Monday, September 16, 2013

Silver and Gold Prices Rose Today — Gold Price Closing at $1,317.90

Gold Price Close Today : 1317.90
Change : 9.50 or 0.73%

Silver Price Close Today : 21.963
Change : 0.293 or 1.35%

Gold Silver Ratio Today : 60.005
Change : -0.373 or -0.62%

Silver Gold Ratio Today : 0.01667
Change : 0.000103 or 0.62%

Platinum Price Close Today : 1440.60
Change : -3.00 or -0.21%

Palladium Price Close Today : 704.30
Change : 6.80 or 0.97%

S&P 500 : 1,697.60
Change : 9.61 or 0.57%

Dow In GOLD$ : $243.04
Change : $ 0.11 or 0.05%

Dow in GOLD oz : 11.757
Change : 0.005 or 0.05%

Dow in SILVER oz : 705.49
Change : -4.06 or -0.57%

Dow Industrial : 15,494.78
Change : 118.72 or 0.77%

US Dollar Index : 81.260
Change : 0.187 or 0.23%

Silver and GOLD PRICES rose today. Silver gained 29.3 cents to 2196.3 and the gold price added $9.50 to $1,317.90, bouncing off the same low as Fridays, $1,307 and change.

If I've drawn the neckline for gold's upside-down head and shoulders correctly, then that $1,307 is about where it sits. That makes the last two week's action nothing more than a touch back for a kiss good-bye Course that'll all blow up like your daddy when he found that package of Lucky Strikes in your 12-year old back pocket if gold drops below $1,300, but the market will tell us.

If the neckline of silver's upside-down HandS runs about 2500c, then the top of the shoulders runs about 2190 - 2200c. Accurate or note, 2140c marked the low on Friday, so a close below that, which coincides with the 50 DMA at 2146c, would take silver lower.

I certainly don't dismiss the possibility of a drop much lower, but right now both metals are playing around their 50 DMA (yes, gold is lower). Everybody is expecting lower silver and GOLD PRICES, but markets have a way of fooling folks.

The lore of the sailor sayeth that whenever rats stream off a ship in port, they are signaling that once it leaves port, that ship won't come back. Rats, you see, have a sixth sense that warns them of forthcoming events.

Speaking of rats, Larry Summers announced today that he would not accept appointment as the Chairman of the Federal Reserve. What do y'all think that Larry, in the opinion of many as big a rat as ever scoured a dumpster for dainties, knows that the other rats don't?

Maybe the SILVER and gold price know the same thing Larry Summers knows.

And don't ever forget this other ancient seaman's proverb: "A nation without a central bank is like a fish without a bicycle."

On the news that Larry cared not to climb aboard the sinking ship of state, the stock market went loony. Twas widely (not wisely, but widely) assumed that Larry (engineer of the "strong dollar policy" and probably of the gold price suppression scheme) would not create new dollars so generously and hectically as Ben. Never mind for the nonce, you rationalist, that no nation ever has or ever will printed its way to prosperity, that appears to be what stock markets believe. So removing Larry and making Janet Yellen (where do they get people with these goofy names?) the confirmed money-printress Fed chairman must mean Happy Days Are Here Again. Dow rose 118.72 to 15,494.78 (up 0.77%) and the S&P500 rose 9.61 (0.57%) to 1,697.60.

Yea, even the vigilantes of the bond market were fooled. Ten year treasury yield dropped 0.83% to 2.874% (bond prices rose). Maybe somebody can tell me one day (I am such a durned natural born fool from Tennessee that I am not smart enough to grasp it) how the prospect of printing MORE dollars makes holding bonds more attractive, since they are only promises to pay future dollars, now guaranteed to be worth ever less than today.

I'm tellin' y'all, them boys in Warshingtun done figured out a perpetchul moshun mo-sheen. They can fix anything and guarantee prosperity forever by just cranking up the press and printin' more money.

Personally I'm a-thinkin' this is about as good as it gets for stocks, but what do I know?

US dollar rose (that's right, rose) 18.7 basis points (0.24%) to 81.26. However, the yen and euro also rose. I reckon this IS the best of all possible worlds, where everybody's prosperous, the government is always right, and even central bankers are loved.

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

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

© 2013, 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.