome to the world of bear market rallies, short, sudden, punishing to the shorts. Explain to me also how a system bred and built to inflate, driven by politics which demands ever more inflation, will suddenly deflate? Not possible. And even if debt begins massively collapsing, politics (which runs the system) will force them to inflate and hyperinflate, even dropping bills out of Bernanke's helicopters.
Okay, for those of you who invested in silver and gold since March, think about this. Yes, your silver and gold may have dropped, but how have they done against stocks? They buy about the same piece of the Dow as they did in the spring, and stocks haven't made any great headway against metals.
O, be patient! Veritas filia temporis -- truth is the daughter of time. Gold could drop to $750, even $720, silver to $10, or they might turn 'round tomorrow, but which would you rather hold? Ben Bernanke's IOU, or silver and gold? Which do you trust more? I may be lunatic, but nobody ever went broke betting against the US government's fiscal trustworthiness, at least, not since 1913 (and actually, long before that).
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Change: -10.40 or -1.3%
Silver Price Close Today : $11.64
Change: -35 cents or -2.9%
US Dollar Index Today: 79.52
Change: 0.12 or 0.2%
The time a long-term bull like me capitulates to a correction is about the time the correction has ended. I look at the charts and there is no logic to them, neither gold nor silver. Where's the bottom for a collapsing market? Go back a long ways to old triangles and see if any apex is a candidate. Look for long term, very long term, uptrend lines. I remain in the same quandary, because I cannot accept that the silver and gold bull market have ended. First, not enough time has elapsed - the bulls should run at least another 7-8 years. Second, the chief driver of the bull -- inflating fiat national currencies -- favours silver and gold as strongly as ever.
Look at the US dollar, & tell me what has fundamentally changed? The government has huge fiscal deficits, the country runs huge balance of payments deficits, the economy is falling into re/depression, which trips all the institutional "circuit breakers" installed since the Great Depression to ramp up inflation whenever any downturn strikes, the Administration wallows in an Iraqi war that's lasted longer than World War II, has a war in Afghanistan (which ate both the Russians and the British before them), and is trying to start a war with Russia. And now the geniuses in Washington have added Fannie & Freddie's half a trillion in debt, adding 50% to its own debt at one fell swoop. Brilliant. Stunning.
Now, explain to this pore ol' natcheral born fool exactly WHAT has changed to strengthen the dollar? Its exchange rates have risen? Sharply? Welcome to the world of bear market rallies, short, sudden, punishing to the shorts. Explain to me also how a system bred and built to inflate, driven by politics which demands ever more inflation, will suddenly deflate? Not possible. And even if debt begins massively collapsing, politics (which runs the system) will force them to inflate and hyperinflate, even dropping bills out of Bernanke's helicopters.
Okay, for those of you who invested in silver and gold since March, think about this. Yes, your silver and gold may have dropped, but how have they done against stocks? They buy about the same piece of the Dow as they did in the spring, and stocks haven't made any great headway against metals.
O, be patient! Veritas filia temporis -- truth is the daughter of time. Gold could drop to $750, even $720, silver to $10, or they might turn 'round tomorrow, but which would you rather hold? Ben Bernanke's IOU, or silver and gold? Which do you trust more? I may be lunatic, but nobody ever went broke betting against the US government's fiscal trustworthiness, at least, not since 1913 (and actually, long before that).
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Monday, September 08, 2008
Bullish Non-Confirmation of Silver's New Low a Signal the end of this Decline Draweth Near
Gold Price Close Today : $797.60
Gold Price Close August 29th: $797.50
Change: -0.10 or -0.0%
Silver Price Close Today : $11.99
Silver Price Close August 29th: $12.24
Change: -25.5 cents or -2.1%
US Dollar Index Today: 79.39
US Dollar Index August 29th: 79.04
Change: 0.35 or 0.4%
I remember taking these beatings from the market in the past, especially in 2004 and 2006. It encourages me to remember that in the end, the primary uptrend (bull market) pulled out of those dark days, so this present eclipse will end soon, too.
The most harrowing face of this decline is silver's weakness, and particularly its weakness against gold. The gold silver ratio has risen to 66.5, undoing the work of more than two years. Since the silver's performance against gold so closely tracks the stock market, the message here bespeaks more pain for stocks than for silver. Silver will remain in a bull market even if it drops to ten bucks.
While the silver price dropped today 25.5 cents to $11.99 and a new low for the move, the gold price remained essentially unchanged, down one thin dime to $797.50. That is a bullish non-confirmation of silver's new low, and (I hope) a signal the end of this decline draweth near.
Now I know that conspiracy-theory is the last refuge of a scoundrel who can't find a more plausible explanation, but I do think it convenient that the US Dollar (The Leper-Buck) rallied about the same time that the Fed & the US Treasury needed to keep up the appearance that US financial world was not actually exploding in a monetary A-bomb. I know that if I were pencil-neck Ben Bernanke or Hank the Fixer Paulson I would certainly want that dollar rallying while I was picking the taxpayers' pockets for a $5 trillion dollar Fannie/Freddie bailout for my Wall Street masters.
Y'all ought to batten whatever hatches you have, because a tough time is coming -- soon -- for banks and stocks. This will not be a beautiful fall for Washington & Wall Street, regardless what the leaves do.
I know that my continual expectation of a bottom in these last weeks may cause some to sneer at me as a "silver perma-bull," but I'm not terribly concerned. The long term bull market remains in place, and every bull market is punctuated by periodic correction terrors. This is one, but it is not the end. Just hold on, hold on, and if you can find any silver, buy it. Wholesale premium on US 90% silver coin has risen to 85 cents, highest since 1999. In other words, people who hold silver won't sell at these prices. More proof of a bull market.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Gold Price Close August 29th: $797.50
Change: -0.10 or -0.0%
Silver Price Close Today : $11.99
Silver Price Close August 29th: $12.24
Change: -25.5 cents or -2.1%
US Dollar Index Today: 79.39
US Dollar Index August 29th: 79.04
Change: 0.35 or 0.4%
I remember taking these beatings from the market in the past, especially in 2004 and 2006. It encourages me to remember that in the end, the primary uptrend (bull market) pulled out of those dark days, so this present eclipse will end soon, too.
The most harrowing face of this decline is silver's weakness, and particularly its weakness against gold. The gold silver ratio has risen to 66.5, undoing the work of more than two years. Since the silver's performance against gold so closely tracks the stock market, the message here bespeaks more pain for stocks than for silver. Silver will remain in a bull market even if it drops to ten bucks.
While the silver price dropped today 25.5 cents to $11.99 and a new low for the move, the gold price remained essentially unchanged, down one thin dime to $797.50. That is a bullish non-confirmation of silver's new low, and (I hope) a signal the end of this decline draweth near.
Now I know that conspiracy-theory is the last refuge of a scoundrel who can't find a more plausible explanation, but I do think it convenient that the US Dollar (The Leper-Buck) rallied about the same time that the Fed & the US Treasury needed to keep up the appearance that US financial world was not actually exploding in a monetary A-bomb. I know that if I were pencil-neck Ben Bernanke or Hank the Fixer Paulson I would certainly want that dollar rallying while I was picking the taxpayers' pockets for a $5 trillion dollar Fannie/Freddie bailout for my Wall Street masters.
Y'all ought to batten whatever hatches you have, because a tough time is coming -- soon -- for banks and stocks. This will not be a beautiful fall for Washington & Wall Street, regardless what the leaves do.
I know that my continual expectation of a bottom in these last weeks may cause some to sneer at me as a "silver perma-bull," but I'm not terribly concerned. The long term bull market remains in place, and every bull market is punctuated by periodic correction terrors. This is one, but it is not the end. Just hold on, hold on, and if you can find any silver, buy it. Wholesale premium on US 90% silver coin has risen to 85 cents, highest since 1999. In other words, people who hold silver won't sell at these prices. More proof of a bull market.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Friday, September 05, 2008
Is this a Double Bottom in Gold and Silver Prices?
Gold Price Close Today : $797.60
Gold Price Close August 29th: $829.30
Change: -31.70 or -3.8%
Silver Price Close Today : $12.24
Silver Price Close August 29th: $13.60
Change: -$1.36 cents or -10.0%
US Dollar Index Today: 79.040
US Dollar Index August 29th: 77.400
Change: 1.640 or 2.1%
I brought my wife Susan home today after a 8 days in the hospital for [heart] mitral valve replacement. I've had all the hospital & cardiac surgery fun I can stand for a while. Her surgeon worked masterfully, the other physicians added skill and wisdom, and the nurses are angelic beings from another realm far above Earth. I spent all but one night of the last 8 in her room, and I'm almost as tired as she is. By the grace of God she is doing remarkably well, thanks in no small part to your faithful prayers. Thank you very much. God does abundantly, exceedingly above all we can ask or imagine.
Today I am trying to bring myself up to speed, and I find that two weeks ago today I wrote y'all that 3 outcomes were possible, namely, a drop to a new low, a V-bottom, or a touchback. As things have developed this week and today, a double bottom (touchback) has unveiled itself.
The SILVER PRICE closed today at $12.248, a new low close but about the same as the 15 August $12.31 intraday low. The GOLD PRICE closed today at $797.60 ($792.15 low) against 15 August's close at $786. Together that paints a slightly lower silver price low close with a slightly higher gold low close. (Remember, double bottoms can be lower-higher, same point, and higher-lower.) More volatile silver wobbles & waves more than gold, so a lower close here works, although it certainly isn't ideal.
Next week will tell the tale, and my guess (okay, my bias, because I know silver and gold prices remain in a long term bull market) is that we are today witnessing the second prong of a double bottom. How will you know I am wrong? Lower closes in both metals on Monday.
Meanwhile the glorious US DOLLAR INDEX, Hero of State Capitalism, has risen all the way to where it stood last September. W - O - W. The RSI & MACD indicators are also the most eye-poppingly oversold I've seen them in a long, long, long time. If I saw anything else that overbought, I would have to say, "Gravity the Avenger is about to hit you in the head with a 48 oz. ball peen hammer."
STOCKS now wallow more than 20% down from their October all-time high. Many analysts use that 20% mark as the measure of a bear market. On the other hand, we ignorant hillbillies from Tennessee don't measure the Dow in always-dwindling dollars, which is like trying to shoot skeet off the back of a bass boat in a storm. Rather, we don't know no better than to measure the Dow in gold or in silver, and against those monetary metals stocks have lost seventy-per cent of their peak values. Stocks are in real trouble. Sell them all, and put the proceeds into silver & gold.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Gold Price Close August 29th: $829.30
Change: -31.70 or -3.8%
Silver Price Close Today : $12.24
Silver Price Close August 29th: $13.60
Change: -$1.36 cents or -10.0%
US Dollar Index Today: 79.040
US Dollar Index August 29th: 77.400
Change: 1.640 or 2.1%
I brought my wife Susan home today after a 8 days in the hospital for [heart] mitral valve replacement. I've had all the hospital & cardiac surgery fun I can stand for a while. Her surgeon worked masterfully, the other physicians added skill and wisdom, and the nurses are angelic beings from another realm far above Earth. I spent all but one night of the last 8 in her room, and I'm almost as tired as she is. By the grace of God she is doing remarkably well, thanks in no small part to your faithful prayers. Thank you very much. God does abundantly, exceedingly above all we can ask or imagine.
Today I am trying to bring myself up to speed, and I find that two weeks ago today I wrote y'all that 3 outcomes were possible, namely, a drop to a new low, a V-bottom, or a touchback. As things have developed this week and today, a double bottom (touchback) has unveiled itself.
The SILVER PRICE closed today at $12.248, a new low close but about the same as the 15 August $12.31 intraday low. The GOLD PRICE closed today at $797.60 ($792.15 low) against 15 August's close at $786. Together that paints a slightly lower silver price low close with a slightly higher gold low close. (Remember, double bottoms can be lower-higher, same point, and higher-lower.) More volatile silver wobbles & waves more than gold, so a lower close here works, although it certainly isn't ideal.
Next week will tell the tale, and my guess (okay, my bias, because I know silver and gold prices remain in a long term bull market) is that we are today witnessing the second prong of a double bottom. How will you know I am wrong? Lower closes in both metals on Monday.
Meanwhile the glorious US DOLLAR INDEX, Hero of State Capitalism, has risen all the way to where it stood last September. W - O - W. The RSI & MACD indicators are also the most eye-poppingly oversold I've seen them in a long, long, long time. If I saw anything else that overbought, I would have to say, "Gravity the Avenger is about to hit you in the head with a 48 oz. ball peen hammer."
STOCKS now wallow more than 20% down from their October all-time high. Many analysts use that 20% mark as the measure of a bear market. On the other hand, we ignorant hillbillies from Tennessee don't measure the Dow in always-dwindling dollars, which is like trying to shoot skeet off the back of a bass boat in a storm. Rather, we don't know no better than to measure the Dow in gold or in silver, and against those monetary metals stocks have lost seventy-per cent of their peak values. Stocks are in real trouble. Sell them all, and put the proceeds into silver & gold.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Tuesday, September 02, 2008
Today's Trading in Both Silver and Gold has the Appearance of a V Bottom
Gold Price Close Today : 805.00
Change: -24.30
Silver Price Close Today : 13.050
Change: -56 cents
Still in the hospital with my wife, but I wanted to send y'all a few words on today's markets.
Today's trading in both silver and gold has the appearance of a V bottom. It also looks something like a key reversal, although the close might have been stronger and both metals need a higher close tomorrow to complete a key reversal. If today's trading marks the limit of a new low, then it would constitute a double bottom with the mid-August low. If this is correct then we will see closes tomorrow higher than today's. As long as gold and silver do not go lower than today's lows, we have seen the bottom. No time to lose heart, the bull is getting off his knees for another charge.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
Change: -24.30
Silver Price Close Today : 13.050
Change: -56 cents
Still in the hospital with my wife, but I wanted to send y'all a few words on today's markets.
Today's trading in both silver and gold has the appearance of a V bottom. It also looks something like a key reversal, although the close might have been stronger and both metals need a higher close tomorrow to complete a key reversal. If today's trading marks the limit of a new low, then it would constitute a double bottom with the mid-August low. If this is correct then we will see closes tomorrow higher than today's. As long as gold and silver do not go lower than today's lows, we have seen the bottom. No time to lose heart, the bull is getting off his knees for another charge.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down.
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