Thursday, October 14, 2010

Gold Price Added Another $7.20 Today to Reach $1,376.70

Gold Price Close Today : 1376.70
Change : 7.20 or 0.5%

Silver Price Close Today : 24.417
Change : 0.500 cents or 2.1%

Gold Silver Ratio Today : 56.38
Change : -0.878 or -1.5%

Silver Gold Ratio Today : 0.01774
Change : 0.000272 or 1.6%

Platinum Price Close Today : 1716.00
Change : 6.00 or 0.4%

Palladium Price Close Today : 604.00
Change : 7.00 or 1.2%

S&P 500 : 1,173.81
Change : -4.29 or -0.4%

Dow In GOLD$ : $166.59
Change : $ (0.88) or -0.5%

Dow in GOLD oz : 8.059
Change : -0.043 or -0.5%

Dow in SILVER oz : 449.72
Change : -4.81 or -1.1%

Dow Industrial : 11,094.57
Change : -1.51 or 0.0%

US Dollar Index : 76.55
Change : -0.523 or -0.7%

A good friend of mine once taught me a rich proverb: "In a bear market, money returns to its rightful owner." Translated that means that in bull markets every clown with a dollar can invest with the trend and make money. Inevitably, he confuses investing in a bull market with "investing genius." Ends the bull market, and he keeps on trying the same tactic, which no longer works. Thus money travels its circuit from its transitory and foolish owner to its rightful owner.

A corollary of that proverb is, "The market is not benevolent."

Once a month I appear on Catherine Austin Fitts' Solari Report, and tonight's the night. You can subscribe to the Report at

It is fallen, its is fallen! The Dollar the Great is fallen! Today the US DOLLAR INDEX lost another 52.3 basis points, 2/3 of one percent, to trade now at 76.548. Yesterday it was above 77, and it has eaten half way through 76 today. Clearly the Nice Government Men are happy with a falling dollar. Stay wary for a sudden rally. It will drive all the faint-hearted before it, especially those in stocks.

Looked at stocks again today, and came up with a target of about 8,000 on the dow. Dow today fell 1.51 to 11,094.57. S&P500 fell 4.29 to 1,173.81. Spent most of the day lower than that, but right at the end -- surprise, surprise -- came some buying out of nowhere to raise the Dow to near unchanged. Bogus as a three dollar bill.

I am going to stop writing that silver and gold must be approaching some sort of correction since they keep leaving tire marks on my face.

Silver's day was tumultuous. Overnight it reached 2486c, then eased off and fell right after the New York open to a low of 2407c. But it climbed to a comex close of 2441.7c, up 50c from yesterday. Right now it's trading at 2467c, and maybe we'll see 2500c tomorrow, unless profit-takers looking forward to the weekend take it down.

GOLD added another $7.20 today to reach $1,376.70, fulfilling the target I mentioned months ago. Moments ago when I looked it was trading at $1,382.10. Gold, too, enjoyed an exciting day, trading as high at $1,386.70 and as low as $1,370, which has now become strong support. Only target I have remains at $1,600.

That US DOLLAR rallying will cause stocks, gold, and silver a problem because they are so overbought, but the dollar appears to have no rally in mind for some time to come.

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

- Franklin Sanders, The Moneychanger

© 2010, 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. Whenever I write "Stay out of stocks" readers inevitably ask, "Do you mean precious metals mining stocks, too?" No, I don't.