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Wednesday, November 30, 2011

The Gold Price Jumped 32.10 Today, Can It Break Through It's $1,800 Resistance?

Gold Price Close Today : 1745.50
Change : 32.10 or 1.9%

Silver Price Close Today : 3273.1
Change : 87.8 cents or 2.8%

Gold Silver Ratio Today : 53.329
Change : -0.462 or -0.9%

Silver Gold Ratio Today : 0.01875
Change : 0.000161 or 0.9%

Platinum Price Close Today : 1558.30
Change : 21.30 or 1.4%

Palladium Price Close Today : 614.10
Change : 25.35 or 4.3%

S&P 500 : 1,246.96
Change : 51.77 or 4.3%

Dow In GOLD$ : $142.66
Change : $ 3.25 or 2.3%

Dow in GOLD oz : 6.901
Change : 0.157 or 2.3%

Dow in SILVER oz : 368.02
Change : 5.24 or 1.4%

Dow Industrial : 12,045.68
Change : 490.05 or 4.2%

US Dollar Index : 78.35
Change : -0.653 or -0.8%

The GOLD PRICE jumped $32.10 today (1.9%), clearing at a single bound the troublesome $1,720 and $1,740 resistance. Alas, it couldn't get through $1,750, as the $1,749.56 high proved. Closed at $1,745.50

The GOLD PRICE showed a straight up single move with the coinciding with the central bank announcement but then it traded flat the rest of the day. Hmmmm.

GOLD has poked its head through its overhead trendline, but not by much. Odds say it will rise. Stoutest resistance remains at $1,775 and $1,800.

The SILVER PRICE also spurted up on Blarney, bursting thru 3220c resistance, and adding 87.8c (2.8%) to close at 3273.10. That was near the 3293c high.

The SILVER PRICE has now once again come to the 3300c barrier, where we have so often met before.

SILVER did not quite break through its 20 DMA (3330c), and remains in a large even-sided triangle that has been building since the high mid-August and the low end-September. It's traded all the way into the nose, so must resolve up or down soon.

If silver and gold continue to advance -- that is, if today's jumps were something more than a reaction to the central banks' Blarney -- then I will throw in the towel and start buying heavily. Silver will break out to the upside if it closes above 3300c then keeps on advancing. Gold still must clear $1,800 to convince me finally.

The really fun part of commenting about markets is the never-failing threat of a Government Surprise Party sprung overnight, changing the whole outlook and leaving you looking like a natural born fool.

Something stinks here like that wild-caught salmon your wife bought at the grocery store that then fell out of her grocery bag under your car seat just before you left town in July for three weeks in the other car.

Let's keep this as simple as possible. The Establishment, whose agents are central bankers and governments, has only two weapons against financial crisis: BLARNEY and LIQUIDITY. Blarney is trotting out Warren Buffett or some obscure economist with Coke-bottle bottom glasses or some president or politician to make a statement that the economy is really basically sound, so all you victims really don't need to flee out of the trap after all.

Liquidity is printing more money, since after all a "financial crisis" or "panic" is a panic for money. More money, less panic.

Both the Blarney and Liquidity cannons aim to win the same hill: TIME. Buy time to let the panic settle down.

This morning all the world's important central banks -- the US Federal Reserve, Bank of Canada, Bank of England, Bank of Japan, Swiss National Bank, and European central bank -- announced a big co-ordinated intervention to increase liquidity by lowering swap rates. (Swaps are central bank transactions where one bank swaps for another currency with a guaranty to swap back in the future.)

Since the European banks have been starved for liquidity and need dollars, the ECB needs to borrow them from the Fed. Today's action makes it 50 basis points cheaper (0.5%) to borrow dollars.

Get this much straight: This does not by any stretch of the imagination solve the euro crisis, it only mollifies the liquidity fever.

Now think further: long term, how will this act, increasing liquidity a.k.a. printing more money, affect (1) the value of currencies, (2) the value of stocks, and (3) the value of silver and gold?

(1) inflation will drive down currency values.

(2) inflation will increase economic uncertainty and management perplexity while it pounds capital down the rat-hole of mal-investment. Twill drive the value of stocks down, or at least, they will not gain value faster than the inflation can pilfer it.

(3) Inflation is the chief and only driver of silver and gold bull markets, so more inflation means higher silver and gold prices.

Short term, they throw these government surprise parties and send markets screaming in the opposite direction for a few days, then sobriety takes over again and the gains disappear.

I'm not sure where this leaves in the next 3 months with silver and gold. They may resume their correction for one more push down, or we may have seen the lows last week. I bought some today, just on the chance that tomorrow gold climbs over $1,750, calling everybody in the world to buy.

US DOLLAR INDEX today fell 65.3 basis points to 78.354 (down 0.84%). No surprise there, when the biggest central banks in the world announce they are going to cheapen the dollar. Euro rose 0.98% to 1.3441, yen rose 0.48% to 128.92c/Y100 (Y77.57/$1).

Surprise! This move didn't wreck the dollar. It brought it back to the uptrend line, but only poking thru it a little. Needs to hold 78.

STOCKS rose in a frenzy. Dow gained 490.05 (4.24%), a huge move, to close 12,045.68. S&P 500 rose 512.77 (4.33%) to 1,246.96.

That big jump took stocks thru their 50 and 200 day moving averages (11,553.37 and 11,949) and they closed near the high of the day. Lots of energy, expended, don't you think, only to bring them back to the established downtrend line?

Yep, that's right, I NEVER say anything "fair" about stocks, because I am persuaded that they are a trap, cocked and loaded to take away your money. If I am wrong, I am at least sincerely wrong.

I invite you not to ponder, as an idea too hideous for minds of good will, that this entire financial crisis, from 2006 until now, has been managed to force the tortured people of the world to beg for a cure, a supranational government that will end the economic pain. I'm not sure the Establishment would precipitate that, but they will surely turn such events to their centralizing advantage.

Now y'all know everything I know, but that ain't much. After all, I'm still just a natural born fool from Tennessee who believes that cornbread and greens with integrity tastes better than cake won as a tapeworm, and that borrowing money and blowing it is not as wise as producing something and creating wealth and

-- perish the thought -- living within your means. Clearly, I am destined for extinction. Well, either that, or the other side is, but without the Blarney and Liquidity cannons how can I win? I have only reason and common sense and the eternal truth to work with. What's that against Blarney, Liquidity, Central Banks, and USA Today?

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com

© 2011, 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 bubble has burst, primary trend down.

WARNING AND DISCLAIMER. Be advised and warned:

Do NOT use these commentaries to trade futures contracts. I don't intend them for that or write them with that short term trading outlook. I write them for long-term investors in physical metals. Take them as entertainment, but not as a timing service for futures.

NOR do I recommend investing in gold or silver Exchange Trade Funds (ETFs). Those are NOT physical metal and I fear one day one or another may go up in smoke. Unless you can breathe smoke, stay away. Call me paranoid, but the surviving rabbit is wary of traps.

NOR do I recommend trading futures options or other leveraged paper gold and silver products. These are not for the inexperienced.

NOR do I recommend buying gold and silver on margin or with debt.

What DO I recommend? Physical gold and silver coins and bars in your own hands.

One final warning: NEVER insert a 747 Jumbo Jet up your nose.



Tuesday, November 29, 2011

Gold Rose Today Closing at $1,713.40, Silver Fell 30.8c

Gold Price Close Today : 1713.40
Change : 2.60 or 0.2%

Silver Price Close Today : 3185.3
Change : -30.8 cents or -1.0%

Gold Silver Ratio Today : 53.791
Change : 0.596 or 1.1%

Silver Gold Ratio Today : 0.01859
Change : -0.000208 or -1.1%

Platinum Price Close Today : 1537.00
Change : -1.20 or -0.1%

Palladium Price Close Today : 588.75
Change : 9.55 or 1.6%

S&P 500 : 1,195.19
Change : 2.64 or 0.2%

Dow In GOLD$ : $139.42
Change : $ 0.20 or 0.1%

Dow in GOLD oz : 6.744
Change : 0.010 or 0.1%

Dow in SILVER oz : 362.78
Change : 4.49 or 1.3%

Dow Industrial : 11,555.63
Change : 32.62 or 0.3%

US Dollar Index : 79.05
Change : -0.252 or -0.3%

Sorry, I am not convinced that the rallies for the GOLD PRICE and the SILVER PRICE off Friday's bottom have any lasting power. Here's why: Yesterday the high-low range for the GOLD PRICE was $1,719.88 and $1,703.49 (for silver, 3231c and 3156c). Today the range was $1,719.83 and $1,703.47 (3216.5c and 3147c).

The GOLD PRICE today rose $2.60 to close at $1,713.40, while silver fell 30.8c (after rising 114.7c yesterday) to 3185.3c. A mixed close always gives me the nervous fantods.

Range for GOLD those two days was virtually identical, leading to the conclusion that a solid wall of resistance awaits at $1,720. Monday and Tuesday gold double-topped at that line. A failure to break through tomorrow would be fatal to this fragile rally, and gold looks stuck, spinning wheels in the mud.

HOWEVER, look at a longer term chart, and you will see that last week's fall caught on the uptrend line from the $1,535 (September) low. Long as that holds (now about $1,700), gold's correction is passed, but if it breaks, nothing good follows. 50 DMA is 1702.11, so momentum is barely, temporarily up, but the 20 DMA stands at a lofty $1,742.60, a long ways above.

The SILVER PRICE chart looks the same, only less so. Instead of an even double top Monday and Tuesday, silver topped higher on Monday. Still, the boundaries are plain. Top of the range is 3231, bottom at 3156c. Break up or down thru those levels will carry silver further in the same direction. If it breaks upward, it would climb to 3340c.

So far in this latest decline, the longer term chart alloweth me to say nothing much. Looks like it has further to fall, but a rise above 3400c would change that.

I have no idea when, but sometime soon, probably before year end, y'all will get a spectacular chance to buy silver.

The GOLD/SILVER RATIO rose from 53.195 yesterday to 53.791 today. This does not touch the high (56.56) of the correction since September (rising, for the ratio, remember, when silver and gold are falling) but it is pushing toward it. That implies more work downside for both metals, especially silver.

Y'all, I had to drive up to Sevierville yesterday, 5 hours away, and spent the night up there. Leaving the motel this morning, I made the mistake of picking up, then reading a USA Today. Right now, I am suffering from such severe brain poisoning that I doubt I can rub two vowels together and make sense, but I'm going to try. My brain will be spitting and puking for a week trying to get that offal out of its system.

US DOLLAR INDEX closed today at 79.053, down 25.2 basis points. The "down" isn't as important as the level, 79.00, important to morale. Once the dollar index bursts thru 79.84, it will blast off. Must not drop lower than 77.50. Moving higher, watch for it.

Euro looks as sick as ever. Closed unchanged today at 1.3313, but last two days has shown no more than a dead cat bounce. Might get a rally here to 1.3500, but soon, yes, soon will come 1.2000.

Japanese yen was indeed wounded by the Nice Government Men's last manipulation -- "Steering", they call it in German" -- and fell all last week. Today it rose a stingy 0.11% to 128.35c/Y100 (Y77.91/$1). BoJ bureaucrats aren't out of the woods yet. Yen needs to drop below 127.5c (Y78.43/$1) to give them any relief.

STOCKS jumped big time yesterday (Dow rose 291.23), but today improved little on that performance. Now the five day chart has a mess on it, with Monday at 11,550 - 11,450 looking something like a shoulder, a straight down drop for Wednesday and Friday with a low at 11,250, then a straight up rise yesterday. That might be something like an upside-down head and shoulders that yields a target of 11,850. Might.

Dow today closed up 32.62 (0.28%) at 11,555.63. S&P500 rose 2.65 (0.22% to 1,195.19).

Longer term chart shows only that the Dow bounced up off the lower Jaw of Death's bottom jaw, and has crossed above its 50 day moving average (11,540), which might turn momentum upward. Overall, this is a decaying market. Buzzards are circling. Combination of government interference and decades of mal-investment induced -- no, seduced -- by inflation simply refuse to let the economy heal itself. We are tempted to assign the motive here to wrecking -- deliberate sabotage by the parasites in charge -- but 'twould always be dangerous to pick that cause above plain vanilla stupidity born of ideology and lack of work experience. Nothing teaches you how an economy works like scouring toilets, flipping hamburgers, washing cars, or any of the understory jobs that keep the economy running. One wonders whether Bernard O'Bama or Ben the Bernancubus every have held a real job, where you had to work and produce or be fired -- and never mind all the other assorted goofs, miscreants, criminals, and ne'er-do-wells in Washington.

Can't y'all just hear my brain spluttering and spitting, trying to get the poison of USA Today and CNN out of its inwards? Yes, my wife turned on the TV in the room.

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com

© 2011, 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 bubble has burst, primary trend down.

WARNING AND DISCLAIMER. Be advised and warned:

Do NOT use these commentaries to trade futures contracts. I don't intend them for that or write them with that short term trading outlook. I write them for long-term investors in physical metals. Take them as entertainment, but not as a timing service for futures.

NOR do I recommend investing in gold or silver Exchange Trade Funds (ETFs). Those are NOT physical metal and I fear one day one or another may go up in smoke. Unless you can breathe smoke, stay away. Call me paranoid, but the surviving rabbit is wary of traps.

NOR do I recommend trading futures options or other leveraged paper gold and silver products. These are not for the inexperienced.

NOR do I recommend buying gold and silver on margin or with debt.

What DO I recommend? Physical gold and silver coins and bars in your own hands.

One final warning: NEVER insert a 747 Jumbo Jet up your nose.



The Gold Price Close Higher 1.5% Today Closing at 1,710.80

Gold Price Close Today : 1,710.80
Change : 25.30 or 1.5%

Silver Price Close Today : 3216.0
Change : 115.0 or 3.6%

Platinum Price Close Today : 1,538.00
Change : 6.40 or 0.4%

Palladium Price Close Today : 578.25
Change : 8.25 or 1.4%

Gold Silver Ratio Today : 53.20
Change : -1.16 or 0.98%

Dow Industrial : 11,231.78
Change : -25.77 or -0.2%

US Dollar Index : 79.63
Change : 0.61 or 0.8%

Franklin Sanders has not published any commentary today, if he publishes commentary later today it will be published here.

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com

© 2011, 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 bubble has burst, primary trend down.

WARNING AND DISCLAIMER. Be advised and warned:

Do NOT use these commentaries to trade futures contracts. I don't intend them for that or write them with that short term trading outlook. I write them for long-term investors in physical metals. Take them as entertainment, but not as a timing service for futures.

NOR do I recommend investing in gold or silver Exchange Trade Funds (ETFs). Those are NOT physical metal and I fear one day one or another may go up in smoke. Unless you can breathe smoke, stay away. Call me paranoid, but the surviving rabbit is wary of traps.

NOR do I recommend trading futures options or other leveraged paper gold and silver products. These are not for the inexperienced.

NOR do I recommend buying gold and silver on margin or with debt.

What DO I recommend? Physical gold and silver coins and bars in your own hands.

One final warning: NEVER insert a 747 Jumbo Jet up your nose.



Friday, November 25, 2011

The Gold Price Closed Down 2.3% This Week

Gold Price Close Today : 1,685.5
Gold Price Close 18-Nov : 1,724.7
Change : -39.20 or 2.3%

Silver Price Close Today : 3101.0
Silver Price Close 18-Nov : 3241.0
Change : -140.0 or -4.5%

Gold Silver Ratio Today : 53.20
Gold Silver Ratio 18-Nov : 53.22
Change : 1.14 or 1.02%

Dow Industrial : 11,231.78
Change : -25.77 or -0.2%

Franklin Sanders has not published any commentary today, if he publishes commentary later today it will be published here.

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com

© 2011, 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 bubble has burst, primary trend down.

WARNING AND DISCLAIMER. Be advised and warned:

Do NOT use these commentaries to trade futures contracts. I don't intend them for that or write them with that short term trading outlook. I write them for long-term investors in physical metals. Take them as entertainment, but not as a timing service for futures.

NOR do I recommend investing in gold or silver Exchange Trade Funds (ETFs). Those are NOT physical metal and I fear one day one or another may go up in smoke. Unless you can breathe smoke, stay away. Call me paranoid, but the surviving rabbit is wary of traps.

NOR do I recommend trading futures options or other leveraged paper gold and silver products. These are not for the inexperienced.

NOR do I recommend buying gold and silver on margin or with debt.

What DO I recommend? Physical gold and silver coins and bars in your own hands.

One final warning: NEVER insert a 747 Jumbo Jet up your nose.



Thursday, November 24, 2011

The Gold Price Closed Down 0.4% Today To Close At $1,695.70

Gold Price Close Today : 1,695.70
Change : -6.50 or -0.4%

Silver Price Close Today : 3188.0
Change : -107.0 or -3.4%

Platinum Price Close Today : 1,556.80
Change : -13.70 or -0.9%

Palladium Price Close Today : 589.75
Change : -11.30 or -1.9%

Gold Silver Ratio Today : 53.19
Change : 1.51 or 1.03%

Dow Industrial : 11,257.55
Change : -236.17 or -2.1%

US Dollar Index : 79.08
Change : 0.85 or 1.1%

Franklin Sanders has not published any commentary today, if he publishes commentary later today it will be published here.

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com

© 2011, 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 bubble has burst, primary trend down.

WARNING AND DISCLAIMER. Be advised and warned:

Do NOT use these commentaries to trade futures contracts. I don't intend them for that or write them with that short term trading outlook. I write them for long-term investors in physical metals. Take them as entertainment, but not as a timing service for futures.

NOR do I recommend investing in gold or silver Exchange Trade Funds (ETFs). Those are NOT physical metal and I fear one day one or another may go up in smoke. Unless you can breathe smoke, stay away. Call me paranoid, but the surviving rabbit is wary of traps.

NOR do I recommend trading futures options or other leveraged paper gold and silver products. These are not for the inexperienced.

NOR do I recommend buying gold and silver on margin or with debt.

What DO I recommend? Physical gold and silver coins and bars in your own hands.

One final warning: NEVER insert a 747 Jumbo Jet up your nose.



Wednesday, November 23, 2011

Gold Price Bull Market Continues, Use This Correction To Buy More Gold Cheap

Gold Price Close Today : 1695.90
Change : (6.50) or -0.4%

Silver Price Close Today : 3188.4
Change : (106.7) cents or -3.2%

Gold Silver Ratio Today : 53.190
Change : 1.525 or 3.0%

Silver Gold Ratio Today : 0.01880
Change : -0.000555 or -2.9%

Platinum Price Close Today : 1552.10
Change : -17.90 or -1.1%

Palladium Price Close Today : 587.25
Change : -15.80 or -2.6%

S&P 500 : 1,164.41
Change : -23.63 or -2.0%

Dow In GOLD$ : $137.51
Change : $ (2.04) or -1.5%

Dow in GOLD oz : 6.652
Change : -0.099 or -1.5%

Dow in SILVER oz : 353.81
Change : 5.00 or 1.4%

Dow Industrial : 11,280.90
Change : -212.82 or -1.9%

US Dollar Index : 79.09
Change : 0.822 or 1.1%

The GOLD PRICE reached up for that overhead $1,712 resistance but only got to $1,709.88. Low was $1,677.37, while the Comex closed $1,695.90.

This tells us little we didn't already know. It underscores gold's present weakness, and highlights importance of that $1,675 support. There is more support -- how strong I'm not sure) at $1,646.58, the 150 day moving average. Below that lies $1,605 support (last low) and 200 DMA at $1,591.

Five day chart clearly shows the SILVER PRICE peaked yesterday at 3303, eased off, then fell steeply in overnight trading. High today was 3262, low at 3127.5c, while Comex closed at 3188.4, down 106.7c. Support now stands at 3125c, but the issue will be settled at 3065c - 3000c. Both 2850 and 2600c are possible targets.

The bull market in GOLD and SILVER and the bear market in paper currencies and stocks continues. Debt crisis emphasizes and examples all the problems with maintaining a paper currency, and continue to confirm our suspicion governments can only inflate. Use this correction to buy more silver and gold on the cheap.

Germany suffered a "disastrous" bond sale today, puffing up fears that the go-wheel of the European Economy might itself be threatened by the debt crisis. The German debt agency couldn't sell almost half of a 6 billion euro bond sale -- no bids. That pushed Germany's cost of over-ten-year borrowing above the US for the first time since October. (paraphrased from a Reuters report.)

It gets worse. Belgian government's deal with France to bail out the bank Dexia for $120 billion is unravelling. Fitch Ratings reported that France was bumping up on limits that threaten its AAA credit rating.

The Germans won't budge toward taking on the debts of all Europe, and the banks won't write off the debt, and the junior Euro countries can't stop spending without facing revolutions. No statesman appears to cut this Gordian knot, so they keep on dithering at loggerheads, the most surely fatal response in a crisis.

To all this fun the euro responded by gapping down 1.38% to 1.3325. It's nearing the last low at 131.64. When it breaks that, well, imagine one of those gigantic slides at a fun park that somebody has rubbed down with lard, and you'll get a hint of how fast the euro will drop.

The yen dropped 0.53% to 129.22c/Y100 (Y77.39/$1). One must suspect that the yen had official help doing that.

US dollar index punched through 78.50 resistance and rose 82.2 basis points (1.06%), surmounting the round number 79 to trade at 79.09. Last high (October) reached 79.84, and that's the last resistance standing in the dollar's road. A close above that sets it flying. Of course, Bumbling Ben may decide to intervene before that happens. Funny, although nobody admits it, currency markets are playing out just like they did under the competitive devaluations during the 1930s, and, I suspect, for much the same reasons.

I am writing this at 13:16 Central time, before the market closes at 15:00 my time, but there's not much doubt which way stocks will close today, since they're already swirling the drain. Dow has fallen 212.82 (1.85%) to 11,280.90, right at my 11,250 target. S&P500 is down 23.63 (2%) at 1,164.41. Good chance Dow will bounce from here, but if it slices through 11,200, say Good-bye! to another thousand points.

Y'all have a happy and blessed Thanksgiving, and remember that the FIRST American Thanksgiving was not celebrated in New England in 1621, but farther south at Berkeley Plantation in Virginia on 4 December 1619.

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com

© 2011, 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 bubble has burst, primary trend down.

WARNING AND DISCLAIMER. Be advised and warned:

Do NOT use these commentaries to trade futures contracts. I don't intend them for that or write them with that short term trading outlook. I write them for long-term investors in physical metals. Take them as entertainment, but not as a timing service for futures.

NOR do I recommend investing in gold or silver Exchange Trade Funds (ETFs). Those are NOT physical metal and I fear one day one or another may go up in smoke. Unless you can breathe smoke, stay away. Call me paranoid, but the surviving rabbit is wary of traps.

NOR do I recommend trading futures options or other leveraged paper gold and silver products. These are not for the inexperienced.

NOR do I recommend buying gold and silver on margin or with debt.

What DO I recommend? Physical gold and silver coins and bars in your own hands.

One final warning: NEVER insert a 747 Jumbo Jet up your nose.



Tuesday, November 22, 2011

Silver and Gold Price Are In a Routine Correction In a Bull Market, Keep Averaging Down

Gold Price Close Today : 1702.20
Change : 23.90 or 1.4%

Silver Price Close Today : 3294.8
Change : 183.5 cents or 5.9%

Gold Silver Ratio Today : 51.663
Change : -2.279 or -4.2%

Silver Gold Ratio Today : 0.01936
Change : 0.000818 or 4.4%

Platinum Price Close Today : 1570.00
Change : 17.60 or 1.1%

Palladium Price Close Today : 603.05
Change : 13.65 or 2.3%

S&P 500 : 1,188.04
Change : -4.94 or -0.4%

Dow In GOLD$ : $139.58
Change : $ (2.63) or -1.9%

Dow in GOLD oz : 6.752
Change : -0.127 or -1.9%

Dow in SILVER oz : 348.84
Change : -22.30 or -6.0%

Dow Industrial : 11,493.72
Change : -53.59 or -0.5%

US Dollar Index : 78.26
Change : -0.036 or 0.0%

The GOLD PRICE and the SILVER PRICE took the FOMC announcement the other way, or, more likely, merely bounced from yesterday's steep falls.

GOLD PRICE climbed 23.90 to close at $1,702.20, which unhappily falls short of the $1,705 support/resistance. The breakdown at $1,712 has now become the new resistance, so unless and until gold can conquer that price, it will continue to fall. Underneath, first support stands at $1,670. High today reached only $1,705.13.

The SILVER PRICE was stopped by 3300c. It's still possible that we are seeing a sort of double bottom for silver with lows at 3100c last Thursday and at 3063 yesterday. Today silver added a meaty 183.5c to close at 3294.8 on Comex. Yet without piercing 3300c, silver is fated to drop more.

GOLD and SILVER are in a routine correction in a bull market. Keep on averaging down as they feel around for a bottom.

I reckon it's because I have no subtlety and am nothing but a natural born fool from Tennessee, but if there's one thing that raises my dander and makes me want to tap dance on somebody's head, it's bureaucratic circumlocution -- talking all around what you need to say to avoid really saying it but trying to say it at the same time.

For example, if you see somebody's head is on fire and he doesn't know it yet, how about shouting, "Your head's on fire!" This economical use of English conveys the needful information with a minimum waste of letters and words.

What would you think of a goof who instead said, "Excuse me, but I believe that the kindling temperature of your hair fibers has nearly been reached, raising the distinct but not yet certain probability that, should conditions not change and rain not fall from the sky, the temperature rise might result in the combustion of your entire cranial surface."

The man's head is SMOKING, goof ball! Talk plain.

Not those goofs at the Federal Reserve, who specialize in circumlocution, obfuscation, prolixity, pleonasm, wordiness, evasion, and beating around the bush.

Today the Fed released the minutes of the 1-2 November Federal Open Market Committee. Shucked down to the kernel, its was "maybe we might print up even more money, but then again, maybe not." Then -- Oh, fail me not, Blessed Patience -- they discussed options for improving their communications policies!

Y'all, the ship of state has been hijacked by clowns. Bozo and Clarabelle could do better than this, and they'd be lots more entertaining.

Markets didn't know what to make of this. Dow had dropped 53.59 (0.46%) by day's end to 11,493.72, working its way down to the targeted 11,250. S&P500 dropped 4.94 (0.41%) to 1,188.04.

Y'all think about this, too. Markets are as sensitive to uncertainty as Johnson Grass is to Round-up. You spray 'em with uncertainty and they wilt. Yet the Lords of the Fed vacillate like a dying gyroscope. Mercy, we've fallen into a lunatic asylum.

US DOLLAR INDEX went nowhere, down 3.6 basis points to 78.264. Euro closed 1.3511, up a sliver of 0.16%. Yen dropped to 129.93c/ Y100 (Y76.96/$1). Flatlining, but part of that might be investors laying low, anticipating the US Thanksgiving holiday.

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com

© 2011, 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 bubble has burst, primary trend down.

WARNING AND DISCLAIMER. Be advised and warned:

Do NOT use these commentaries to trade futures contracts. I don't intend them for that or write them with that short term trading outlook. I write them for long-term investors in physical metals. Take them as entertainment, but not as a timing service for futures.

NOR do I recommend investing in gold or silver Exchange Trade Funds (ETFs). Those are NOT physical metal and I fear one day one or another may go up in smoke. Unless you can breathe smoke, stay away. Call me paranoid, but the surviving rabbit is wary of traps.

NOR do I recommend trading futures options or other leveraged paper gold and silver products. These are not for the inexperienced.

NOR do I recommend buying gold and silver on margin or with debt.

What DO I recommend? Physical gold and silver coins and bars in your own hands.

One final warning: NEVER insert a 747 Jumbo Jet up your nose.



Monday, November 21, 2011

Gold Price Dropped Today, I'm Buying At Each Support Level Not Missing The Low

Gold Price Close Today : 1678.30
Change : 46.40 or 2.8%

Silver Price Close Today : 31.133
Change : (1.300) cents or -4.0%

Gold Silver Ratio Today : 53.907
Change : 3.591 or 7.1%

Silver Gold Ratio Today : 0.01855
Change : -0.001324 or -6.7%

Platinum Price Close Today : 1552.40
Change : -40.90 or -2.6%

Palladium Price Close Today : 589.40
Change : -16.70 or -2.8%

S&P 500 : 1,192.98
Change : -22.67 or -1.9%

Dow In GOLD$ : $142.23
Change : $ (7.18) or -4.8%

Dow in GOLD oz : 6.880
Change : -0.347 or -4.8%

Dow in SILVER oz : 370.90
Change : 7.19 or 2.0%

Dow Industrial : 11,547.31
Change : -248.85 or -2.1%

US Dollar Index : 78.08
Change : -0.200 or -0.3%

The GOLD PRICE kept on dropping today, losing $46.40 to close Comex at $1,678.30. (Remember it lost $54 last Thursday.) Once it broke Thursday's and Friday's $1,712 low, it plunged to $1,667.71 very quickly.

That brings us to the first support at $1,675. Today's low cut through the rising trend line, a leetle-bit, but closed above. If it breaks that line at $1,675, next strong support comes at $1,605, with some mushy support at $1,650. Below $1,605 lies $1,535 and $1,475.

Not predicting, just cataloging. The GOLD PRICE could stop at at any of those. You might also bear in mind that the 150 day moving average, now at $1,646.25, has frequently and regularly backstopped gold during this whole bull market. Certainly might catch there, too.

As I said, I'm not predicting. Right now, I'm averaging down, buying more gold whenever gold hits a new support level. I've been doing this too long, so I know how you pick your own pocket by holding out for "just a little lower price." Saying is, "Bulls get rich, bears get rich, and pigs get slaughtered." I have no ambition to become bacon.

The SILVER PRICE lost 130c on Comex and ended the day at 3111.3c. High came at 3219c, low at 3065c. Recall that Thursday's low was 3088c. That might be a double bottom developing, unless silver gainsays that suspicion tomorrow by trading below 3065c and staying there.

Below several possible turnaround targets present themselves. One is 3000c, home of the next to the last low. Another is 2843c, low before that. Then there is 2615c, the spike low in September.

All are possible, and my solution for myself is to buy more at each new support level. This tactic leaves me undisturbed and calm, because I expect SILVER and GOLD will roar back to triple or quadruple before this bull market ends, and I won't miss the low.

Today the GOLD/SILVER RATIO stands at 53.907. Swappers who earlier in the spring swapped silver for gold at realized ratio of 41.46:1 or lower can swap gold for silver now and realize a 30% or greater gain in silver ounces. Remember that market proverb about bulls, bears, and pigs.

We might as well have some fun today. None of us are getting out of here alive anyway.

On Friday with the Dow at 11,791 I said it had an initial (beginning the drop, just beginning) of 11,250. Today it logged half of that with a 248.85 drop, falling 2.11% and landing at 11,547.31. S&P500 lagged a tad, falling only 1.86% (22.67 points) to 1,192.98.

Today's dive takes the Dow below the 50 day moving average (11,533). Stop waiting for another rise toward 12,400, because it ain't coming.

Stocks: signal proof how good the yankee government is at managing the economy.

US DOLLAR INDEX today solidified its breakout Friday thru the descending trendline. Today it gained 19.5 basis points (0.25%) to close 78.256. Dollar need only remain above 78.10 to remain in the rally game. Higher dollar coming. Watch for it.

Japanese yen lost a minute 0.18% today to close at 129.96c/Y100 (Y76.95/$1). Where are those Nice Government Men when they're needed? Uppity yen needs chastising!

The Franken-currency, the euro, dropped 0.2% to 1.3497. Grind, grind, grind, it just keeps on grinding lower and lower toward its 1.2000 target.

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com

© 2011, 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 bubble has burst, primary trend down.

WARNING AND DISCLAIMER. Be advised and warned:

Do NOT use these commentaries to trade futures contracts. I don't intend them for that or write them with that short term trading outlook. I write them for long-term investors in physical metals. Take them as entertainment, but not as a timing service for futures.

NOR do I recommend investing in gold or silver Exchange Trade Funds (ETFs). Those are NOT physical metal and I fear one day one or another may go up in smoke. Unless you can breathe smoke, stay away. Call me paranoid, but the surviving rabbit is wary of traps.

NOR do I recommend trading futures options or other leveraged paper gold and silver products. These are not for the inexperienced.

NOR do I recommend buying gold and silver on margin or with debt.

What DO I recommend? Physical gold and silver coins and bars in your own hands.

One final warning: NEVER insert a 747 Jumbo Jet up your nose.



Friday, November 18, 2011

Whatever Gold Price Downside Risk Remains Here Is Peanuts Compared to the Triple of Quadruple Upside

Gold Price Close Today : 1,724.70
Gold Price Close 11-Nov : 1,787.50
Change : -62.80 or -3.5%

Silver Price Close Today : 3241.3
Silver Price Close 11-Nov : 3467.1
Change : -225.80 or -6.5%

Gold Silver Ratio Today : 53.210
Gold Silver Ratio 11-Nov : 51.556
Change : 1.65 or 3.2%

Silver Gold Ratio : 0.01879
Silver Gold Ratio 11-Nov : 0.01940
Change : -0.00060 or -3.1%

Dow in Gold Dollars : $ 141.39
Dow in Gold Dollars 11-Nov : $ 140.54
Change : $ 0.84 or 0.6%

Dow in Gold Ounces : 6.840
Dow in Gold Ounces 11-Nov : 6.799
Change : 0.04 or 0.6%

Dow in Silver Ounces : 363.93
Dow in Silver Ounces 11-Nov : 350.52
Change : 13.41 or 3.8%

Dow Industrial : 11,796.16
Dow Industrial 11-Nov : 12,152.93
Change : -356.77 or -2.9%

S&P 500 : 1,215.65
S&P 500 11-Nov : 1,263.73
Change : -48.08 or -3.8%

US Dollar Index : 78.081
US Dollar Index 11-Nov : 76.906
Change : 1.175 or 1.5%

Platinum Price Close Today : 1,593.30
Platinum Price Close 11-Nov : 1,643.20
Change : -49.90 or -3.0%

Palladium Price Close Today : 606.10
Palladium Price Close 11-Nov : 660.95
Change : -54.85 or -8.3%

The GOLD PRICE failed in its second try at $1,800. Reached for it on Monday, but fell back to $1,760 - $1,765 and traded sideways through Wednesday. Once it broke $1,740 on Thursday, gold tumbled all the way to $1,711.

Can't interpret that as anything but a breakdown. This should be the second and final leg down we've been waiting for.

How far will it run? Support remains at $1,705, and below that at $1,675. The GOLD PRICE caught this week at the 50 dma (1,715.80) but next week might reach $1,675. If that holds not, then look at $1,600, $1,536, and $1,475.

Today the GOLD PRICE gained $4.90 to close Comex at $1,724.70, a flat wee bounce after falling $54.00 yesterday.

In view of the unsolved European crisis and the ripeness of this gold correction, I am ready to start buying by averaging down. Buy some at $1,705, $1,675, $1,605, etc. BECAUSE I DO NOT KNOW WHERE THIS WILL START BUT I AM CONFIDENT GOLD REMAINS IN A BULL MARKET WITH FAR MORE UPSIDE. Whatever 10% or even 20% downside risk remains here is peanuts compared to the triple or quadruple upside.

The SILVER PRICE was taken to the same woodshed as gold. Once it broke 3350c on Thursday, silver never stopped until it hit 3088c. Today it rebounded, but not with anything more than a dead cat bounce to 3250c.

To gainsay this breakdown, silver would have to close above 3250c then rapidly above 3400c.

Down below several landing zones appear possible. 3000c is one, then 2850, and finally 2600c. Lower prices are possible, but not likely.

I expect to see most of the metals' downside in the next two weeks, if not sooner. DON'T MISS THIS: Right now, when every timid heart, including your own, is trembling, audacity and a cool head will pay off. Now is the time to buy, not when all the silly media cheerleaders have discovered a strong upward trend and prices are running away to the upside.

GOLD SILVER RATIO swappers should mark that my commentary yesterday contained an error. I meant to recommend you swap silver for GOLD, not vice versa. Ratio is rising, which means silver is growing cheaper against gold, and we always swap from the dear metal into the cheap. If you swapped silver for gold in the spring at any level lower than 42:1, you can swap gold for silver now and realize gains in silver ounces above 28.5%. Me, I would scoop those ounces off the table and into my lap.

SWAPPERS who swapped higher than 42:1 keep on waiting for a 57.5:1 ratio, which may come soon.

Delude not thyself, neither listen to siren voices blaring that the precious metals bull market has ended. It has not, and will run to yet greater heights in the next 3-10 years.

I don't know what happened and can't find out yet, but my commentary for 17 November was not sent out or posted to the website (there was none for 16 November). Whenever they're not posted at www.the-moneychanger.com you can also check at www.goldprice.org, where they are also posted.

The week was not kind to the little things, or to anything else, except the US dollar index. Ever-volatile silver and palladium took the deepest wounds, but stocks didn't lag far behind. Never mind the two bank-owned shills who seized power in Greece and Italy, markets are not satisfied. That fear and uncertainty is churning all markets, and will until some real solution is brought forth. By the way, "real solution" includes not "haircuts" for the banks, but "eviscerations." A debt jubilee. Debt is so huge that it can't be paid without perpetual debt slavery. This crisis snowball is fast rolling down hill, and soon will speed out of control, I fear.

Before I say anything, I want y'all to know I'm tearing the tops off the charts and reading out whatever they say, good or bad. If y'all don't like it, don't shoot the messenger.

Stocks this week fell down out of an even-sided triangle at 11,950 and gives the Dow an initial target of 11,250, below the 50 day moving average (11,523 today). Now looks as if the Dow will NOT make any final push up after all.

All this is a breakdown after a Jaws of Death has formed, a most reliable top formation. Bad vibes. Bad karma. Bad juju.

Today the Dow gained 25.43 (measly 0.22%) to close at 11,796.16. S&P, on the other hand, dropped 0.48 (0.004%) to 1,215.65, while the Nasdaq Composite and Nasdaq 100 both closed slightly lower. That argument signals bewilderment in the market, and bewildered markets don't rally, generally.

Stocks -- somebody (not I) might be able to pick winners in the next 4 years, but there' won't be many. Most will be mauled by the bear.

US DOLLAR INDEX dropped 20.1 basis points today (0.26%) to 78.081, but look, folks, it jumped in one week 117.5 basis points 1.5%. Money fleeing Europe is driving it, and will drive it. It is rallying, and could reach 83.15.

The Japanese Nice Government Men will have to tame the rambunctious yen, and right soon. Without exports, Japan will become an island of unsalable parked cars. They've hit it twice since the earthquake, but every time it comes right back -- lots of scared money out there looking for a refuge. They must hit it again soon. Today at 129.98c/Y100 (Y76.93/$1).

The world is so scared of the Euro that it has gapped down twice in the last two weeks and will continue to fall toward 1.2000. Closed today 1.3515, up 0.39%.

We have a beautiful glowing red-orange fall sunset here this evening, better than fine wine.

Y'all enjoy your weekend!

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com

© 2011, 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 bubble has burst, primary trend down.

WARNING AND DISCLAIMER. Be advised and warned:

Do NOT use these commentaries to trade futures contracts. I don't intend them for that or write them with that short term trading outlook. I write them for long-term investors in physical metals. Take them as entertainment, but not as a timing service for futures.

NOR do I recommend investing in gold or silver Exchange Trade Funds (ETFs). Those are NOT physical metal and I fear one day one or another may go up in smoke. Unless you can breathe smoke, stay away. Call me paranoid, but the surviving rabbit is wary of traps.

NOR do I recommend trading futures options or other leveraged paper gold and silver products. These are not for the inexperienced.

NOR do I recommend buying gold and silver on margin or with debt.

What DO I recommend? Physical gold and silver coins and bars in your own hands.

One final warning: NEVER insert a 747 Jumbo Jet up your nose.



Thursday, November 17, 2011

Gold Price Dropped $54 Today 3% Closing at $1,719.80, Bull Market Has Years To Run

Gold Price Close Today : 1719.80
Change : (54.00) or -3.0%

Silver Price Close Today : 3149.3
Change : (232.1) cents or -6.9%

Gold Silver Ratio Today : 54.609
Change : 2.151 or 4.1%

Silver Gold Ratio Today : 0.01831
Change : -0.000751 or -3.9%

Platinum Price Close Today : 1583.70
Change : -47.10 or -2.9%

Palladium Price Close Today : 608.50
Change : -44.75 or -6.9%

S&P 500 : 1,216.13
Change : -11.11 or -0.9%

Dow In GOLD$ : $141.48
Change : $ 2.75 or 2.0%

Dow in GOLD oz : 6.844
Change : 0.133 or 2.0%

Dow in SILVER oz : 373.76
Change : 21.67 or 6.2%

Dow Industrial : 11,770.73
Change : -134.86 or -1.1%

US Dollar Index : 78.30
Change : 0.279 or 0.4%

The GOLD PRICE dropped through $1,755 at 7:00 A.M. New York time, and fell clean to $1,740, where it held on manfully until the NY market opened. It dipped, climbed over $1,740, but once it went below again, never recovered. About 12:00 it sank quickly to $1,711.92.

GOLD PRICE dropped $54 today, 3%, to close $1,719.80.

Gold has now smashed support at $1,750, and sunk nearly to $1,705 support. Lest you lash me, I warned y'all on Monday that if gold broke $1,775 it could drop $75 - $100.

I've been waiting and waiting for this, ever since September -- this final leg of gold's down move. I have not a clue whether it will stop at $1,675, $1,535-1,550, or drop to $1,460. Between here and there stands an uptrend at about $1,675 today, and there's a good chance it might catch there.

And it's mere wild speculation on my part, but if I were in charge of the NGM facing a 9-month pregnant financial crisis in Europe, I'd be slapping both the dollar and gold for all I was worth.

Bottom line of this meditation is: buy gold. Don't fool around and get greedy, trying to squeeze out a few dollars. Buy some at $1,705, buy more at $1,680, and if it falls more, keep on averaging down.

What's the logic? You are watching right now the LAST bargain basement gold decline, in the midst of an unfolding world wide financial and monetary crisis. Nothing is being done to ward off that crisis, the debt cannot be paid but the banks own the governments so governments keep bailing them out, and at last it will all blow up, taking all the world's phony fiat currencies with it. Only thing left standing will be gold, silver, and productive assets. You are watching an epochal watershed, so don't sit there on your hands and end up having to tell your grandchildren, "You know, I could have bought gold back when it was $1,720, but I was too timid and trusted the dollar too much."

NOTE HERE FOR SWAPPERS: If you swapped silver for gold in the spring at any GOLD SILVER RATIO of 42 or lower, you can gain almost 30% in silver ounces by swapping back into gold now with the ratio above 54.5. This does not apply to swappers waiting for a 57.5:1 ratio -- those may abide patiently still.

The SILVER PRICE lost 232.1c or 6.9% to close at 3149.3c.

Real killer came for silver when it fell below 3350c. slipped and slid from there to 3250c, then dead at noon dove for the bottom, hitting 3088c. Thereafter it bobbed up, driven by short covering no doubt. Tis now trading at 3167c, and respectable crowds of buyers came in, driving up the premium on US 90% some.

Future for SILVER is not even as clear as that for GOLD, because she is so much more volatile than gold. This much is clear. Silver broke down through its uptrend line, and fell roughly from 3400 to 3100c. 3200c is smashed, so 3000c is the next support. Sure, it's possible silver could trade back to 2000c, but I don't think it will. 2800c maybe, even 2600c, but I can't see it lower.

As with GOLD, we have been waiting for this last "wash out the last of the weak hands" drop so if you don't take advantage of it, it's your fault. Yep, I know the smarmy saying about not trying to catch a falling knife, but these SILVER plunges take place so fast, and rebound so quickly, that knife comment awes me not. If you had bought silver on the last such plunge, at 2615c, you'd be sitting on nice gains today. Yes, silver will probably drop farther, but there's another saying that applies here: you snooze, you lose. You delay, it gets away.

NOW HEAR THIS: you are watching a normal and usual correction in an ongoing gold and silver bull market. This bull has years yet to run, and from here we are not looking for a double, but a quadruple or better.

Everybody who called today -- and a lot of people called today -- asked the same question, "What happened to gold and silver?"

Oddly enough, I don't know, other than to say that's what technical analysis is all about, drawing out support and trend lines so that you know that if a market dips or rises beyond a certain point, it will fall or rise suddenly much further.

I don't pay much mind to all the rumors and speculations. For me, the chart hides all that information inside itself.

But to make y'all happy, I went and looked, and felt like one of those goofy TV people who always wants a neat cause and effect to dish up to his naïve audience so they can go to bed thinking they know what's going on. Fact is, they don't know, and I don't know. Markets is people, therefore mysterious because humans are mysterious. Women are even more mysterious, if you're a man. In December I will have been married 44 years, and I still love my wife so much it's embarrassing, but she remains a mystery to me. Don't ever try to explain mystery.

Anyhow, I went and looked for news stories that might suggest some catalyst (not cause! Inflation and the bank solvency crisis are the ultimate cause!) for this drop. I looked at the US dollar index, but it was only up 27.9 basis points, which didn't seem to show any panicked flight into the dollar. Looked also at the US Treasury not 30 year yield which would have jumped up (bond would have risen) if bunches of people were buying bonds as a way to buy dollars. Nope, it sank a little today. And the euro didn't drop, but was flat. Since stocks, gold, and silver all fell, I reckon that the panic started in stocks, which were hovering above support at 11,950 already, and once they broke panic infected other markets as well.

Break in stocks came about noon, and in gold and silver, when they violated support levels.

In detail, it looked like this:

The Dow had support at 11,900 or so, dropped through that ans lost 134.86 points (1.13%) to close at 11,770.73. S&P500 lost 11.11 (1.52%) and closed at 1,216.13.

Let me explain: around that 11,900 lay the uptrend line, which was the bottom of an even- sided triangle. Those equivocal triangles can resolve with a breakout up or down. This one broke out down.

Back away from the chart a little. Look up above where the 200 dma stands at 11,975. Above, I said. Dow, locked in a BEAR (down) primary market, traded UP to the 200 day, barely pierced it, then fell back below it. If this were a Tarzan movie, you would not only hear the drums in the background, you would not only see the safari bearers throwing away their burdens and running off into the jungle, you would not only hear the lead bearer tell the Englishman, "Bad juju, bwana!" but you would also see the bearers disappearing feet first into the jungle as snares caught their feet and you would see poisoned arrows whizzing around the Englishman's head.

The stock safari is in big trouble, Tarzan has left the escarpment, and the Wazuzus are closing in, ready for supper.

US dollar index continues to rise. Last two days on the five day chart bears strongly the suspicious fingerprints of the Nice Government Men, stopping the market cold at 78.4. They won't be able to hold it there, and once it breaks thru twill run like a scalded dog. Already today it broke out upside from an even-sided triangle abuilding since 1 October. If we measure that triangle and guess that the dollar will move about the height of the triangle from the point where it breaks out, target works out to 83.12, a price not seen since August 2010.

Euro and the yen were flat today. Yen is trying to rise, euro is trying to sink beneath the waves to Davy Jones' locker.

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com

© 2011, 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 bubble has burst, primary trend down.

WARNING AND DISCLAIMER. Be advised and warned:

Do NOT use these commentaries to trade futures contracts. I don't intend them for that or write them with that short term trading outlook. I write them for long-term investors in physical metals. Take them as entertainment, but not as a timing service for futures.

NOR do I recommend investing in gold or silver Exchange Trade Funds (ETFs). Those are NOT physical metal and I fear one day one or another may go up in smoke. Unless you can breathe smoke, stay away. Call me paranoid, but the surviving rabbit is wary of traps.

NOR do I recommend trading futures options or other leveraged paper gold and silver products. These are not for the inexperienced.

NOR do I recommend buying gold and silver on margin or with debt.

What DO I recommend? Physical gold and silver coins and bars in your own hands.

One final warning: NEVER insert a 747 Jumbo Jet up your nose.



Wednesday, November 16, 2011

The Gold Price Closed at $1,773.80 Today Down 0.4%

Gold Price Close Today : 1,773.80
Change : -7.90 or -0.4%

Silver Price Close Today : 3381
Change : -63 or -1.9%

Platinum Price Close Today : 1,629.70
Change : -11.50 or -0.7%

Palladium Price Close Today : 654.35
Change : -12.60 or -1.9%

Gold Silver Ratio Today : 52.46
Change : 0.73 or 1.01%

Dow Industrial : 12,096.16
Change : 17.18 or 0.1%

US Dollar Index : 77.95
Change : 0.47 or 0.6%

Franklin Sanders has not published any commentary today, if he publishes commentary later today it will be published here.

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com

© 2011, 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 bubble has burst, primary trend down.

WARNING AND DISCLAIMER. Be advised and warned:

Do NOT use these commentaries to trade futures contracts. I don't intend them for that or write them with that short term trading outlook. I write them for long-term investors in physical metals. Take them as entertainment, but not as a timing service for futures.

NOR do I recommend investing in gold or silver Exchange Trade Funds (ETFs). Those are NOT physical metal and I fear one day one or another may go up in smoke. Unless you can breathe smoke, stay away. Call me paranoid, but the surviving rabbit is wary of traps.

NOR do I recommend trading futures options or other leveraged paper gold and silver products. These are not for the inexperienced.

NOR do I recommend buying gold and silver on margin or with debt.

What DO I recommend? Physical gold and silver coins and bars in your own hands.

One final warning: NEVER insert a 747 Jumbo Jet up your nose.



Tuesday, November 15, 2011

If Gold Price Closes Over $1,800 Two Days Running, Don't Wait Buy Fistfuls

Gold Price Close Today : 1781.70
Change : 3.90 or 0.2%

Silver Price Close Today : 3444.8
Change : 43.5 cents or 1.3%

Gold Silver Ratio Today : 51.721
Change : -0.547 or -1.0%

Silver Gold Ratio Today : 0.01933
Change : 0.000202 or 1.1%

Platinum Price Close Today : 1639.70
Change : -4.70 or -0.3%

Palladium Price Close Today : 665.25
Change : 0.35 or 0.1%

S&P 500 : 1,257.81
Change : 6.03 or 0.5%

Dow In GOLD$ : $140.34
Change : $ (0.09) or -0.1%

Dow in GOLD oz : 6.789
Change : -0.005 or -0.1%

Dow in SILVER oz : 351.14
Change : -3.99 or -1.1%

Dow Industrial : 12,096.16
Change : 17.18 or 0.1%

US Dollar Index : 77,843.00
Change : -0.279 or 0.0%

The GOLD PRICE revealed almost nothing today, although it did rise $3.90 to close Comex at $1,781.70. Range was $1,785.38 to $1,7650.28, so I reckon that close qualifies as a successful defense of $1,775 support. The issue remains in doubt, and will only be clarified by (1) gold closing above $1,800 for two days, or (2) gold dropping below $1,775 - $1,750.

With every fiat currency in the world on the run, why would I question buying gold, and never mind the little downside risk? I don't know. Maybe I'm letting the best become the enemy of the good. This much is sure: if the GOLD PRICE closes over $1,800 two days running, stop waiting and buy fistfuls.

The SILVER PRICE kept her cards close to her chest today. High came at 3479, low at 3370c. Comex silver gained 43.5c to end at 3444.8c. This keeps the SILVER PRICE within the uptrend line, barely, and above the 3369c 20 dma. Whoa! But look up there at 3442c and 3670! That's the 50 dma and 200 dma. Silver speaks with forkéd tongue, and I'm not sure which fork to listen to.

Once again, we are left looking at a range, waiting for a breakout up or down. Below silver must hold 3380c, above it must clear 3480c. Till then, we are simply waiting.

For those who missed the correction, I repeat here that yesterday's commentary omitted one critical element. It should have read, "If back earlier this year you swapped out of silver into gold AT ANY REALIZED GOLD/ SILVER RATIO OF 38:1 OR LOWER . . ." If your realized ratio was higher than 38:1, you can check with us about swapping now, but your realized gain in ounces would be less.

This recommendation hath but one purpose and cause: taking money off the table. Anytime you can realize a 37% profit, you ought to do it.

I apologize for the confusion. Most of the time I run around here like a cat with his tail on fire, so I'm doing good not to make more mistakes.

I wonder why platinum and palladium both are stalled in their uptrends. 'Tain't comforting.

Markets offered no concrete resolution today, just hovering around tops of recent ranges. I keep wondering (unsophisticated, natural born durn'd fool that I am) whether anybody has noticed that the European bank solvency crisis still has not been fixed, not even by installing these latest two bank-owned fixer shills in Italy and Greece. Should that crisis come unglued, it will take the EU and the euro with it. I'm not predicting, just counting the possible costs.

STOCKS dithered, sinking as low as 11,993 by noon, then rising above unchanged to close at a measly 17.18 (0.48%) gain, 12,096.16. S&P500 showed a little more spunk, up 6.03 or 1.62%, but spunk without muscle is just feckless braggadocio.

Dow is building (end-October till now) an even-side triangle which gives little clue which way it will resolve. Course, I could be reading it wrong and that could be a kiss-o'-death rising wedge I see. Either way, the upside hope is both limited and quixotic, and the downside expectation as sure as misplacing your car keys when you're in a dead rush.

I reckon most everybody is as prejudiced against the sorry US dollar as I am, so none of us expect anything. That's just a perfect set-up for a bad surprise, and one reason I've kept on saying a dollar rally is likely, fundamentals notwithstanding.

Today the dollar rose 27.9 basis points (0.36%) to 77.843, building on yesterday's surge and shoving the dollar to the top of its five-day range. A push through 78.20 will send the bears loping for their dens. Dollar would have to close below 76.50 to dash my hopes of a rally.

Don't misunderstand. I'm not looking for a rally because the dollar is strong or well-managed. It's not. It's sorry as gully dirt, but right now its not AS sorry as the euro, and the crisis there is sending the tired, the scared, and the terrorized fleeing into the buck.

Yeah, buddy, that euro really shone today. Dropped 0.75% to 1.3532. Gapped down, in fact, never a good sign. If y'all are planning a European vacation, wait a while to buy your euros. You'll probably be able to buy 'em under 1.2000.

The yen continues to climb into the gap it left behind when the Nice Government Men whacked it at end-October. Today it surmounted its 20 dma (129.60) to close at 129.74. That's about where it closed yesterday, but the 20 dma is dropping. Will climb till the NGM hit it again. Predictably enough in our world of illusion, the yen is intrinsically even sorrier than the US dollar, as worthless as a three-legged mule, but all the deluded view it as a safe haven. Looking at the yen makes me remember that at least on gully dirt you can grow kudzu.

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com

© 2011, 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 bubble has burst, primary trend down.

WARNING AND DISCLAIMER. Be advised and warned:

Do NOT use these commentaries to trade futures contracts. I don't intend them for that or write them with that short term trading outlook. I write them for long-term investors in physical metals. Take them as entertainment, but not as a timing service for futures.

NOR do I recommend investing in gold or silver Exchange Trade Funds (ETFs). Those are NOT physical metal and I fear one day one or another may go up in smoke. Unless you can breathe smoke, stay away. Call me paranoid, but the surviving rabbit is wary of traps.

NOR do I recommend trading futures options or other leveraged paper gold and silver products. These are not for the inexperienced.

NOR do I recommend buying gold and silver on margin or with debt.

What DO I recommend? Physical gold and silver coins and bars in your own hands.



Monday, November 14, 2011

The Gold Price Remains in an Uptrend Closing at $1,777.80

Gold Price Close Today : 1777.80
Change : (9.70) or -0.5%

Silver Price Close Today : 3401.3
Change : (65.8) cents or -1.9%

Gold Silver Ratio Today : 52.268
Change : 0.712 or 1.4%

Silver Gold Ratio Today : 0.01913
Change : -0.000264 or -1.4%

Platinum Price Close Today : 1644.40
Change : 1.20 or 0.1%

Palladium Price Close Today : 664.90
Change : 3.95 or 0.6%

S&P 500 : 1,251.91
Change : 11.94 or 1.0%

Dow In GOLD$ : $140.45
Change : $ (0.09) or -0.1%

Dow in GOLD oz : 6.794
Change : -0.004 or -0.1%

Dow in SILVER oz : 355.13
Change : 4.59 or 1.3%

Dow Industrial : 12,079.06
Change : -74.62 or -0.6%

US Dollar Index : 77.47
Change : 0.608 or 0.8%

The GOLD PRICE tripped $9.70 to close at $1,777.80 on Comex, but that painted no big break on the chart. All it did was return to that well-known $1,775 support, reserving its option to challenge $1,800 again this week. The five day chart shows gold touching $1,800 last Wednesday, and nearly touching it again this weekend. That could make a double top, but the GOLD PRICE has not tipped its hand yet. A trend in force remains in force until broken, and gold's uptrend hasn't been broken yet.

A break below $1,775 would hurt gold badly, pointing it toward a minimum $75 and possibly $100 drop (as low as $1,675). Danger of that happening would be annihilated by a two-day gold close above $1,800, and break gold out upside.

The SILVER PRICE is mimicking the GOLD PRICE, but with a bit less fervor. She has returned to that well known 3400c support/resistance, and the stakes here are high. Should the SILVER PRICE fall through 3400c, it steps off the top of the building into thin air. Today's range was 3478 - 3393c.

Most likely course is a downside break, since the SILVER PRICE has formed an ascending wedge which usually resolves by breaking out downside. That, however, could reverse in an instant with any slip by the Fixers in Europe. Markets are nervous as a banker in church.

Here's a message for gold-silver swappers. If back earlier this year you swapped out of silver into gold at any realized GOLD/SILVER RATIO of 38:1 or lower, you can now swap back into silver with an approximate 37% gain. I'd grab that. (If your spring swap realized a ratio higher than 38:1, your return will be reduced accordingly. Also, this will only work if you swap back into US 90% silver coin. Any other form of silver severely lowers your gain in ounces because they carry such high premiums).

Why do this now? Because a 37% profit in silver ounces is a 37% profit, plenty big enough to satisfy anybody for six months' investment.

This recommendation has nothing to do with short term expectations for silver or gold or stocks, but is based solely on (1) the rule to take profits timely and (2) the long term ratio trend, which is down.

Today's markets really didn't tell us very much. Stocks dropped a smidgen, along with SILVER and gold, while the euro fell and the dollar index rose. Still, everything remains in the old familiar trading ranges. Wait -- y'all don't think markets really have been fooled by those two Establishment front men installed to end all popular government in Italy and Greece, do y'all? As I always say, the Establishment has only two weapons, liquidity and blarney. Those two shills represent big booms from the Blarney Cannon.

To the facts! US dollar index rose 60.8 basis points or 0.78% to 77.471, a sizeable move. What accomplisheth this on the 5-day chart? Wednesday last week the $ index rose straight up from 76.6 to 78.0, peaked nearly 78.20 early Thursday, then fell into Friday's low about 76.8. It left behind a support level at 77.40.

Thus today's rise, clearing 77.40, contradicts all that downside last week, and points the dollar up again. As long as it advances tomorrow, 'twill be in rally mode.

Watching the Japanese yen is as embarrassing as accompanying your friend to his daughter's piano recital where you doesn't know the piece and thumbfingers her way through. Money has been fleeing Europe and some wanted to run into the yen, but the Japanese Nice Government Men couldn't allow that, because a higher yen chokes off Japanese imports, and Japan is nothing more than an island-factory exporting to live. At last they acted, and the yen dropped from 132c/Y100 to 127.50 in one day. But it was shortsighted, because they only punished those long Yen without giving them a reason not to buy yen again. The yen has since crept up to close 129.69 today, up 0.87% and above its 20 day moving average (129.62 today). Worse still, it has crept back above the downtrend line and the trading range above that, and is about to cross above the 50 dma (129.93).

All this isn't because the Yen is the prettiest currency around and everybody wants to dance with her. Rather, she just doesn't have quite as many warts as all the other girls.

The euro rose on Friday with the news that Fixers had been installed in Italy and Greece, but puked back all those gains today. Closed 1.3630, down 0.87%, and headed for 1.2000.

STOCKS today continued slowly the decline begun from Friday. That Friday peak itself is part of a double top about 12,175. Expectation remains -- unless gainsaid by a close above 12,175 -- that the Dow Jones Industrial Average will continue to sink.

Momentum is BARELY up since the Dow stands above its 200DMA (11,977), but not by much. May still see one last push up to 12,400 before it collapses, but sooner or later collapse it will.

Dow closed down 74.62 (0.61%) at 12,079.06. S&P 500 dropped more, 11.94 (0.94%), to 1,251.91.
News stories are surfacing again about counterfeit coins pouring counterfeit coins pouring out of China.

Remember that counterfeiters most often counterfeit coins that carry large premiums, so that out of an ounce of $,1800 gold they can produce 20 one-dollar coins that sell for $10,000 an ounce. That's another reason always to stick with low premium bullion type coins and eschew numismatic coins.

Besides, the weight and dimensions of bullion coins -- Austrian 100 coronas, Mexican 50 pesos, Krugerrands, American Eagles, Maple Leaves -- are all known, and simply by WEIGHING you will catch almost all counterfeits. You'll find a complete chart of weights for gold coins at http://the-moneychanger.com/images/coinweightsgross.xls

These counterfeit reports generate waves of hysteria in the market, when in fact counterfeit gold coins are generally a negligible problem. Of course, you ought always work with a reliable gold and silver dealer who has been in business for a long time -- like us. Remember that thirty years' experience might not mean much. Many dealers have 30 years' experience, but it's only one year's experience thirty times. Be careful, and count your change.

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com

© 2011, 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 bubble has burst, primary trend down.

WARNING AND DISCLAIMER. Be advised and warned:

Do NOT use these commentaries to trade futures contracts. I don't intend them for that or write them with that short term trading outlook. I write them for long-term investors in physical metals. Take them as entertainment, but not as a timing service for futures.

NOR do I recommend investing in gold or silver Exchange Trade Funds (ETFs). Those are NOT physical metal and I fear one day one or another may go up in smoke. Unless you can breathe smoke, stay away. Call me paranoid, but the surviving rabbit is wary of traps.

NOR do I recommend trading futures options or other leveraged paper gold and silver products. These are not for the inexperienced.

NOR do I recommend buying gold and silver on margin or with debt.

What DO I recommend? Physical gold and silver coins and bars in your own hands.

One final warning: NEVER insert a 747 Jumbo Jet up your nose.



Friday, November 11, 2011

The Gold Price Rose Again, Remember If Gold Closes Above $1,800 For Two Days Don't Wait Just Buy

Gold Price Close Today : 1,787.50
Gold Price Close 4-Nov : 1,755.30
Change : 32.20 or 1.8%

Silver Price Close Today : 3467.1
Silver Price Close 4-Nov : 3407
Change : 60.10 or 1.8%

Gold Silver Ratio Today : 51.556
Gold Silver Ratio 4-Nov : 51.520
Change : 0.04 or 0.1%

Silver Gold Ratio : 0.01940
Silver Gold Ratio 4-Nov : 0.01941
Change : -0.00001 or -0.1%

Dow in Gold Dollars : $ 140.54
Dow in Gold Dollars 4-Nov : $ 141.12
Change : $ (0.58) or -0.4%

Dow in Gold Ounces : 6.799
Dow in Gold Ounces 4-Nov : 6.827
Change : -0.03 or -0.4%

Dow in Silver Ounces : 350.52
Dow in Silver Ounces 4-Nov : 351.72
Change : -1.20 or -0.3%

Dow Industrial : 12,152.93
Dow Industrial 4-Nov : 11,983.24
Change : 169.69 or 1.4%

S&P 500 : 1,263.73
S&P 500 4-Nov : 1,258.23
Change : 5.50 or 0.4%

US Dollar Index : 76.906
US Dollar Index 4-Nov : 76.937
Change : -0.031 or 0.0%

Platinum Price Close Today : 1,643.20
Platinum Price Close 4-Nov : 1,633.50
Change : 9.70 or 0.6%

Palladium Price Close Today : 660.95
Palladium Price Close 4-Nov : 656.65
Change : 4.30 or 0.7%

The GOLD PRICE rose again, $28.60 or 1.6%, to close at $1,787.50. For the week it's up only 1.8%, after falling Wednesday and Thursday. Now the GOLD PRICE has come plumb back up to the real breaking point at $1,800. If gold can stay above that mark for two days, then plainly it is rallying again and y'all better buy it. A fall below $1,740 turns gold down.

I'm watching just like y'all. It can go either way. If those two fixers in Greece and Italy fail to fix, the euro crisis will erupt again and pull gold skyward. Watch out for that.

The SILVER PRICE worked out like gold this week, with highs Monday and Tuesday dropping off into Wednesday and a Thursday bottom. Once it climbed above 3400c again, it shot up today to a 3479.7c high. Comex SILVER PRICE kept most of that gain, closing up 57.6c at 3467.1c. Silver could rally to 3680c and still break down.

Silver's Death Cross. A so-called death cross occurs when the 50 day moving average crosses below the 200 day moving average. Actually, in stocks at least, the death cross isn't as deadly as most people think.

Certainly, the death cross turns the market's momentum down, but in silver it hasn't amounted to much during this bull market. Out of six death crosses, three began insignificant declines and one saw silver rise. In the last two cases (2007 and 2008) silver dropped 34 and 50 days respectively by 13% and 45%. There you have it, from the sublime to the ridiculous. Death cross MIGHT mean something, but probably not.

Market has nearly changed my mind and persuaded me NOT to expect another leg down in SILVER and GOLD. Remember this: if gold stays above $1,800 for two days, stop waiting and BUY.

Dollar index stayed flat, stocks edged up, as long as you ignore their performance during the week. Most markets remained range bound but terrorized by the European bank solvency crisis.

Y'all ponder a moment Mr. Lucas Papadimos called in to fix Greece. Note that he walks onstage only for an "interim" gig, to get the fix passed and then has promised to exit, stage left or right.

'Tis always instructive to look at fixers' backgrounds and connexions. From 1994 through 2002 he was governor of the Bank of Greece, and from 2002 to 2010 VP of the European Central Bank. Wait? Doesn't that mean that he was the Greek central bank head EXACTLY when the Greek government and Goldman Sachs were jimmying the books so Greece could pass the test and get into the euro? Did he object at the time, trained economist as he is? I forget.

Doesn't that also mean he was working at the ECB when he euro was beginning to unravel? Do y'all remember what solution he put forth?

Trained at the Massachusetts Institute of Technology, and taught economics at Columbia University. Whoops! Looky here: he was also senior economist at the Boston Federal Reserve in 1980. From 2002 to 2010 he worked with ECB head Jean-Claude Trichet, who fouled the euro's nest, did nothing to clean it up, then retired.

Whoa! What's this! What a coincidence! What a surprise! Since 1998 Papadimos has been a member of the Trilateral Commission. (What's that? A club that specializes in triangles? Trigonometry?) Creeping Conspiracy Theories! This fellow has enchufe -- connexions.

Friends, this natural born fool throws an eye over all that and the words "Establishment Fixer and Hatchetman" spring unbidden to mind. Is this the Judas goat who will lead Greece into slavery to the banks for the next 100 years? It's a fix, all right.

Shucks! Did I forget to mention the Italian fixer, Mario Monti? Economist, did graduate work at Yale, was a professor and chairman of a think-tank (where they put smart people into an oxygen-deprived tank to see what really stupid thoughts they come up with), and -- WHOOPS! I almost forgot to mention that he is European CHAIRMAN of the Trilateral Commission and a leading member of the Bilderberger Group. He tops off that foaming resume with stints as an international adviser to Goldman Sachs and The Coca-Cola Company. He is also a former European Commissioner for "Internal Market, Financial Services and Financial Integration, Customs, and Taxation." When he's not doing all that, he hobnobs with the likes of Jacques Delors and Daniel "Danny the Red" Cohn-Bendit in the Spinelli Group, founded to force further centralization on the European Union.

"Fix" doesn't adequately describe this one. Lawsy mercy! The cosmopolites are sending in the Big Guns. They're scared

One is tempted to conclude that this is all a "managed crisis," managed to murder the rest of EU member states sovereignty and independence. and to harvest their middle class. WHOA! Y'all don't tell anybody

I said that. They're liable to put me in Bilderberger Jail for telling off on them.

This is fun, but I need to talk about markets today.

US dollar index took a mysterious hit -- no Nice Government Men involved in that, I'm sure -- dropping 83.7 basis points or 1.08% to 76.906. That doesn't really damage anything, just carried the dollar back to 76.80 for a final kiss good-bye before it takes off rallying.

The Franken-currency, the euro, rose smartly today, up 1.05% (like the dollar fell 1.08%) to 1.3753. As yet that's a meaningless as a sidesaddle is to a hog. Still leaves the euro beneath the May-September trading channel, under the downtrend line, and under the 20 and 200 DMAs. Look for the euro at 1.2000.

Japanese yen rose 0.7% to 129.69c/Y100 (Y77.11/$1). Altho the NGM sliced its legs off last week, the yen has grown them back and today closed above its 20 DMA.

Stocks rose 2.18% today (259.14) to take the Dow to a 12,152.93 close. S&P500 ended at 1,263.73, up 24.03 (1.94%).

I'll just go on and admit that 5 day Dow chart presents me with a deep mystery. It looks kind of like an upside down head and shoulders reversal pattern, but usually a market posts that only after a decline, not at a peak. Whoops! That might make it a DOUBLE TOP instead, with peaks at 12,150 on Tuesday and Friday.

Misery, pain, wailing, moaning, and gnashing of teeth await stock investors. Flee while time remains!

Y'all enjoy your weekend!

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com

© 2011, 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 bubble has burst, primary trend down.

WARNING AND DISCLAIMER. Be advised and warned:

Do NOT use these commentaries to trade futures contracts. I don't intend them for that or write them with that short term trading outlook. I write them for long-term investors in physical metals. Take them as entertainment, but not as a timing service for futures.

NOR do I recommend investing in gold or silver Exchange Trade Funds (ETFs). Those are NOT physical metal and I fear one day one or another may go up in smoke. Unless you can breathe smoke, stay away. Call me paranoid, but the surviving rabbit is wary of traps.

NOR do I recommend trading futures options or other leveraged paper gold and silver products. These are not for the inexperienced.

NOR do I recommend buying gold and silver on margin or with debt.

What DO I recommend? Physical gold and silver coins and bars in your own hands.

One final warning: NEVER insert a 747 Jumbo Jet up your nose.



Thursday, November 10, 2011

The Gold Price "Must Hold" Support Is Now $1,740

Gold Price Close Today : 1758.90
Change : (32.00) or -1.8%

Silver Price Close Today : 3409.5
Change : (25.3) cents or -0.7%

Gold Silver Ratio Today : 51.588
Change : -0.552 or -1.1%

Silver Gold Ratio Today : 0.01938
Change : 0.000205 or 1.1%

Platinum Price Close Today : 1618.50
Change : -9.90 or -0.6%

Palladium Price Close Today : 649.40
Change : 4.40 or 0.7%

S&P 500 : 1,239.70
Change : 10.60 or 0.9%

Dow In GOLD$ : $139.79
Change : $ 3.81 or 2.8%

Dow in GOLD oz : 6.762
Change : 0.184 or 2.8%

Dow in SILVER oz : 348.84
Change : 5.85 or 1.7%

Dow Industrial : 11,893.86
Change : 112.69 or 1.0%

US Dollar Index : 77.60
Change : -0.326 or -0.4%

The GOLD PRICE lost $32 by time Comex closed it at $1,758.90 today, but it held on to that $1,750 after a low at $1,736.30. Good, but I reckon it will drop again tomorrow. Course, only a fool would say anything about gold right now, with all the world's NGM working to keep it down and a world wide financial blow up driving it up. Never mind, after all the smoke clears, the GOLD PRICE will still be headed higher.

$1,740 has now become the "must-hold" support.

The SILVER PRICE lost only 25.3c today to close Comex at 3409.5. Low came at 3322c, high at 3430c. GOLD SILVER RATIO actually fell today (silver was stronger than gold) to 51.588 from 52.140.

The SILVER PRICE has now worked itself into a position where it must hold about 3325, because there stands the 20 dma (3333c) and the rising trend line. Break that and it must fall a stout ways, maybe to 3000c. On the other hand (to sound like an economist) if silver can hold that line, the whole picture changes, and everything begins to look up.

Today's tale is quickly told. Same indecision holds sway in gold, stocks going nowhere (but dramatically), fiat currencies all sick, but the euro is sickest with the yen next.

I've been thinking about "innovation." I know that if you make automobiles, you've got to change the thing every year or people will stop buying it, no matter that it's all just a moveable sledge that takes you from one place to another and all that changing merely makes it more expensive and less reliable. Been thinking about "innovation" -- better word is "novelty" -- because I realize that I spend most of my time sending the same message, albeit in different words. There's a reason for that:

It's right. When it stops being right, I'll say something else. Till then, if y'all get bored with my saying pretty much the same thing, well, go listen to CNN or NPR or anybody on Wall Street who is always chasing novelty. To pick your pocket And let me know when they finally get it right. After all, I ain't nothing but a natural born durn'd fool from Tennessee.

US dollar index closed down 32.6 basis points (0.42%) to 77.60 but that don't mean spit in the wind. Clearly it has broken out through 77.4 resistance and will move higher. Clearly the euro (closed 1.3604, up 0.44%) has a future at vastly lower price, around 120, and just as clearly the Japanese Nice Government Men are fighting like hyenas to keep the yen from appreciating as money tsunamis out of the euro looking for a refuge.

Europe continues to dither. Rumors now about breaking the euro up into tiers of countries. Germany is the go-wheel in everything, with most to lose if the euro become the defuncto. After all, the EU and the euro has brought Germany what 300 years of war could not. Beginning to look like a "managed crisis", although I am certainly not making Germany the Bad Boy in all this. The managers are cosmopolites, louyal to no nation and no interest but their own.

Dow rose 112.92 points or 0.96% to 11,893.86 but remains beneath its 200 dma (11,975). S&P rose 10.6 (0.86%) to 1,239.70.

Stocks: better'n burning up $1,000 bills with a match!

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com

© 2011, 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 bubble has burst, primary trend down.

WARNING AND DISCLAIMER. Be advised and warned:

Do NOT use these commentaries to trade futures contracts. I don't intend them for that or write them with that short term trading outlook. I write them for long-term investors in physical metals. Take them as entertainment, but not as a timing service for futures.

NOR do I recommend investing in gold or silver Exchange Trade Funds (ETFs). Those are NOT physical metal and I fear one day one or another may go up in smoke. Unless you can breathe smoke, stay away. Call me paranoid, but the surviving rabbit is wary of traps.

NOR do I recommend trading futures options or other leveraged paper gold and silver products. These are not for the inexperienced.

NOR do I recommend buying gold and silver on margin or with debt.

What DO I recommend? Physical gold and silver coins and bars in your own hands.

One final warning: NEVER insert a 747 Jumbo Jet up your nose.