Thursday, August 06, 2009

Silver and Gold Prices Will Move Higher Still

Gold Price Close Today : 960.70
Change: -3.50 or -0.4%

Silver Price Close Today : 14.638
Change: -11.5 cents or -0.8%

Platinum Price Close Today: 1264.00
Change: -16.00 or -1.3%

Palladium Price Close Today: 271.20
Change: -3.00 or -1.1%

Gold Silver Ratio Today: 65.63
Change: 0.274 or 0.4%

Dow Industrial: 9,256.26
Change: -24.71 or -0.3%

US Dollar Index: 78.04
Change: 0.46 or 0.6%

The US DOLLAR INDEX turned up today for a surprise, rallying toward the point it fell off, 78.33. It closed at 78.037, up 45.7 basis points. Tomorrow will probably reach the rest of the way toward 78.33. I have not yet made up my mind whether the outcome here will be a surprise dollar rally or continuing dollar weakness. However, I suspect the time for that dollar rally (if it comes) is not yet. Therefore I expect the dollar to move a bit higher tomorrow, and to fall next week.

STOCKS are correcting, but are such a strong updraft that they grudgingly give up only a few points a day. Still rallying.

The Gold Price gave up 3.50 today to stop at 960.70 on Comex. The Silver Price dropped 11-1/2 cents to close at 14.638.

I expected to see lower silver and gold prices today, and was not disappointed. So far, this little correction does no damage at all to the on-going rally. Silver and gold prices will move higher still.

Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.

- Franklin Sanders, The Moneychanger

© 2009, The Moneychanger. May not be republished in any form, including electronically, without our express permission.

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.