Tuesday, November 20, 2012

The Gold Price Lost $10.80 Today Support for Gold and Silver Remains Intact and Unchallenged

Gold Price Close Today : 1723.20
Change : -10.80 or -0.62%

Silver Price Close Today : 32.923
Change : -0.258 or -0.78%

Gold Silver Ratio Today : 52.340
Change : 0.081 or 0.16%

Silver Gold Ratio Today : 0.01911
Change : -0.000030 or -0.16%

Platinum Price Close Today : 1570.50
Change : -10.50 or -0.66%

Palladium Price Close Today : 637.75
Change : -6.85 or -1.06%

S&P 500 : 1,387.81
Change : 0.92 or 0.07%

Dow In GOLD$ : $153.41
Change : $ 0.88 or 0.58%

Dow in GOLD oz : 7.421
Change : 0.043 or 0.58%

Dow in SILVER oz : 388.44
Change : 2.80 or 0.72%

Dow Industrial : 12,788.51
Change : -7.45 or -0.06%

US Dollar Index : 80.89
Change : 0.038 or 0.05%

The silver and GOLD PRICE backed off a little today, probably because all them pointy-toed shoe wearing New York traders flattened their positions before the long weekend. While the cat's away, the rats come out. A thin market tomorrow and Friday gives the few floor traders present -- and the Nice Government Men at a distance -- room to try to frighten the lily-livered by shaking down the silver and gold markets. Don't matter, that old dog won't hunt.

The GOLD PRICE today lost $10.80 to plump back on the $1,725 - 1,720 support. The SILVER PRICE closed down 23.8 cents at 3292.3c.

Plumb suspicious that in the aftermarket gold is trading $4 higher and silver 23.2 cents higher. Makes a wild-eyed paranoid conspiracy theorist like me wonder if they didn't paint the tape on the close. (Whoops! I wasn't supposed to let that slip out, no more'n I'm supposed to tell the truth about the yankee government.)

None of that matters. Support for gold and silver remains intact, indeed, unchallenged. Gold could drop as low as $1,705 and silver to 3180c before any question would poke up its head. Lows today were $1,722.20 and 3266c.

No whit of my outlook changed today. A monstrous, colossal rally in silver and gold hath begun that will endure two years or more. Buy, and use any decline to buy more.

And if that ain't right, complain to Ben Bernanke.

Here's what I like about doing business with the yankee government: they change the rules on you whenever they like, and are always happy to stab you in the back without shame or apology.

We send out lots of insured packages through the postal monopoly, USPS, nor is this an inexpensive service. They lost a package valued at $1,000, but before our claim was processed, they sua sponte changed the rules: we will no longer pay insured mail claims against silver, gold, or currency. We found out when we got a check for $16.95, which was, you guessed it, the postage on the package. They kept our thousand bucks.

That's another reason I keep on telling y'all that it makes no sense to belong to any partnership with the yankee government, like an IRA. Give ear: Ownership has two parts, Title and Control. In your IRA-government partnership, you have Title (a legal claim) while the yankee government has Control (possession). It's like lunchtime in California when you own Title to a Big Mac, but it's stored in New Jersey.

What will you do when the yankee government changes the rules and says the only thing your IRA can buy is US gummit bonds? They got you, and your money.

Me, if I own a Big Mac, I'm sure gonna take delivery, at the window, soon as I put my money down.

But mercy! What do I know? I'm just a natural born fool from Tennessee where people are so ignerunt and ole-fashioned they still keep their word and even expect other folks to as well. Most of us have a hand-shake stronger and surer than any contract any lawyer living or dead ever devised.

Currencies: US$1 = Y81.69=E0.7802=0.03037 oz silver= 0.00058 oz. gold.

US dollar index vacillated up and down today, but right now is trading 3.5 basis points higher than yesterday, although it's been lower. Just looks like its stubbornly resisting any further decline. Fell yesterday to near the bottom channel boundary, and near the 200 DMA (80.72), but hasn't penetrated them yet.

Yen took another tumble today, down 0.36% to Y122.42, and looks like the Nice Government Men have pushed it off the cliff again.

Euro rallied 0.26%, second day running, to $1.2817. Sitting plumb on the 200 DMA. Might rally further, though WHY will remain a mystery as deep to me as the purpose of ballet.

You won't catch me bad-mouthing stocks today because they were a bit tired and confused. Some indices rose, some fell. Dow lost 7.45 to 12,788.51, while the S&P500 added 0.92 to 1,387.81. Dow must continue to climb or risk judgment that yesterday's rally was a fluke.

Use any rally as a heaven-sent opportunity to sell stock and put the proceeds into silver and gold.

I'm going to be celebrating Thanksgiving by -- oddly enough -- giving hearty thanks and praise to God for blessings greater than I can carry home and more than I can possibly count. Thus I will not be sending y'all a commentary on Wednesday or Friday. God willing, I will return on Monday, 26 November, cantankerous, stubborn, suspicious, narrow-minded, and laughing laughing hard as ever. Y'all enjoy your holiday.

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

- Franklin Sanders, The Moneychanger
10:00am-5:00pm CST, Monday-Friday

© 2012, 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. No, I don't.