Friday, March 28, 2014

The Gold Price Reached $1,286.10, 50 Percent Correction Target

Gold Price Close Today : 1,293.80
Gold Price Close 21-Mar-14 : 1,336.00
Change : -42.20 or -3.2%

Silver Price Close Today : 19.772
Silver Price Close 21-Mar-14 : 20.286
Change : -0.514 or -2.5%

Gold Silver Ratio Today : 65.436
Gold Silver Ratio 21-Mar-14 : 65.858
Change : -0.422 or -0.6%

Silver Gold Ratio : 0.01528
Silver Gold Ratio 21-Mar-14 : 0.01518
Change : 0.00010 or 0.6%

Dow in Gold Dollars : $ 260.80
Dow in Gold Dollars 21-Mar-14 : $ 252.25
Change : 8.55 or 3.4%

Dow in Gold Ounces : 12.616
Dow in Gold Ounces 21-Mar-14 : 12.203
Change : 0.41 or 3.4%

Dow in Silver Ounces : 825.56
Dow in Silver Ounces 21-Mar-14 : 803.65
Change : 21.92 or 2.7%

Dow Industrial : 16,323.06
Dow Industrial 21-Mar-14 : 16,302.77
Change : 20.29 or 0.1%

S&P 500 : 1,857.32
S&P 500 21-Mar-14 : 1,866.72
Change : -9.40 or -0.5%

US Dollar Index : 80.330
US Dollar Index 21-Mar-14 : 80.250
Change : 0.08 or 0.1%

Platinum Price Close Today : 1,404.70
Platinum Price Close 21-Mar-14 : 1,435.50
Change : -30.80 or -2.1%

Palladium Price Close Today : 774.10
Palladium Price Close 21-Mar-14 : 788.75
Change : -14.65 or -1.9%

Silver and GOLD PRICES argued with each other today. Gold lost 90 cents to $1,293.80 on Comex. Silver rose 8.2 cents to 1977.2 cents. Ratio fell to 65.436 from yesterday's 65.754.

Both metals are riding their bottom Bollinger Bands, which increases likelihood of a turnaround. The GOLD PRICE today reached $1,286.10, my target for this move and a 50% correction. The SILVER PRICE hit 1958c yesterday and 1962c today, close enough to call my 1950c target met. After Monday both should turn up and leave y'all scratching your heads and twisting your necks around 180 degrees for that perfect hindsight and saying to yourselves, "I KNEW I should have bought some last week."

Bad week for metals, middlin' mediocre week for stocks, might have been a good week for the US dollar.

Stocks have been treading water this week, up and down in the same spot, over and under the 20 DMA without being above to make up their mind. S&P500 broke the bottom boundary of an even-sided triangle yesterday, but that breakdown proved false when it reversed today and closed up within the triangle.

Dow added 58.83 (0.36%) to close 16,323.06. S&P500 rose 8.58 (0.46%) to 1,857.62.

Dow in metals has that feeling of a fly ball reaching the height of its arc. Dow in Gold rose 0.13% to 12.61 oz ($260.67 gold dollars) but leveled off. I am anticipating a turn, since it stands above its 50 DMA (12.36) which means momentum is up. Dow in silver dipped barely down, down 0.09% to 824.81 oz (S$1,066.42 silver dollars. I may be no better than that ox on his way to slaughter who don't know enough to be afraid, but for some reason these rallying Dow in metals don't disturb me. I expected a sharp rally after that long fall, but don't expect this will last much longer.

Nasty, filthy, noxious, vile, beastly, foul, loathsome, lousy, mephitic, noisome, odious, scrofulous, scurvy, parasitic -- yea, all these describe fiat dollars, yen, and euros. And I'm just warming up my thesaurus here.

US Dollar index is glacially trying to rise. It did manage to stand up off the floor this week, and rose six basis points (0.07%) to 80.33 today. Technically it's trending up, but without any enthusiasm.

Euro broke down sure enough this week. Bounced 0.08% today to $1.3753, but it's plumb broken. Next week should cross below its bunched 20, 50, and 62 day moving averages.

Yen busted its 50 DMA today, falling to 97.27 cents/y100. Still range-bound, trending sideways.

Y'all enjoy your weekend!

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.