Wednesday, November 06, 2013

The Gold Price Jumped Up $9.70 Today and Closed at $1,317.70

Gold Price Close Today : 1317.70
Change : 9.70 or 0.74%

Silver Price Close Today : 21.746
Change : 0.132 or 0.61%

Gold Silver Ratio Today : 60.595
Change : 0.079 or 0.13%

Silver Gold Ratio Today : 0.01650
Change : -0.000021 or -0.13%

Platinum Price Close Today : 1465.60
Change : 17.90 or 1.24%

Palladium Price Close Today : 763.80
Change : 14.05 or 1.87%

S&P 500 : 1,770.49
Change : 7.52 or 0.43%

Dow In GOLD$ : $247.03
Change : $ 0.20 or 0.08%

Dow in GOLD oz : 11.950
Change : 0.010 or 0.08%

Dow in SILVER oz : 724.13
Change : 1.53 or 0.21%

Dow Industrial : 15,746.88
Change : 128.66 or 0.82%

US Dollar Index : 80.505
Change : -0.189 or -0.23%

The GOLD PRICE jumped up $9.70 today and closed at $1,317.70. Silver added 13.2 cents to end at 2174.6c. Yeah, I know, I know -- no more'n back and forth trading . . .

Or maybe not. If you take a straightedge and draw a line from the 15 October $1,251 low to the low yesterday about $1,302, you'll find a little uptrend from October till now. That's our line in the sand, and it has squeezed the GOLD PRICE up past the 20 DMA ($1,316.91).. Long as the gold price stays above that, say, tomorrow above $1,318 or so, it's in a rising trend. Sort of tautological, but there 'tis.

Likewise pull out your ruler and draw another red line on the SILVER PRICE chart from the 2050c low 15 October to Tuesday's low, you find another uptrend.

Other indicators are talking out of both sides of their mouths. Wouldn't it be funny if all those folks out there (including some of y'all) so sure that silver and gold are destined to drop to $800 and $10 were all wrong? Wouldn't it be a gigantic horse laugh if this was merely a small reaction and start of another rally? Yeah, buddy! Y'all'd just be laughing yourselves sick, watching gold and silver from the end where the rocket fire comes out.

Ahead of the ECB meeting this week apparently the propagandists are trying to talk down gold, because "potentially" the ECB might cut interest rates. Duhh, lessee -- ECB cuts rates so people will borrow more and inflation will rise, and THAT will make the euro rise against gold? In today's lunatic markets -- yes, lunatic -- I guess depreciating your currency is grounds for it to rise against gold. Works for the dollar, right? Well, very briefly. Merely until reality catches up. Hide and watch.

Personally, I love all the negative publicity for silver and gold. It signals (1) the bottoming of sentiment which lays the foundation for a price reversal, and (2) the mouth-foaming desperation of the central bankers who are using their most efficient weapon, jawboning (it was Samson's favorite, too, and he was using the same jawbone) to do with propaganda what they cannot accomplish with manipulation. Or, maybe that should be viewed as just another part of the manipulation. Prince Potemkin would be proud of these, his spiritual descendants.

Stocks behaved very oddly today. The Dow Jones Industrial Average which so long and steadfastly resisted making a new high, surged 128.66 to a new high at 15,746.88, up 0.82%. S&P500 added 7.52 (0.43%) but did NOT close at a new high. Meanwhile, the Nasdaq Composite, Nasdaq 100, Russell 2000 and Wilshire 5000 all --- dropped.

Somebody needs to teach this choir to sing in tune. Bad juju when they're off key.

Dow in Silver and Dow in Gold both rose a little today, but nothing to amount to much. Dow in gold rose 0.8% (Is it really a number when it's that small?) to 11.95 oz (G$247.03). Dow in silver rose 0.21% to 724.13 oz. I still believe that both these topped at the June 27 gold and silver lows, and that those tops will hold. Trend has turned down.

Since Friday the US dollar index has made a series of lower lows and lower highs -- right, that DOES define a "downtrend." This is fairly flat or sideways, but if it breaks 80.40 might pick up steam. Longer term the dollar appears to have bottomed at 79.06 back in October, but closed today below its 50 dma (80.63), never a particularly encouraging sign for an uptrend.

Maybe the dollar is showing strength merely because I a world of wholly rotten currencies and economies, it's the prettiest hog in the wallow. That's one whale of a recommendation, ain't it?

Euro has caught at (what was) its upper channel line and 62 DMA. This wouldn't impress your eight year old. It may trade up to fill in the gap it left behind when it fell off that cliff, but that won't hardly take it to $1.3600. Today it rose 0.33% to $1.3516.

Now y'all think about it. What does a central banker want more than anything else? Stability, good old predictable stability. He doesn't want any brash, uncontained moves, so he floods the markets with propaganda before he announces anything, just to keep 'em off balance. Hogwash. Pure Tennessee hogwash, 'cept this brand is coming off European hogs.

Yen today closed 101.36, down 0.16%, trading in a tighter and tighter range, all of it kind of pointless.

If y'all have ears, listen.

Susan and I spent yesterday at Vanderbilt Hospital in ICU with our friend Freda Freemon and her husband. In spite of everything the doctors could do, she passed away from septic shock just 48 hours after her illness began. Thanks and praise to God for her life, and I know she will rest in peace by the grace of God and the work of Christ.

I thank all y'all who kindly prayed for her, and beg you further to pray that God would comfort her husband, Daniel, and her 6 year old daughter, Kenlee, with all the peace of Christ.

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.