Monday, March 17, 2014

The Gold Price Backed Down $6.10 Today Closing at $1,372.90

Gold Price Close Today : 1372.90
Change : -6.10 or -0.44%

Silver Price Close Today : 21.249
Change : -0.135 or -0.63%

Gold Silver Ratio Today : 64.610
Change : 0.123 or 0.19%

Silver Gold Ratio Today : 0.01548
Change : -0.000029 or -0.19%

Platinum Price Close Today : 1467.80
Change : -1.20 or -0.08%

Palladium Price Close Today : 776.20
Change : 3.15 or 0.41%

S&P 500 : 1,858.83
Change : 17.70 or 0.96%

Dow In GOLD$ : $244.63
Change : $ 3.80 or 1.58%

Dow in GOLD oz : 11.834
Change : 0.184 or 1.58%

Dow in SILVER oz : 764.61
Change : 13.32 or 1.77%

Dow Industrial : 16,247.22
Change : 181.55 or 1.13%

US Dollar Index : 79.510
Change : 0.007 or 0.01%

Silver and GOLD PRICES both backed down today, gold $6.10 (0.44%) to $1,372.9 and silver 13.5 cents (0.063%) to 2124.9c.

These are not gigantic changes, although the GOLD PRICE rushed into new high for the move with a lower close might possibly become a key reversal if it closes lower tomorrow. Silver did close below its 20 DMA at 2140c, but that's subject to oft whipsawing. Maybe silver and gold prices are merely wringing out the safe-haven enthusiasm. The gold price would have to fall to its 20 DMA at $1,342 to signal anything more than usual fluctuations.

Bigger question is whether the SILVER PRICE is contradicting gold's rally, or merely lagging as it often does. If silver is non-confirming, then gold could find trouble ahead.

I am still buying the price dips, although I'll give this one a day or so to sort itself out. That bull market may be dissembling, trying to shake off the most riders possible.

I won't be sending y'all a commentary on this Friday because I am going to the Upcountry Literary Festival at the University of South Carolina at Union in Union, South Carolina. They have invited me to read from At Home in Dogwood Mudhole, on Saturday, 22 March 2014. My 25 minutes in the sun runs from 9:20 a.m. to 9:45 a.m. Last year Susan and I enjoyed a delightful time there from a wide variety of writers. If you make it, be sure to say hello to us. I won't be saying ne'er a word about silver and gold on stage.

I reckon you buy the rumor and sell the news. Putin's coup in Crimea was might near accomplished with the secession referendum over the weekend. The Crimeans who voted chose to secede from Ukraine and go with Russia. That appears to be a done deal, so perhaps now the entire issue will evaporate, boiling off in steam from hot politicians.

That attitude seems to have sucked the safe-haven money out of the yen today, perhaps out of gold, and blown it back into stocks. I'm not so sure. Contemporary politicians are just as moronic as those of 1914, so plenty capable of starting a devastating war. I can only pray they don't succeed.

Speaking of secession, how come they can do that in Crimea but we can't do that in Tennessee? After all, the US has been the promoter of "national self-determination" since Woodrow Wilson. I reckon that US enthusiasm depends on who's seceding from whom. Once the US seizes a country fair and square, they ain't forward to give it back. Ask the Hawai'ians.

Yen fell most on losing that safe-haven money, down 0.375 to 98.29 cents/Y100. Left behind a nasty exhaustion gap, which likely puts the cap on the Yen for some time.

Like Freddy Kruger, the euro has come back, even if its chainsaw is a mite dull. Technically it's headed for $1.4500, but what's "technical" to a central-bank-manipulated scrofulous fiat currency? Higher the euro climbs, more heat it puts on European manufacturers, mostly German.

US dollar is poised on a precipice, but rose 7 basis points today (0.09%) to 79.51. Should the dollar not reverse, it could suffer a blood-curdling fall from here.

The casino was re-opened and blowin' and goin' on Wall Street today. Dow shot up 181.55 (1.13%) to 14,247.22, a tinch over the 20 Day Moving Average (16,245.88). Dow remains in a downtrend until it crosses above 16,588.25, the December high. MACD flashed a sell signal last week, which flasheth still.

S&P500 leapt 0.965 (17.7) to 1,858.83, also above the 20 DMA (1,855.25). Needs to jump over $1,875 to beat the present downtrend.

After last week's big drops the Dow in Metals rose today on metal's weakness and stock strength. Neither stands in any near peril of reversing trend upward. Dow in Gold ended the day up 2.25% to 11.88 oz (G$245.58). Dow in Silver hit its 200 DMA Friday but bounced up today and even ran above its 20 DMA (759.45 oz). Went home today 2.42% higher at 766.74 oz (S$991.34 silver dollars).

Why do I report these prices in gold dollars and silver dollars? Either because I'm crazy, or because I'm trying to wean y'all off thinking in filthy fiat money and into real money. Also, measuring the Dow in gold gives us one unchanging measure of the Dow since it began in 1885.

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

- Franklin Sanders, The Moneychanger

© 2014, 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.