Gold Price Close Today : 1,338.40
Gold Price Close 20-Sep-13 : 1,332.50
Change : 5.90 or 0.4%
Silver Price Close Today : 21.783
Silver Price Close 20-Sep-13 : 21.876
Change : -0.093 or -0.4%
Gold Silver Ratio Today : 61.442
Gold Silver Ratio 20-Sep-13 : 60.912
Change : 0.53 or 0.9%
Silver Gold Ratio : 0.01628
Silver Gold Ratio 20-Sep-13 : 0.01642
Change : -0.00014 or -0.9%
Dow in Gold Dollars : $ 235.67
Dow in Gold Dollars 20-Sep-13 : $ 239.70
Change : -$4.04 or -1.7%
Dow in Gold Ounces : 11.400
Dow in Gold Ounces 20-Sep-13 : 11.596
Change : -0.20 or -1.7%
Dow in Silver Ounces : 700.47
Dow in Silver Ounces 20-Sep-13 : 706.30
Change : -5.84 or -0.8%
Dow Industrial : 15,258.24
Dow Industrial 20-Sep-13 : 15,451.09
Change : -192.85 or -1.2%
S&P 500 : 1,691.75
S&P 500 20-Sep-13 : 1,709.91
Change : -18.16 or -1.1%
US Dollar Index : 80.266
US Dollar Index 20-Sep-13 : 80.454
Change : -0.188 or -0.2%
Platinum Price Close Today : 1,414.90
Platinum Price Close 20-Sep-13 : 1,432.10
Change : -17.20 or -1.2%
Palladium Price Close Today : 730.80
Palladium Price Close 20-Sep-13 : 720.30
Change : 10.50 or 1.5%
Today the GOLD PRICE popped up $14.80 to close at $1,338.40. SILVER gained 6.3 cents (be still, my beating heart!) to 2178.3c.
Y'all know that when your car gets stuck in a mudhole, if you gun it you can rock it back and forth, but you're also burning up tire tread. Is it worth it? Silver and GOLD PRICES are burning up buyers to little purpose trading between $1,322 and $1,340 and 2200c and 2130c.
Both the silver and gold price have formed small uptrends off the 18 September lows. The gold price today nearly touched its 50 DMA (1,347.03) with its $1,345.20 high, but didn't. It did, however, obliterate the possibility that Wednesday and Thursday had posted a downward island reversal. Thus gold remains firmly in limbo, trapped in a trading range, $1,315 - $1,345.
On the weekly chart the gold price must close above $1,434 to break through the downtrend line from the 2011 high. More than that, it needs to clear $1,550, the April breakdown, to prove it has ended its long correction.
Silver's weekly chart says it must cross 2250c to beat that 2011-downtrend line, and 2512 (last high) to gain any attention. Then it needs to climb above 2750c, the April breakdown.
Silver and gold prices didn't arrive in this hole fast, and it looks like they won't climb out too fast, either. Be patient: all the forces of nature, politics, central banking, inflation, stupid human greed, corrupt crony capitalism, and a corrupt populace, half of whom depend on government spending for their income, are all on gold and silver's side. Until gainsaid by lower prices breaking the present short term uptrends, I will continue to assume that the 2011-2013 silver and gold correction bottomed on 27 June 2013.
'Twas a week depressed by the silly debt-ceiling drama in Washington. That's hurting stocks more than metals, but not doing them any good either. Markets hate uncertainty. Stocks dropped a bit over 1%, white metals were mixed, and the US dollar index is struggling to maintain respectability. How can I wax witty describing running in place?
STOCKS. Stocks wrecked today any chance they were forming a falling wedge. Dow lost another 70.06 points (0.46%) and ended at 15,258.24, crashing into its 50 DMA (15,288) and 20 DMA (15,254). Since it did not or has not yet bounced off those moving averages, it's signaling more downward momentum. Relative Strength Index is equivocal but headed down, while the MACD today made a downward crossover. S&P500 doesn't look quite as puking sick as the Dow, but is only hovering above its 50 and 20 DMAs (1680.18 and 1684.74). S&P500 lost 6.92 (0.41%), closing at 1,691.75.
Dow in Gold and Dow in Silver are both trying to roll over for another downleg. Dow in gold lost 1.5% today to end at 11.400 oz, but that's down 1.7% on the week. The DiG's 20 DMA is climbing to meet the falling 50 DMA very soon (11.29 to 11.36), and the DiG stands barely above the 50, 11.40 oz vs. 11.36.
Dow in silver closed down 0.7% today at 700.47 oz, down 0.8% for the week. It stands below its 50 DMA, now 702.31. 20 DMA awaits at 675.09.
Both indicators remain in a downtrend from the June 27 highs, i.e., lows in gold and silver.
CURRENCIES. I believe I'd go ahead and shoot myself and put me out of my misery if my job were managing the US dollar. US dollar index today waffled to the bottom of the little range it has established in the last 8 days. Closed at 80.266, down 26.6 basis points or 0.34%. It has already fallen through support from its bottom channel line from the May 2011 low. If the punier support at 79.50 gives way, the dollar index will spread its wings and fly like a bowling ball.
Dollar weakness left both the competing scrofulous, nasty fiat currencies feeling pretty perky. Euro rose 0.26% to $1.3521, but still appears loath to pull away from $1.35 support and rise. Trend, though, remains up.
Yen gained 0.71% today to 101.77 cents/Y100. It gapped up, even above its 50 DMA, yet still has not undone the damage from its 1 September fall thru support.
Y'all enjoy your weekend!
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
© 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 or 18 ounces of silver. or 18 ounces of silver. US $ and 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.