Thursday, December 11, 2014

The Gold Price Closed at $1,225.10 on Comex Holding Above it's $1,225.00 Support

11-Dec-14PriceChange% Change
Gold Price, $/oz1,225.10-3.80-0.31%
Silver Price, $/oz17.06-0.07-0.43%
Gold/Silver Ratio71.8150.0880.12%
Silver/Gold Ratio0.0139-0.0000-0.12%
Platinum Price1,241.70-4.20-0.34%
Palladium Price819.609.701.20%
S&P 5002,035.339.190.45%
Dow in GOLD $s296.911.980.67%
Dow in GOLD oz14.360.100.67%
Dow in SILVER oz1,031.508.140.80%
US Dollar Index88.620.400.45%

3 Day Gold Price Chart
30 Day Gold Price Chart
5 Year Gold Price Chart
3 Day Silver Price Chart
30 Day Silver Price Chart
5 Year Silver Price Chart
The GOLD PRICE fell $3.80 to $1.225.10 on Comex, but still held above that $1,225 support. Silver lost a token 7.4 cents to $17.059.

The GOLD/SILVER RATIO has dropped 2.5% since Monday, to 71.815 today. A falling ratio generally promises bullish treats for silver and gold.

The GOLD PRICE slept the day away in a range from $1,216.40 to $1,233.40. That it fell that far but came back to close over $1,225.10 says, "Strong." Remains above the downtrend line from October 2012 and the one from July 2014. Good. Now what will it do at $1,255.60?

The SILVER PRICE slumbered from $17.24 to $16.94. Good sign it closed over $17.00, but 'tis stalling here again, Needs to ADVANCE.

Working theory and explanation here is that metals bottomed with that colossal reversal day 1 December. That needs confirming by steady rallying. I have bought and keep on buying.

The Great Rebound in stocks never happened today. Chart looks like an overturned caldron, rising straight up then curving over until they ended the day with little gain. At the high the Dow reached 17,758.51, but ended 162 points lower at $17,596.34, up 63.19 or 0.36%. S&P500 rose 9.19 (0.45%) to 2,035.33.

Charts of the Russell 2000 and New York Stock Exchange have double tops. Wilshire 5000 is struggling to hang on. Path of least resistance is dirtward.

Dow in Silver and Dow in Gold rose slightly today, but not enough to cast doubt on their downtrends.

US dollar index began the day in the hole, but managed to climb out. Ended up 40 basis points (0.45) at 88.62. It closed today literally on top of that rising wedge's bottom boundary. Inertia is pulling it down, but it needs to close below 87.50 to call the sharks. They'll recognize that as blood in the water and start selling.

Euro still has not managed to pull away from the upper boundary of its falling wedge. Lost 0.41% for a $1.2394 close. Yen backed off 0.82% to 84.08, but did no more than fall back to the breakout trendline. No damage there, and it seems to have rising in mind.

WTI Crude lost another $2.07 (3.38%) to end at $59.15/barrel. Oversold, but no sign of a bottom.

Aurum et argentum 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.