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Friday, June 29, 2012

The Gold Price Rallied Through Two Resistance Levels with Plenty of Room to Move Higher

Gold Price Close Today : 1,603.50
Gold Price Close 22-Jun : 1,571.20
Change : 32.30 or 2.1%

Silver Price Close Today : 2758
Silver Price Close 22-Jun : 2682
Change : 76.00 or 2.8%

Gold Silver Ratio Today : 58.140
Gold Silver Ratio 22-Jun : 58.583
Change : -0.44 or -0.8%

Silver Gold Ratio : 0.01720
Silver Gold Ratio 22-Jun : 0.01707
Change : 0.00013 or 0.8%

Dow in Gold Dollars : $ 166.05
Dow in Gold Dollars 22-Jun : $ 166.39
Change : $ (0.34) or -0.2%

Dow in Gold Ounces : 8.032
Dow in Gold Ounces 22-Jun : 8.049
Change : -0.02 or -0.2%

Dow in Silver Ounces : 467.01
Dow in Silver Ounces 22-Jun : 471.54
Change : -4.53 or -1.0%

Dow Industrial : 12,880.09
Dow Industrial 22-Jun : 12,646.78
Change : 233.31 or 1.8%

S&P 500 : 1,362.16
S&P 500 22-Jun : 1,335.02
Change : 27.14 or 2.0%

US Dollar Index : 81.627
US Dollar Index 22-Jun : 82.256
Change : -0.629 or -0.8%

Platinum Price Close Today : 1,449.10
Platinum Price Close 22-Jun : 1,427.45
Change : 21.65 or 1.5%

Palladium Price Close Today : 583.05
Palladium Price Close 22-Jun : 610.50
Change : -27.45 or -4.5%

Last Friday I wrote,

" Long and short is this: If the
GOLD PRICE doesn't hold $1,525 and silver 2615c, they will drop much further, as low as $1,450 and 2250c."

Yesterday's GOLD PRICE low came at $1,547 and silver's at 2612c. Today gold closed up $53.80 [sic] at $1,603.50 and silver at 2758c, up 133.3c. Those were huge moves, but don't miss this: they took gold through two resistance levels and silver over 2750c.

This merely takes GOLD to the middle of its Bollinger bands, so there's plenty of room to run to the upper boundary at $1,645.01. Gold also closed above its 50 dma ($1,602.51), and within an easy sprint of the 200 DMA $1,666.78. RSI turned up, along with MACD.

Today's rally was real, as real as an apple pie hitting you in the face. And it will slow down, but that confirms and proves the preceding lows as much as you could ask.

But never forget that markets have to keep on confirming themselves. Gold might fall back to $1,590, but shouldn't close there. It must keep on advancing, say, next week through $1,625.

The SILVER PRICE close above 2750c resistance is today's most welcome news. It nearly reached its 20 DMA (2803c), and other indicators have turned up. Has plenty of room to run on the upside without becoming overbought (like stocks, for instance).

Much as I can tell, that's it for the declines. The SILVER and GOLD PRICE may not run away upside from here, may spend time grinding slowly higher, but that should put the end to these "bottom gonna drop out" scares.

Whole world's crazy as a Betsy bug. The euro, stocks, silver and gold exploded upward today on news that the Europeans are going to bail out their banks DIRECTLY (think the US TARP bailout) rather than giving the money to sovereign governments so they could pay it to the banks. Only trouble is, nobody knows where the money will come from. Let's see, Spain is going to contribute to the fund to bail out Spanish banks? This is financial perpetual motion at its delusional best. Oh, and the greater centralization is there, too, with some euro banking control agency. Well, it's a party today but when the liquor runs out and the headaches and puking begin, they'll stop celebrating . That should come next week some time.

Here's why I don't believe this latest fix -- I've lost count how many "at last" fixes there have been for Europe -- can possibly work. It is a complicated mathematical answer, but bear with me and pull out your calculus manuals: there is not enough money in Europe to bail out the banks. Shoot, there ain't enough money in the world to bail out European governments and banks. But y'all believe what you want. I ain't nothing but a nacheral born fool from Tennessee anyway, so ignerant and unsophistercated I still believe the addition and subtraction tables. So what will they do? They will inflate, like I've been telling y'all so long, and they will send silver and gold rocketing into Outer Space.

STOCKS investors believe that inflation will be good for stocks. They may also believe in fairy dust and Tinkerbelle, for all I know, but they'll sure enough find out. Dow rose 277.38 (2.2%) to 12,880.09. S&P 500 rose a little more, 2.5% (33.12) to 1,362.16.

Technically, the S&P500 could -- and nearly has -- rallied to the HandS neckline it fractured in May, about $1,375. Today took it above the 50 DMA (1,340.21). Shoot, if enough of them pointy-toe-shoe Wall Streeters get hyped up on White Powder, they may take it to 1,400. Outcome will still be tragic, taking millions of unsuspecting Main Streeters to the cleaners later this summer. Dow is in a similar fix, and today slung it nearly to the top Bollinger Band (12,967.24). Don't get no better than that.

If I had to say, Old Ben the Bandit wanted to give the markets a goose for his European accomplices in global crime, so he slapped the dollar, knowing that HUGE short position in the euro was ready to be panicked, driving up the euro. Also, that move would give the latest European "fix" more believability in the gullible's eyes.

Dollar index sank like a lump in a churn today. Overnight it broke 82.60 then plunged straight -- I mean "straight like dropping a stiff corpse over a high cliff" -- bounced once, then plunged to its low (81.43) about 9:00, with ne'er a friend to help. That hurteth the weekly chart not a bit, but the shorter term looks right sick. Last low, and coincidentally the 50 DMA (81.21), was 81.16. If the dollar passes that mark it confirms a downtrend and nixes a rally.

Y'all, this ain't nacheral. US Dollar Index lost 107.1 basis points (1.38%), a Seven League Boots move. Yen lost, too, 0.43% to 125.32/Y100 (Y79.8/US$1). Euro was the big gainer, up 1.83% at $1.2665. That takes it up through 1.2624 resistance, but overhead about 1.2725 loometh the downtrend line. Will most likely rally a while, just to work off that Brobdingnagian short position, but still ain't worth no more than a toupee hairpiece in a tornado.

Just a couple of reminders, friends. Less than $1,000 per head of currency circulates in the USA. Best way to avoid a bar fight is to leave the bar before it breaks out., Same thing holds for bank runs: leave the bank -- take out money -- before it starts. Better get used to keeping your excess funds in gold coin you hold, rather than bank accounts held by thieves, fools, and knaves.

On the Supreme Court's puerile approval of forced medical insurance in Obamacare, here's a axiom for y'all to digest. Whenever government messes in a market, three things inevitably happen, no exceptions:

1. It reduces quantity (availability)

2. It lowers quality

3. It raises price.

I spent all day with my wife Susan in Nashville at Vanderbilt Clinic. She's going to have to have a mitral valve replacement and tricuspid valve repair on 3 July 2012. I humbly ask for you to pray that she would have a successful surgery, that all those who help her would have wisdom, skill, insight, and alertness, and that she might have a speedy recovery. Pray also that I would take it all with hope, calmly, patiently, and with good grace. Hard to watch somebody you have loved for 45 years in pain.

Y'all enjoy your weekend!

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com
1-888-218-9226
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.



Thursday, June 28, 2012

The Gold Price and Silver Price Down but Primary Trend is Still Upwards

Gold Price Close Today : 1549.70
Change : -27.90 or -1.77%

Silver Price Close Today : 2624.70
Change : -69.5 or -2.58%

Gold Silver Ratio Today : 59.043
Change : 0.488 or 0.83%

Silver Gold Ratio Today : 0.01694
Change : -0.000141 or -0.83%

Platinum Price Close Today : 1386.40
Change : -23.40 or -1.66%

Palladium Price Close Today : 562.40
Change : -15.35 or -2.66%

S&P 500 : 132,904.00
Change : -2.81 or 0.00%

Dow In GOLD$ : $168.10
Change : $ 2.67 or 1.61%

Dow in GOLD oz : 8.132
Change : 0.129 or 1.61%

Dow in SILVER oz : 480.14
Change : 11.47 or 2.45%

Dow Industrial : 12,602.26
Change : -24.75 or -0.20%

US Dollar Index : 82.72
Change : 0.169 or 0.20%

Today the
GOLD PRICE closed beneath my $1,558 boundary, which argues it will drop at least to $1,532, the last low, or $1,526, or if that doesn't hold, $1,475. I'll talk about arguments on the other side in a moment.

The GOLD PRICE lost $27.90 to close Comex at $1,549.70. Gold began dropping about 9:00 a.m. at $1,565 and steadily and steadily lost ground until 11:00. Couldn't mount any sort of rally, through, and by 1:00 had hit a low at $1,547.

How much breaking a support line is enough? Well, enough. Gold's fall today was probably enough to carry it lower, but I'm getting my back up just a little. I don't expect much downward follow-through or a new, post-Dec-2011 low because this gold correction has lasted 44 weeks already. Last one (2008 - 2009) needed 46-1/2 weeks to correct from break to low to exceeding the last peak. That argues that the present drop won't carry very far or last very long, but I wouldn't swing over hell using that for a rope.

The SILVER PRICE lost 9.5 cents to end Comex at 2624.7c.

SILVER closed below the 2641 line in the sand I've been drawing, so I have to expect lower prices. Today's low was 2612, which matches the Feb., September, and December 2011 lows. More times a market knocks on a door, more likely that door is to open, so there's a good chance that 2615 support will give way and send silver skidding to 2250c. On the same side is the higher GOLD/SILVER RATIO today at 59.043.

On the opposite hand stands the strong and rising premium on US 90% silver coin, and the usually reliable relation of silver's price to its 300 day moving average. Only time in the last 11 years it has been lower was at the dark pit of fall 2008. And silver has been correcting now for 60 weeks. In 2008-2010 it took silver 97 weeks to exceed the previous peak, but it had bottomed long, long before that.

Long and short is that the bias for gold and silver now, as opposed to their wild peaks many months ago, is upward, not down. This bounding along bottoms can grind on a long and vexing time, but September will come at last. Bull market is intact. Be calm and watch.

Night before last I heard this headline on the radio, "Barclay's bank rigged interest rates," and I laughed out loud. EVERY central bank does this EVERY day. But since I'm only a natural born fool from Tennessee, I can't understand why, when the central bank rigs interest rates, are they a public benefactor, but when private banks do, they're crooks? I reckon you have to be a banker to understand the difference.

And here's the best laugh of all: UK Telegraph reported that Lord Oakeshott, some politician, said, "If [Barclay CEO] Bob Diamond had a scintilla of shame, he would resign." How true! He has besmirched the good name of the whole brothel!

Mourn, Beloved, mourn for your freedom and your country! The supreme court's decision today that the US congress can FORCE you to enter a contract of insurance deprives you of whatever freedom you might have had left. If insurance, why not anything else they decide you "need"? That they did it under the lying cover of a "tax" aggravates the tyranny, it doesn't excuse it. Mourn, Beloved, mourn!

One thing about it: the Supreme Court's rotten decision makes secession look even better today than it did yesterday, and it looked plumb perfect yesterday.

Whatever else you can say about the supremes' decision, the stock market didn't cotton to it. Dow lost 24.75 (0.2%) to 12,602.26, but looked much worse than that at lower prices all day until "a Friend" (a.k.a. Nice Government Men) rushed in to buy it higher. S&P lost 0.21% (2.81) to 1,329.04. Stocks will drop 800 points from here before July ends.

With the customary irrationality we have grown to expect from central-bank-run markets, the US dollar index today gained 16.9 basis points (0.22%) to 82.718, although today's supreme's decision guarantees that the yankee government must spend billions and trillions more, which they can only do by borrowing it, which can only be accommodated by the Fed printing money.

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com
1-888-218-9226
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.



Tuesday, June 26, 2012

The Gold Price Still Must Hold $1,558 and Silver 2641c

Gold Price Close Today : 1574.00
Change : -13.50 or -0.85%

Silver Price Close Today : 2703
Change : -48.2 or -1.75%

Gold Silver Ratio Today : 58.214
Change : 0.529 or 0.92%

Silver Gold Ratio Today : 0.01718
Change : -0.000158 or -0.91%

Platinum Price Close Today : 1426.80
Change : -12.60 or -0.88%

Palladium Price Close Today : 592.65
Change : -13.55 or -2.24%

S&P 500 : 1,320.10
Change : 6.29 or 0.48%

Dow In GOLD$ : $164.62
Change : $ 1.84 or 1.13%

Dow in GOLD oz : 7.964
Change : 0.089 or 1.13%

Dow in SILVER oz : 463.60
Change : 9.29 or 2.05%

Dow Industrial : 12,534.90
Change : 32.24 or 0.26%

US Dollar Index : 82.36
Change : -0.089 or -0.11%

'Twas a near thing for the silver and
GOLD PRICE today, but it pulled out. I said yesterday gold must not close below $1,558 nor silver below 2641 cents. Lo, I watched as gold worked its way from a $1,583.55 open down to $1,667.60 just before 11:00 a.m. Gold clambered up out of that hole, and didn't sink below $1,570 again. For about 15 minutes there I couldn't keep my eyes off the screen. On Comex gold lost 13.50 and closed $1,574. This works. Day after a strong advance (+21.50 yesterday) a market often gives back quite a bit. But I am still watching that $1,558.

The SILVER PRICE chart mimicked gold's, falling from the open to a 2679.8 low just after 11:00 a.m. Never dipped below 2700c after that, and closed Comex 48.2c lower at 2703.8c.

Line in the sand left on today's chart -- and where the fight will take place tomorrow -- is 2720c. After that silver needs to better yesterday's close and punch through 2750c.

We are now in the middle of silver and gold's seasonal low window, which can fall from mid-June to mid-August, but more narrowly in June or July. The GOLD PRICE still must hold $1,558 and the SILVER PRICE 2641. Watch 'em.

Longer I hang round, the nuttier things get. Today Cyprus (a tee-tiny EU member, pop. 801,851, smaller than metro Memphis) told the EU they, too, need a bailout, and it may equal $12.5 billion, half the size of their economy. (I'm thinking about telling the EU that I need a bailout. I want $12 million, but I'll settle for $8 million. Okay, $6 in a pinch.)

More than that, the EU ministers are meeting in their 19th summit in the last couple of years. I told y'all this move was coming: more centralization. This new grand plan proposes the eurozone have its own finance minister, and that the member states give control over their budgets to some central authority and share responsibility for their debt.

WHOA! This is like you buying a $60 bottle of single malt Scotch, which you eke out to yourself a spoonful a week, and being ordered to share it with your brother-in-law, who drinks a quart of vodka every morning. Somebody's gonna get cheated in this deal.

Mercy! Y'all think I make this stuff up, don't you? I've been telling y'all for a long time that there are no adults in the building. Been gone for years.

US dollar index gave back a little today, losing 8.9 basis points (0.11%) to 82.361. It's okay, it cleared its 20 day moving average (DMA, now 82.31) yesterday, and floated above it today. Headed higher unless Big Ben the Criminal gets scared or needs to do his euro buddies a favor.

Yen surprised me today by advancing a teench (0.24%) to 125.83c/Y100 (Y79.47/US$1) and the 50 DMA (125.32). Remains in a downtrend with lower highs and lower lows, so needs to close above 128.77c to reverse the downtrend. When pigs fly.

Wow, here's some news: euro fell again today. Well, at least it was only 0.4% to $1.2495, but it stands below all its moving averages, RSI is headed down, MACD looks to be rolling over earthward. $1.2000, here we come!

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com
1-888-218-9226
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.



Monday, June 25, 2012

The Gold Price Needs to Climb Above $1,630 and then Above $1,656.50

Gold Price Close Today : 1587.50
Change : 21.50 or 1.37%

Silver Price Close Today : 2752.0
Change : 85.9 or 3.22%

Gold Silver Ratio Today : 57.685
Change : -1.052 or -1.79%

Silver Gold Ratio Today : 0.01734
Change : 0.000311 or 1.82%

Platinum Price Close Today : 1439.40
Change : -28.20 or -1.92%

Palladium Price Close Today : 606.20
Change : -10.95 or -1.77%

S&P 500 : 1,313.72
Change : -21.30 or -1.60%

Dow In GOLD$ : $162.80
Change : $ (4.04) or -2.42%

Dow in GOLD oz : 7.876
Change : -0.196 or -2.42%

Dow in SILVER oz : 454.31
Change : -19.82 or -4.18%

Dow Industrial : 12,502.66
Change : -138.12 or -1.09%

US Dollar Index : 82.49
Change : 0.234 or 0.28%

Today's silver and
GOLD PRICE market can be likened to September, October, November, and December 2008. Silver and gold plunged and plunged every day. In late October silver hit 880 cents, then rallied, then fell back to 879 cents on 13 November. Gold bottomed the same day, having lost 30% of its peak value. Silver lost 105% of the preceding gain. Looked like the end --- to those who grasped not that it was a BULL market. Silver and gold crept up into December, enough to begin confirming they were past danger.

The SILVER PRICE and GOLD PRICE have both tested the base of that declining triangle, gold 5 times, silver 4 times. More times support is tested, greater waxeth the likelihood it will break. If that support is pierced, silver plunges toward 2250c and gold toward $1,475, maybe $1,435. That's the REALITY.

Feels like December, 2008 to me, but then, it might be late October 2008, too. I have no crystal ball, but I believe the fight at support will be won or lost this week. Personally, I loaded up on Friday, but then, I'm a "plunger." My wife says you have to bet big to win big. Of course, some times you lose big, too.

Where are other witnesses or confirmations to watch for? The SILVER PRICE RSI did not make a new low when the price did -- bullish non-confirmation. Silver today gained 85.9 cents (3.22%)to close Comex at 2752c while gold gained $21.50 (1.37%) to end at $1,587.50, just below $1,590 resistance. Silver is knocking on 2750c resistance, just barely into it. GOLD/SILVER RATIO fell nearly fell nearly a full point, from 58.583 to 57.685. All those whisper -- whisper, they don't shout -- metals turned today.

Confirming a bottom silver needs to close above 2800c, then move rapidly above 2850c. Within a week or so after that, it ought to move through 2900c. Whether this marches rapidly or slowly grinds makes no difference, only that it steadily advances.

For the GOLD PRICE to confirm a bottom it needs to climb up and out of its present even-sided triangle (from a line connecting the lows from May through last week, and the highs from 1 May through 18 June). That requires a close above $1,630, with no telling fall-back. Fairly rapidly, afterwards, gold needs to climb above its 150 DMA (now 1,656.50).

It's a bull market. Most of the time, bull markets resolve to the upside. That's what makes them bull markets.

What will gainsay my upward outlook? Any gold close below $1,558 casts everything in doubt, a close below $1,532 shatters it. Silver must not close below 2641c, period.

There y'all go. Don't bother writing me asking for your money back. I never claimed to have a crystal ball, and I sure can't read the future. I'm just a "chart-whisperer."

Well, blast it all! I've gone MAINSTREAM! I'm so ashamed, and not a little suspicious.

My friend Catherine Fitts sent me this link to a CNBC Kudlow Report broadcast, http://www.youtube.com/watch?v=q1KnJbBJTE0 Here are not one but FOUR talking heads saying that we are all "slaves" to the central banks and that the stock market isn't driven by the economy but by central bank manipulation.

What are they up to, talking sense? Don't make no sense, coming from them.

They've shamelessly STOLEN the arguments I've been making for over 30 years. They must be desperate for ratings, stealing from a natural born fool from Tennessee.

Well, even a blind hog finds an acorn now and then. I wish 'em well, but even though they said nice things about gold -- think about THAT! -- they're only about 1/100th of the way there. Still think you can make money in stocks by outguessing the Fed. Haven't a clue silver exists in the same cosmos with themselves. Prob'ly wear them shiny, pointy Eyetalian shoes.

I wish 'em well, but they have no solution. Only workable solution is to build a real economy using real money right alongside the rotten one, so that when the rotten one falls, we'll still be chugging away, helping our neighbors and ourselves re-build.

Meanwhile in Argentina nervous savers withdrew US$522 million (in US paper dollars) last week. Seems they recall the last time government cheated them out of their savings in 2002 (never mind all the other times). To show you how desperately rotten the Argentine paper money is, next to it US dollars actually look good. Wonder why they don't just buy gold coins? Makes no sense, but maybe habit is hard to break.

All those talking heads have their work cut out for 'em this evenin', since both the US dollar AND gold rose, while stocks fell, all of which, according to the conventional guru-wisdom, ain't possible.

US dollar index rose 23.4 basis points (0.3%) to 82.49. Dollar was stymied by 82.60, but closed above its 20 day moving average (82.31), first sign of an upward turn. Looks now as if the whole move from 1 June's 83.54 high to 18 June's 81.16 amounted to nothing more than a 50% correction of the foregoing 1 May to 1 June rally.

In other words, the US dollar points higher. Considering the plights of the other bankrupt currencies and their bankrupt economies, that's no surprise. Dollar's ugly, sure, but has slightly fewer warts than the yen and euro.

After gapping down below its 50 DMA on Wednesday last, today the yen gapped up above its 50 DMA. You don't buy things like that. Market proverb says, "Gaps are always filled." That's all this amounts to, not a change of direction. Closed 125.53c/Y100 (Y79.66/US$1). Will drop further.

More I think about that sorry euro, that gapped down today, more I wonder if it won't drag the rest of the world down with it. Closed today at 1.2504, down 0.54%. 'Fore long, it'll hit 1.2000 unless the alchemists at the ECB learn how to transmute metals first.

Come now, ye prattlers! Where now is your "risk-on/risk-off" trading? Pray declare how the risk-off dollar rose while risk-on stocks fell and risk-on silver and gold rose?

Oh, y'all are so glad that you didn't own stocks today! Dow fell 138.12 points (1.09%) to 12,502.66. S&P500 hurt worse, losing 1.6% (21.3) to 1,313.72. Dow in gold dollars fell 1.94% to G$163.10 (7.89 oz), having left behind a blunt and unequivocal double top, child of confusion that has now found its way: down.

Looking back on the S&P's trajectory since it fell through the Head and Shoulders' neckline in early may, we mark that all the action in June was no more than a counter trend rally stopped cold at the 50 DMA -- didn't even reach back up to the neckline. Descent speeds up once it falls through 1,270 again.

Been thinking all weekend about those silver and gold charts: declining triangle adorns both. A declining triangle (falling to the right) generally breaks out to the downside, and potential for that is plentiful. However, against what backdrop playeth out this triangle? LO, against a BULL market.

Remember stocks from 1996 - 2000? Repeatedly formed BEARISH rising wedges, and against usual expectation broke out Upside time and again. Why? It was a BULL market, silly.

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com
1-888-218-9226
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.



Friday, June 22, 2012

The Gold Price Plunged a Horrific 3.4 Percent this Week Physical Demand is Huge

Gold Price Close Today : 1,571.20
Gold Price Close 15-Jun : 1,627.00
Change : -55.80 or -3.4%

Silver Price Close Today : 2682
Silver Price Close 15-Jun : 2873.4
Change : -191.40 or -6.7%

Gold Silver Ratio Today : 58.583
Gold Silver Ratio 15-Jun : 56.623
Change : 1.96 or 3.5%

Silver Gold Ratio : 0.01707
Silver Gold Ratio 15-Jun : 0.01766
Change : -0.00059 or -3.3%

Dow in Gold Dollars : $ 166.39
Dow in Gold Dollars 15-Jun : $ 162.21
Change : $ 4.18 or 2.6%

Dow in Gold Ounces : 8.049
Dow in Gold Ounces 15-Jun : 7.847
Change : 0.20 or 2.6%

Dow in Silver Ounces : 471.54
Dow in Silver Ounces 15-Jun : 444.32
Change : 27.22 or 6.1%

Dow Industrial : 12,646.78
Dow Industrial 15-Jun : 12,767.17
Change : -120.39 or -0.9%

S&P 500 : 1,335.02
S&P 500 15-Jun : 1,342.84
Change : -7.82 or -0.6%

US Dollar Index : 82.256
US Dollar Index 15-Jun : 81.547
Change : 0.709 or 0.9%

Platinum Price Close Today : 1,427.45
Platinum Price Close 15-Jun : 1,485.70
Change : -58.25 or -3.9%

Palladium Price Close Today : 610.50
Palladium Price Close 15-Jun : 629.10
Change : -18.60 or -3.0%

The
GOLD PRICE bounced today after plunging a horrifying 3.4% this week. Closed $1,571.20 today, up $6.70, but that sayeth little. The SILVER PRICE lost 1.3C to end at 2682c.

Long and short is this: If the GOLD PRICE doesn't hold $1,525 and silver 2615c, they will drop much further, as low as $1,450 and 2250c. You will know as they unfold next week, because if they intend to continue falling, Monday and Tuesday will be painful days. On the other hand, physical demand at these prices is huge. I nearly didn't write a commentary this evening because I am so washed out from trying to help all the callers. For silver and gold to fall much further, those buyers would have to disappear. However, if metals do fall, expect even more buyers to crawl out of their hiding places.

Nothing significant has changed for those who follow the primary trend. SILVER and GOLD are correcting. So what? They've been correcting since April 2011 and August 2011. Corrections can last up to 18 months. Stop panicking. Has the Federal Reserve stopped inflating? The rest of the world's central banks? Has common sense, honesty, and financial probity suddenly seized the world's leaders and shaken some backbone into them, like a terrier shaking a rat? Sorry, no. And as long as their idiocy, treason, and parasitism continues, silver and gold will remain in a primary trend, and we are following NOT the daily or weekly fluctuations, but the LONG TERM PRIMARY TREND which hath yet years to run.

Everything but the dollar took a beating this week when Moody's announced it was downgrading the credit of 15 megabanks. No, it makes no sense since every fractional reserve bank is always insolvent and these have been rotten since at least 2006 and everybody knows it and government has bailed them out time and again, but WHAT HO! Trouble with the banks! Markets slap themselves on the forehead as if they'd never imagined such a threat to financial stability.

Meanwhile in Europe, where widespread bank insolvency and national government bankruptcies loom, the eurocrats are cooking up yet another "solution" which bandaids about $700 bn onto a, say, $20 trillion problem. Right, that'll work like square wheels on a wagon.

Yet we live in a world where even lemmings, in sufficient numbers, can suffocate you, and we have to deal with it. So let's look at 'em one at a time.

STOCKS broke this week. A slim chance exists they might make one more rise, but that's like drawing to a royal flush when holding the Ace, Queen, Jack, and 10 of spades. Much more pain will follow in stocks. Today's bounce meant nothing.

US DOLLAR flattened today, losing a token 14 basis points to close at 82.256. Dollar has turned up again, which is wreaking havoc elsewhere. Nice Government Men can't want that dollar to appreciate so strongly against the Euro and yen, but what can they do? Well, following the usual pattern, something stupid. Very stupid. Count on that.

Euro lost 0.23% today to $1.2572. Headed to $1.2000 and lower. Yen suffered also, closed 124.35c/Y100, down 0.20%. No strength there.

So calm down, throw a steak on the grill, pour yourself something soothing to drink, and enjoy supper with your spouse and family. A hundred years from now you won't remember a bit of this anxiety.

Y'all enjoy your weekend!

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com
1-888-218-9226
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.



Thursday, June 21, 2012

Gold Price Lost $50.30 to Close Comex $1,564.50 Swap Gold for Silver Now

Gold Price Close Today : 1564.50
Change : -50.30 or -3.11%

Silver Price Close Today : 2683.30
Change : -155.0 or -5.46%

Gold Silver Ratio Today : 58.305
Change : 1.412 or 2.48%

Silver Gold Ratio Today : 0.01715
Change : -0.000426 or -2.42%

Platinum Price Close Today : 1437.10
Change : -28.20 or -1.92%

Palladium Price Close Today : 607.40
Change : -10.95 or -1.77%

S&P 500 : 1,325.51
Change : -30.18 or -2.23%

Dow In GOLD$ : $166.14
Change : $ 1.98 or 1.21%

Dow in GOLD oz : 8.037
Change : 0.096 or 1.21%

Dow in SILVER oz : 468.59
Change : 16.75 or 3.71%

Dow Industrial : 12,573.57
Change : -250.82 or -1.96%

US Dollar Index : 82.32
Change : 0.807 or 0.99%

The GOLD PRICE lost $50.30 today to close Comex at $1,564.50. Gold also began sinking at the open and kept it up all day. However, judging from our overloaded phone lines today, gold will find plenty of buyers down here.

Gold shattered its uptrend line from the May low. Last low was at 1,556.40 (intraday), so that is a possible stopping point. However, that strong support around $1,526 offers a backstop, too. Break that, and gold is facing $1,475 or $1,450. Brace yourself: MACD points downward. points downward, too.

Meanwhile, remember that great Texas oil man, H.L. Hunt, who said, "Never get really elated in victory; when times are tough, never get down." The GOLD PRICE will recover. Be patient, keep your eyes on the horizon, not the rocky path under your feet.

The SILVER PRICE lost a meaty 155 cents today to end at 2683.3, a 5.5% loss. Owch. Silver's chart looks pretty much like gold's steadily declining from the open until 1:30, then flattening out.

SILVER must now either hold 2625c or fall further, as low as 2250c. I'm inclined simply to shut my mouth and watch until it stops.

People call me and, trying to make a decision, ask what I think the market is doing. My best answer is that I've watched lots of investors, and the successful ones don't hesitate. They decide what price they are willing to pay and buy and take the consequences. Several years ago I found some notes from when gold has risen to $340. I was trying to figure out whether it would correct to $320 or $300. Mmmm. Would you buy gold at $340 today? From that perspective, that forty bucks doesn't amount to a hill of beans. Equivalent decline here from $1,600 would take gold to $1,386.70 (no, that is NOT my target, merely a comparison). We're buying silver and gold for the long run, for the BIG rise, and these little fluctuations, painful as they are, pass quickly.

GOLD/SILVER RATIO today rose above 58, so if you have been waiting to swap gold for silver, you'd better get cracking.

Clearly today knocked all my short-term optimism for the silver and gold on the head, but today's events go way deeper, and in fact strengthen my long term outlook for metals.

What happened? Proximate cause for falls of 5.5% in silver, 3.1% in gold, 2.2% in the S&P500, 2% in the Dow, and a 1% rise in the US dollar index was -- an announcement. Moody's rating service downgraded the credit of 15 banks, mostly metastatic ones like Credit Suisse, Morgan Stanley, Goldman Sachs, JP Morgan Chase, and Citigroup. Apparently -- get this, and stop snickering -- nobody out there knew that these big banks were having trouble, so the announcement came as a surprise. Have mercy.

Ask yourself: if an announcement of what everybody already knew can roil markets like that, how fragile are they?

The latest explanation du jour of market events is the "risk-on, risk-off" trade. Schizophrenic investors one day run to risky investments (stocks, gold) and then, affrighted by the crisis du jour, run back to [what they perceive as] less risky ones, like the US dollar and US treasury debt (I never said this would make sense, only that it's the explanation du jour).

Now attempt to unravel with me this knotty skein. Mega banks' credit rating downgraded, megabanks in trouble. Who bailed them out last time? Federal Reserve and US gummit. Who will bail them out this time? Federal Reserve and US gummit, because the banks own the Fed and the gummit. How will the Fed and the USG bail them out? By printing/loaning/ floating more dollars. What will this do to the dollar? Gut its value.

Whether this happens sooner or later, 'twill happen. Oh, and add thereto the virtual certainty that as the stock market plunges over the black cliffs of depression, taking the economy with it, the Fed and the US gummit will create even more dollars.

Y'all got the picture now? So, let me ask a question: would you -- personally -- rather own green pictures of famous Americans or certificates signed by the US gummit that promise to pay pictures of famous Americans, or would you rather own something real? Beans, goats, a Chevrolet, gold, silver, anything.

Or, you could just follow the crowd into its black panic, until the crowd reverses and runs the other way.

Moody's announcement came out in the afternoon, but somebody must have known because the dollar started climbing at 8:00 a.m. and never looked back. Time the doors were shut the US dollar index had gained 80.7 basis points (1.04%) to 82.316. Dollar bounced off that 81.16 low clean up to is 20 day moving average (82.31). Looks like a turnaround to the upside to me.

'Twas not a happy day for the yen and euro. Yen gapped down on its way to the ocean floor, jumping over its 50 dma (125.24) to lose 0.94% and end at 124.60c/Y100 (Y80.26/US$1). Euro slammed down through that 126.24 support resistance like it had two anvils tied to its feet, fell clean to the 20 DMA (1.2532), down 1.28%, and closed $1.2543. Most likely this begins another plunge, this one toward $1.2000 or lower.

Dow today lost 250.82 or 1.96% and closed at 12,573.57. S&P outdid the Dow by dropping 2.23% (30.18 points) to 1,325.51.

S&P500 will only confirm that it has turned down when it closes below 1,305, but today it fell through the neckline of that supposed upside down head and shoulders, which also is support/resistance from the January high. Should the Dow close tomorrow below today's close, it will have duplicated what the S&P500 did today. Possibility exists that stocks will recover and proceed higher, but that's the least likely outcome.

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com
1-888-218-9226
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.



Wednesday, June 20, 2012

The Gold Price Fell $7.40 to Close at $1,614.80 I Expect the Uptrend Line to Hold

Gold Price Close Today : 1614.80
Change : -7.40 or -0.46%

Silver Price Close Today : 2838.3
Change : -2.1 or -0.07%

Gold Silver Ratio Today : 56.893
Change : -0.218 or -0.38%

Silver Gold Ratio Today : 0.01758
Change : 0.000067 or 0.38%

Platinum Price Close Today : 1479.00
Change : -13.70 or -0.92%

Palladium Price Close Today : 628.25
Change : -9.90 or -1.55%

S&P 500 : 1,355.69
Change : -2.29 or -0.17%

Dow In GOLD$ : $164.17
Change : $ 0.60 or 0.37%

Dow in GOLD oz : 7.942
Change : 0.029 or 0.37%

Dow in SILVER oz : 451.83
Change : -0.12 or -0.03%

Dow Industrial : 12,824.39
Change : -12.94 or -0.10%

US Dollar Index : 81.38
Change : -0.570 or -0.70%

Today proved me wrong and right. A sharp, sudden decline came, but the $1,610
GOLD PRICE didn't hold, sort of, and it sort of did.

The GOLD PRICE closed at $1,614.80, down $7.40, but intraday it reached $1,591.50. Gold's chart today mirrors all the other bizarre charts today, including the dollar and stocks. It declined into 12:30, waiting for the FOMC's announcement, shot up on the announcement, wallowed in indecision, then gave up about $7 of a $30 climb. Central banks simply wreak havoc on markets.

The GOLD PRICE hit its 20 DMA ($1,598.83) but closed above that and above its 50 DMA ($1,613.8). Today gold nearly touched its uptrend line from the May low. Maybe that's the limit of the move, maybe it goes lower. I expect that uptrend line to hold, but my crystal ball is broken, so I will roll when it punches me. More I think about that euro and those European banks, the more I think about 2008. The more I think about 2008, the more I remember that although paper silver and gold dropped sharply, you couldn't get physical metal except at premiums 50% or more above market.

The more I think about all paper money and banks and central banks, the more gold and silver I want to own.

The SILVER PRICE dropped as low as 2775 cents but closed down only 2.1c at 2838.3c. Which way next?

Since its May trough, silver has formed an even-sided triangle and today touched the bottom boundary. Even- sided triangles don't tell you which way they will break out, up or down, only that they will break out soon. Upside that boundary stands about 2875c, below at 2775c. MACD wants to roll over downward, not an encouraging sign. Today's comeback, though was strong.

This sort of frustration and meaningless back and forth is liable to continue through July. However, I don't believe the downside risk is great here, and I think silver will hold its own, although may prove me a fool. But wait! That's all I claim to be anyway, a natural born fool from Tennessee, so I have nothing whatever to lose by voicing my opinion. This is great: when you ain't nobody, you ain't got nothing to lose! It's like a bank going bankrupt -- How could it? It's already insolvent!

Markets were thoroughly confused today. Long ago I gave up expecting any rational reaction out of markets, addicted as they are to government spending and "stimulus." Today the Federal Reserve Open Market Committee said it expects "to maintain a highly accommodative stance for monetary policy" keeping interest rates at "exceptionally low levels for the federal funds rate at least through late 2014." Plus the FOMC extended Operation Twist -- selling short term treasure debt and buying long term -- until year end. Supposedly this will drive down long term interest rates and increase lending. (All of which is grade B hogwash, as it will only further prolong the depression by preventing the market from adjusting with higher interest rates.)

Although the Fed handed stock investors the plum they were expecting -- more inflation, 'cause that's what a "highly accommodative monetary stance" means -- stocks spent most of the day underwater, barely poking their nose above the surface, only to sink again vigorously. S&P 500 and Dow dropped, other indices rose slightly. This may be the level where stocks stall, 1,405 S&P target notwithstanding.

Dow today lost 12.94 (0.1%) to close 12,824.39. S&P500 lost 2.29 (0.17%) and ended at 1,355.69.

STOCKS -- you can't get into the Poor House without 'em.

Currencies reacted a bit more logically to the FOMC announcement. US dollar index lost 57 basis points (0.69%) to end at 81.38. This changeth not the chart, since today's low struck about the same spot as yesterday's (81.16). It catches my eye that this is the 50% correction level of the rise from the May low to the 1 June high. Thus it becomes a candidate for a turnaround, since the dollar remains in an uptrend as long as it remains above 80.90. Don't short dollars for the short term.

The Yen threw down its cards today and fled the room. Dropped 0.73% to 125.76c/Y100 (Y79.52/US$1). It busted clean through its 20 DMA (126.35) and fell for the 50 DMA (125.22). One more down day establishes a down trend with two lower lows and a lower high.

The euro tried to make good its upward escape today, rising 0.17% to $1.2708. Never mind: just below $1.2800 the euro will meet starchy resistance. Long term, the euro is cooked. Roasted. Poached. Toasted. Crispy fried. Read a clear-eyed and insightful analysis last night by Steve Belmont of Options Edge. Euro members have basically three choices: default, ditch the euro, or pool all the debt and print enough money to inflate the burden away. This is like being offered the option of death by barbed wire, burning, or boiling in a vat of acid. No matter the method chosen, the euro is cooked.

Oh, and those European banks? They're so insolvent that they make US banks look good. This ain't a recipe for economic progress. If any road leads to safety other the gold and silver road, I don't know it.

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com
1-888-218-9226
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.



Tuesday, June 19, 2012

The Gold Price has Remained Above it's 20 and 50 Day Moving Average Could Skid Either Way

Gold Price Close Today : 1622.20
Change : -3.50 or -0.22%

Silver Price Close Today : 2836.20
Change : -30.3 or -1.06%

Gold Silver Ratio Today : 57.196
Change : 0.482 or 0.85%

Silver Gold Ratio Today : 0.01748
Change : -0.000149 or -0.84%

Platinum Price Close Today : 1479.00
Change : -3.60 or -0.24%

Palladium Price Close Today : 628.25
Change : -3.60 or -0.57%

S&P 500 : 1,357.98
Change : 13.20 or 0.98%

Dow In GOLD$ : $163.59
Change : $ 1.58 or 0.98%

Dow in GOLD oz : 7.914
Change : 0.077 or 0.98%

Dow in SILVER oz : 452.62
Change : 8.12 or 1.83%

Dow Industrial : 12,837.33
Change : 95.51 or 0.75%

US Dollar Index : 81.39
Change : -0.458 or -0.56%

I'm antsy and uncomfortable that the silver and
GOLD PRICE have floated in the same range for so long. Gold today lost $3.50 to close Comex at $1,622.20.

For five days the GOLD PRICE has remained between $1,608 and $1,635.40. Optimistically gold remains above its 20 (1596.86) and 50 (1614.90) day moving averages.

Why do I care? Markets do not like stasis, that steady state where nothing is changing. Static markets are easily to manipulate because they are delicately balanced, OR, they are a stand-off between evenly matched buyers and sellers, waiting for an explosion when one side or the other weakens. This doesn't feel like that fight of opposing forces -- too slow, too dull.

So watch out. Gold is banging away at $1,633 resistance, but supported at $1,615 - $1,608. Breaching either boundary will send gold skidding a long way, fast.

I'm not changing my opinion that gold's correction from last September has bottomed. However, you might see a short, sharp move here either way.

For the last seven days the SILVER PRICE has been bound between 2820 and 2900. Today it ranged 63 cents between 3893c and 2830c. Today silver lost 30.3c to close at 2836.2c -- yawn. It fell barely below its 20 DMA (2841c).

Boundaries for silver are 2800c and 2900c. Up above the 50 DMA awaits at 2953c, the 200 at 3215c.

Face it: this is the seasonal doldrums for the SILVER and GOLD PRICE. Usually they remain quiet across June and July, and only begin lacing up their running shoes in August for the September races.

All eyes are on the Fed Open Market Committee meeting tomorrow, when the committee will explain in un-parsable bureaucratese how they plan to jimmy the economy next. This spectacle is too painful, too repulsive for a fastidious and rational mind, the triumph of pygmies over giants, of envy and stupidity over honest and integrity.

Ain't central banking great?

Clearly the hopeless optimists in the stock markets expect great news -- by that they mean "more inflation" -- out of the FOMC, as stocks are blowin' and goin'. Dow levitated 95.51 (0.75%) today to perch on a cloud at 12,837.33. S&P500 floated up 13.2 (1.8%) to 1,357.98.

Looking at the more active and minutely more believable S&P500 (no stock index can be believed since the creation of the Plunge Protection Team in 1987 -- government manipulates every market) we find that the recent foray BELOW the neckline of the Head and Shoulders top formed February - May in fact traced out an upside down head and shoulders that targets a rally to 1,405. Interesting (to some people) is the shape of the S&P500's decline from its April high, plainly an impulsive five wave decline. That implies that the market's natural direction is down.

You! There! Put down that telephone! Resist at all costs the temptation to call your stockbroker, unless you are calling to SELL all your stocks and shift the proceeds into silver and gold.

That US dollar Index today lost more than it had gained yesterday. Vomited back 45.8 basis points (0.59%) to 81.386. Today's low market a double bottom with the weekend low, so the dollar index might stop there (81.20). Should it break that 81.20 support, then brace for a quick plunge to 80.74.

Euro profited from the dollar's fainting spell today. Rose 0.87% to $1.2687. Why do I care? I don't know. Dealing with fiat currencies to me is like having to sort dung beetles. No, that's not quite accurate. Dung beetles are actually a noble and worthy cog in nature's recycling machinery, while fiat currencies are in need of recycling themselves. Anyway, the Euro today managed to break through resistance left from the January low at 1.2624. Also, it has remained above its 20 day moving average (first sign of turning up) for five whole days. Euro might reach 1.2800 before its needle hits "Empty."

Yen rose 0.23%, but isn't really going anywhere. Touched its 200 dma (127.14) two days ago, and fell back chastened. No opinion here. Closed today at 126.70c/Y100 (Y78.93/US$1).

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com
1-888-218-9226
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.



Monday, June 18, 2012

The Gold Price Lost Only $1.30 to Close $1,625.70 I Don't Expect Prices Lower than $1,610 Ever Again

Gold Price Close Today : 1625.70
Change : (1.30) or -0.08%

Silver Price Close Today : 28.665
Change : (0.069) or -0.24%

Gold Silver Ratio Today : 56.714
Change : 0.091 or 0.16%

Silver Gold Ratio Today : 0.01763
Change : -0.000028 or -0.16%

Platinum Price Close Today : 1482.60
Change : -3.10 or -0.21%

Palladium Price Close Today : 631.85
Change : 2.75 or 0.44%

S&P 500 : 1,342.84
Change : 1.94 or 0.14%

Dow In GOLD$ : $162.34
Change : $ (0.18) or -0.11%

Dow in GOLD oz : 7.853
Change : -0.008 or -0.11%

Dow in SILVER oz : 445.39
Change : 0.19 or 0.04%

Dow Industrial : 12,767.17
Change : -25.35 or -0.20%

US Dollar Index : 81.95
Change : 0.407 or 0.50%

The silver and
GOLD PRICE surprised me mildly, as I thought taking the pressure of Greek elections off them might send gold back for a visit to $1,610, but it didn't. Low today fell only to $1,615.95, but above gold could reach no higher than $1,630.22. GOLD PRICE closed Comex down a measly $1.30 at $1,625.70. This is equivocal, but not bad as gold keeps a foothold in that $1,625 - $1,633 resistance zone.

The GOLD PRICE must work its way through that barrier. This could take a while, but I believe the danger of a plunge has passed. I don't expect to see prices lower than $1,610 ever again -- But I could be wrong.

The SILVER PRICE lost 6.9 cents on Comex to close 2866.5c. range was small and quiet today, too, from 2881.3 to 2829c. that 2829c low leaves a double bottom on the five day chart. On the longer term chart the SILVER PRICE has just stalled, but above its 20 DMA (2842). Silver is still fighting that 2900c hurdle. Until it jumps that, it will be marking time. Be patient. It will come.

Markets today looked like the Three Stooges after somebody shouted "Grenade!" They had all clapped their hands over their ears, ducked, then, to their surprise, there was no explosion and they were still alive and breathing.

So today after the Greek election. Big build up with a little mouse-burp outcome. Left markets confused. European stocks rose strongly, then fell. US stocks were mixed. Silver and gold dropped, but only a wee bit. Dollar index rose 0.49%, Euro fell 0.52%.

Welcome to Bewilderworld.

Man, ain't that central bank stability something grand?

Punchdrunk stocks couldn't figure out what they wanted to do. Dow fell, S&P rose, neither one much to amount to anything. Dow lost 25.35 (0.2%) to 12,741.82. Unwilling to play along, the S&P500 rose 1.94 (0.14%) to 1,344.78.

Stocks will move higher, not for any fundamental reason but only for the perfervid imagination of naïve investors who know not the many alternatives the world offers which actually have some chance of making money some day and are not in a primary bear market. Stocks may reach their highs of earlier this year, but oh! What pain, weeping, wailing, and gnashing of teeth will follow.

US dollar index rose 40.7 basis points or 0.49% to trade now at 81.954. 20 day moving average stands above at 82.25, and unless the Dollar Index can at least cross above that, nothing big is happening. The Greeks' electing the sell-out party did the euro no good. It sold off 0.52% to $1.2576. Appears the yen only gained last week from fear of a euro disaster, since it lost 0.58% today to 126.41c/Y100 (Y79.11/US$1).

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All sales on a strict "no-nag" basis. We will ship as soon as your check clears, but we allow Two weeks (14 days) for your check to clear. Calls looking for your order two days after we receive your check will be politely and patiently rebuffed. If you want faster shipping, please send a wire.

Spot gold basis for all prices above is $1,625.70.

ORDERING INSTRUCTIONS:

1. You may order by e-mail only to orders@the-moneychanger.com. No phone orders, please.

Your email must include your complete name, address, and phone number. We cannot ship to you without your address. Sorry, we cannot ship outside the United States or to Tennessee.

Repeat, you must include your complete name, address, and phone number. Our clairvoyant quit without warning last week and we can no longer read your mind.

2. Orders are on a first-come, first-served basis until supply is exhausted.

3. "First come, first-served" means that we will enter the orders in the order that we receive them by e-mail.

4. If your order is filled, we will e-mail you a confirmation. If you do not receive a confirmation, your order was not filled.

5. You will need to send payment by personal check or bank wire (either one is fine) within 48 hours. It just needs to be in the mail, not in our hands, in 48 hours.

6. "No Nag Basis" means that we allow fourteen (14) days for personal checks to clear before we ship. Want your order faster? Send a bank wire, but that's not required. Once we ship, the post office takes four to fourteen days to get the registered mail package to you. All in all, you'll see your order in about one month if you send a check.

7. Mention goldprice.org in your email.

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com
1-888-218-9226
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.



Friday, June 15, 2012

The Gold Price Rose 2.3 Percent this Week and is Headed for Higher Prices

Gold Price Close Today : 1,627.00
Gold Price Close 8-Jun : 1,590.10
Change : 36.90 or 2.3%

Silver Price Close Today : 2873.4
Silver Price Close 8-Jun : 2846.1
Change : 27.30 or 1.0%

Gold Silver Ratio Today : 56.623
Gold Silver Ratio 8-Jun : 55.869
Change : 0.75 or 1.3%

Silver Gold Ratio : 0.01766
Silver Gold Ratio 8-Jun : 0.01790
Change : -0.00024 or -1.3%

Dow in Gold Dollars : $ 162.21
Dow in Gold Dollars 8-Jun : $ 163.21
Change : $ (1.00) or -0.6%

Dow in Gold Ounces : 7.847
Dow in Gold Ounces 8-Jun : 7.895
Change : -0.05 or -0.6%

Dow in Silver Ounces : 444.32
Dow in Silver Ounces 8-Jun : 441.10
Change : 3.22 or 0.7%

Dow Industrial : 12,767.17
Dow Industrial 8-Jun : 12,554.20
Change : 212.97 or 1.7%

S&P 500 : 1,342.84
S&P 500 8-Jun : 1,325.66
Change : 17.18 or 1.3%

US Dollar Index : 81.547
US Dollar Index 8-Jun : 82.511
Change : -0.964 or -1.2%

Platinum Price Close Today : 1,485.70
Platinum Price Close 8-Jun : 1,423.60
Change : 62.10 or 4.4%

Palladium Price Close Today : 629.10
Palladium Price Close 8-Jun : 610.65
Change : 18.45 or 3.0%

For the week the
GOLD PRICE gained 2.3% and passed other milestones. It busted through all that resistance from $1,590 through $1,608, was whipped, battered, beaten, and attacked and still slogged through $1,608 and marched into enemy territory to stake out a camp today at $1,627, up $8.60 on the day.

The GOLD PRICE gain came in the teeth of an early morning attack that sent it reeling to $1,618.90. Faster than the fall it shot straight up to $1,633.60, then was clubbed again down to $1,621 -- all within the space of an hour. Gold arose and fought its way back to $1,632, but eased then to confirm that $1,622 bottom once again and solidify its gains with that $1,627 close.

Looks like the GOLD PRICE manipulation is about as successful as most government operations.

Since last September gold has traced out a vast declining triangle, with a base about $1,525. It must clear $1,725 to escape that triangle, and that lies above its 150 DMA (now $1,663.26). Don't expect any sharp falls in gold, nothing more below $1,610, but the rise across the summer should feel more like shuffling sideways than rising. Relax, possess your souls in patience. The bottom of that correction has been reached, and from here gold is headed for higher prices.

Today the SILVER PRICE traded in a 30 cent range, from 2884c to 2854c. Yeah, sure. Closed up 33.3c at 2873.4c.

The SILVER PRICE, too, has painted a declining triangle, and validated its base around 2650. Like $1,725 for gold, silver must pass above 3400c and its 300 DMA at 3443c to stop the mouths of quibblers, whiners, and moaners. It will, oh, it will.

On the road right in front, silver must conquer the hill at 2910c, then move through the 50 DMA at 2965c. Assuming the Greek election doesn't elect Medusa, expect the "good news" of euro-peace in Greece to send the euro up and silver and gold down a bit. On the other hand, should Medusa be elected and turn the bankers to stone by her mere glance, the euro will tank and silver and gold soar.

BOTTOM LINE: The SILVER and GOLD PRICE put the bottoms on their corrections on 18 May and from here will fight their way upward. I expect that sometime in the fall gold will exceed its September 2011 high ($1,927 intraday, $1,888 close).

Buy more silver and gold. If you have a position heavy in gold (more than 30% gold), consider swapping some of that gold for silver at the present 56.6:1 ratio, targeting an eventual swap back into gold at under 30:1. (That implies -- DOES NOT GUARANTEE -- that silver will gain about 50% against gold and that at 30:1 silver will buy about twice as many ounces of gold as it buys now.)

As always, the weekly scoreboard tells its own unarguable tale. Gold gained 2.3%, silver 1%, Dow rose 1.7%, most of that in the last two days. US dollar index lost 1.2% as the Nice Government Men prepared their Rube Goldberg system for the potential shock from Greek elections.

To the unanimous approval of the world phrenological community, central bankers meeting in Los Cabos, Mexico last night affirmed that they would inject vast new waves of fresh money to aid their struggling economies.

As I hinted above, the cloud hanging over every market that has the Nice Government men staying up late sweating bullets and jimmying markets is the election in Greece. Hard to understand Greek politics even if you speak Greek, but basically two philosophies are represented in the election: the Establishment parties that favor complete and utter capitulation and abasement before the banks, and the other parties that favor complete and utter capitulation and abasement before the banks, only a little more slowly. This compares favorably to Republicans and Democrats in the US, who don't even offer that much choice. Whichever party wins the election, the banks win and the people lose.

STOCKS were the primary gainer from the central bankers' phrenological announcement and the Greek elections, as the faithful labor under the Galvanic delusion that repeatedly applying the inflation nostrum that didn't work the first time will somehow make it work the next. In plain words, they expect central banks to jump in with another paroxysm of money printing (like QE) and they believe that monetary electricity will shock the body economic into lively action. Say, are any of y'all familiar with the Cargo Cult? It works a lot the same way on New Guineans that central banking works on stock investors, only less harmfully.

Technically stocks have risen out of what seemed to be a head and shoulders top but now appears to be a continuation pattern and the Dow will probably hit 13,100 before it stops. But don't light the landing torches just yet, for the cargo planes have not been spotted and stocks will yet disappoint, dismay, and torture.

Dow Industrials today rose 115.26 (0.91% to end at 12,767.17. S&P500 rode right along with it, a few steps ahead in fact, rising 13.74 (1.03%) to 1,342.84.

Y'all should seize any rise in stocks to sell your stocks and convert the proceeds into silver and gold.

US DOLLAR INDEX (with the Nice Government Men's help, surely) looked even worse today than yesterday,. It lost 32.3 basis points (0.42%) and ended the day at 81.547. Technically this leaves the dollar correcting a peak at 83.54 (1 June) from a previously unbroken rally that began 1 May at 78.60. Below its 20 DMA, the dollar index could fall to 80.75 without any effort whatever, and still recover and continue rallying.

Yen today gapped up through its 20 DMA (126.30) to end up 0.91% at 127.15, smack on its 200 DMA (127.15). Above the only barrier (other than NGM) is the last high at 128.77.

The euro is most egregiously iffy. Closed today up a meager 0.08% at $1.2642, but this barely pokes through resistance at $1.2624 from the January (and last low). And 'tis walking above its 20 DMA. A huge short position in the euro virtually guarantees a very sharp rally at some point.

On 15 June 1215 in Runnymede, England the bishops and barons of England, fed up with King John's oppression, asserted their ancient rights and forced him to sign the Magna Carta or Great Charter of Liberties. Once widely understood and protected as the foundation of all English and American liberty, few today know the rights it guaranteed and tyrannies it forbade or that it ended arbitrary government. Today most of these liberties have, as a practical matter, been lost. They include:

* Freedom of the Church

* Freedom from arbitrary search or seizure without due process. Nearly dead, thanks to the Patriot acts and other tyrannies.

* Justice shall not be sold.

* Freedom to travel. Y'all don't have this, do you? You do have driver's "licenses" (permits), don't you? You do submit to search -- even strip search -- to board an airplane, right? Or maybe they don't do that where y'all are.

Yet whatever tyrannies the government practices, by ancient right and inheritance the rights secured by Magna Carta are still ours. They may be stolen, but they can never lawfully be taken from us. We may be overpowered, but we can never be conquered.

Thank you all for your prayers for my wife Susan. I took her to her heart surgeon in Nashville today, and there is a slim chance she may not have to have a mitral valve replacement right away. If that chance falls through, then she will have surgery 3 July.

I deeply appreciate not only your kind emails, but also your generous willingness to pray for successful surgery and speeding healing for her.

Y'all enjoy your weekend!

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com
1-888-218-9226
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.



Thursday, June 14, 2012

The Gold Price is Battering the $1,625 Resistance May Pierce that Tomorrow

Gold Price Close Today : 1618.40
Change : 0.30 or 0.02%

Silver Price Close Today : 2840.1
Change : -53.4 or -1.85%

Gold Silver Ratio Today : 56.984
Change : 1.062 or 1.90%

Silver Gold Ratio Today : 0.01755
Change : -0.000333 or -1.86%

Platinum Price Close Today : 1486.10
Change : 20.80 or 1.42%

Palladium Price Close Today : 633.60
Change : 11.60 or 1.86%

S&P 500 : 1,329.10
Change : 14.22 or 1.08%

Dow In GOLD$ : $161.60
Change : $ 1.97 or 1.24%

Dow in GOLD oz : 7.818
Change : 0.095 or 1.24%

Dow in SILVER oz : 445.47
Change : 13.60 or 3.15%

Dow Industrial : 12,651.91
Change : 155.53 or 1.24%

US Dollar Index : 81.88
Change : 0.256 or 0.31%

The
GOLD PRICE rose a mighty 30 cents today to close Comex at $1,618.40. Sounds trifling until you look closer.

First, the GOLD PRICE remains handily within its uptrend since the Monday low. More, About the time the New York market opened, gold has already pushed through $1,625 resistance to reach $,627.50 and bid fair to run off. About 9:30 SOMEbody showed up selling lots of gold and drove the price down to $1,610.30 in minutes. Good try, NGM, but it didn't stick. The GOLD PRICE bounced right back and by 11:30 had gapped and risen above $1,624. After the $1,618.40 Comex close gold bounced back to $1,622+, where it remaineth.

Plainly, the GOLD PRICE is battering at that $1,625 resistance. Barring more mysterious selling -- a lot more -- it could pierce that ceiling tomorrow. In any event I don't expect it will fall back. Surprises can always happen, but I reckon you'll never see gold below $1,590 again.

SOMEbody hit the SILVER PRICE worse than gold today. About the same time somebody took a notion to hit gold SOMEbody smote silver, driving it from 2900 cents to 2820c. No worry, silver re-bounded, but ended the day 53.4 cents lower at 2840.1. GOLD/SILVER RATIO rose to 56.98.

The SILVER PRICE chart doesn't look as garlicky-strong as gold's, but it remains above its 20 DMA so momentum points up. 'Twould comfort me silver rise above its 50 DMA (2971c) tomorrow, or Monday.

From within themselves, silver and gold are ready to move higher. NGM may cast a few more stumbling blocks into their path, but though they fall, they will rise. Count on it.

Rather than hide my suspicions and biases, I'll just parade them right out here in front of you, especially today, when they are being stimulated so electrically.

Now think. As a matter of official and statutory if secretive policy the US government and Federal Reserve in concert with other central banks actively manipulate currency and silver and gold markets. This weekend the Greeks hold an election that may signal their departure from the euro and disrupt the whole fascist banking cart in Europe. If you were a central banker, would you reach into markets proactively and manipulate them to keep them calm before that election?

Does a duck eat bugs?

Hence no one should be surprised that the euro rose today, the dollar fell stoutly (0.33%), and "Somebody" sneaked into the silver market and slapped it from a threatening-to-break--the-leash 2910 to 2820 cents in a few minutes. If you were the Nice Government Men tasked (as they like to intone) with keeping gold down, wouldn't you prefer to hit the much smaller silver market first so your gold market trickery would work more strongly?

Does a rat eat garbage?

Dow Jones industrials probably gainsaid that head and shoulders formation by closing above 12,650 (peak of the head) today, but maybe not. (Remember that the top of the right shoulder in May reached barely higher than the head). In any event most of the buying came from SOMEbody active after 3:30, i.e., 30 minutes before the close. Dow managed a stout gain of 155.53 (+1.24%) to 12,651.91 while the S&P500 almost kept up at 1,329.10, up 14.22 or 1.08%.

None of this even marginally interests me in stocks. Their fate is sealed. Dow today bumped up from beneath into the neckline of the LARGER head and shoulders that it broke down from at May's close. Folks, I know I'm no more than a ridge-runner from Tennessee, but I'm warning y'all that there's no future in this stock market, other than the easy descent into Avernus.

Currencies were as entertaining today as Catherine the Great's Potemkin-sponsored ride through Russia, and about as genuine. US dollar index axed its way through the 20 day moving average (82.24) to drop 25.6 basis points (0.33%) to 81.876. Sure, sure, right before that Greek election everybody's dumping dollars. Right.

The euro rose to $1.2632, up 0.6%. Here there is a gigantic short position, so one could also chalk that rise up to wary shorts closing out their positions before that election, just in case it goes well for the euro.

The yen remained quiet, practically flat at 126c/Y100 (Y79.37/US$1). Yen if floating along underneath its 20 DMA without enough moxie to rise through it.

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com
1-888-218-9226
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.



Wednesday, June 13, 2012

The Gold Price Closed up at $1,618.10 Well Above it's 20 DMA

Gold Price Close Today : 1618.10
Change : 5.40 or 0.33%

Silver Price Close Today : 2893.5
Change : 8.0 or 0.03%

Gold Silver Ratio Today : 55.922
Change : 0.171 or 0.31%

Silver Gold Ratio Today : 0.01788
Change : -0.000055 or -0.31%

Platinum Price Close Today : 1465.30
Change : 12.40 or 0.85%

Palladium Price Close Today : 622.00
Change : -0.45 or -0.07%

S&P 500 : 1,314.88
Change : -9.30 or -0.70%

Dow In GOLD$ : $159.65
Change : $ (1.51) or -0.94%

Dow in GOLD oz : 7.723
Change : -0.073 or -0.94%

Dow in SILVER oz : 431.88
Change : -2.80 or -0.64%

Dow Industrial : 12,496.38
Change : -77.42 or -0.62%

US Dollar Index : 82.19
Change : -0.247 or -0.30%

GOLD PRICE rose $5.40 on Comex to close at $1,618.10. This is nice, this looks good on a résumé, but it doesn't get the job. The Job is to punch through $1,625 to $1,633 resistance and keep on climbing.

More encouragement comes from the 50 DMA ($1,615.74) which gold closed above today. The
GOLD PRICE remains well above its 20 DMA ($1,586.63).

SILVER PRICE keeps banging and banging on that 2900 cent ceiling, but without penetrating it yet. Pattern is tightening, like a coiling spring. Next move should be a jump up through that 2900 mark.

Comex silver today lost 8/10 of one cent to end at 2893.5c. Momentum is trying to rise: silver stands above its 20 dma (28.31).

The SILVER and GOLD RPICE are both clogged up here beneath resistance, but the resistance will give way. Can any real surprise or change come from the Greek elections this weekend? I doubt it.

Keep on buying silver and gold. In six months these prices will give you great bragging rights before your brother-in-law.

Right on cue today the Dow rose to 12,600 (actual high 12,598.25) to paint a top on that right shoulder, then sank like your watch in a churn to 12,450. Neckline of that head and shoulders top lies at 12,400, so if the Dow breaches that, better grab your parachute.

Dow today closed 12,496.38, down 77.42 (0.62%) in a ragged day that never managed to climb much above unchanged. S&P500 closed 1,314.88, down 9.3 or 0.7%).

WARNING: Stocks may be hazardous to your financial health. Sell stocks and put the proceeds into silver and gold.

US DOLLAR INDEX kept on sliding today, down 24.7 basis points (0.32%) to 82.187. However, the dollar is still blowing hot and cold out of both sides of its mouth. A closed below 81.70 would turn the dollar down, but it needs a close above 82.90 to turn up, really above 83.54. Today it pierced for the second day the 20 day moving average, now at 82.17. Pierced, but did not close beneath. This is like an alcoholic walking back and forth before a liquor store. Sooner or later, something will give.

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

- Franklin Sanders, The Moneychanger
The-MoneyChanger.com
1-888-218-9226
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.