Friday, February 13, 2015

The Gold Price Rose $6.50 Ending the Week at $1,226.60

6-Feb-1513-Feb-15Change% Change
Gold Price, $/oz.1,233.901,226.50-7.40-0.6
Silver Price, $/oz.16.67817.2780.63.6
Gold/Silver Ratio73.98470.986-2.997-4.1
Silver/gold ratio0.01350.01410.00064.2
Dow in Gold $ (DIG$)298.61303.705.091.7
Dow in gold ounces14.4514.690.251.7
Dow in Silver ounces1,068.731,042.91-25.82-2.4
Dow Industrials17,824.2918,019.35195.061.1
US dollar index94.7694.22-0.54-0.6
Platinum Price1,223.601,210.50-13.10-1.1
Palladium Price781.60794.7513.151.7

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
Silver and GOLD PRICES disagreed for the week. Gold rose $6.40 (0.5%) to $1,226.50 on Comex. Silver rose 3% (50 cents) to $17.27.8.

Look here, y'all, I am clinging on this edge by my fingernails, & they are none too long. The GOLD PRICE closed right at that neckline, and if it was ever intended to turn around, right here's what it would look like. But it didn't close above its 50 DMA ($1,230). I think it would surprise everybody by continuing the uptrend begun with the November low. From here, that's what it's planning, it seems, but it must prove that by closing over that $1,255 October high & 200 DMA, now about the same place. Monday a close over $1,245 would cheer me. A close below $1,215 signals much lower prices.

SILVER looked strong as a garlic milkshake today, rising up to its 20 DMA, above the neckline, breaking out through the upper boundary of a falling wedge like a Brahma bull breaking out of a chute. Next move is higher, higher.

Candide had a field day today. S&P500 hit a new high, and the dollar index finally broke, it seems.

Markets have been nervous about European-Russian talks about the Ukraine, & about the Greeks scratching for a better deal. Yesterday the talks resulted in a new cease-fire in Ukraine, and it appears the Euros will delay, postpone, meet & meet again until they finally talk the Greek problem to death, or at least keep the bored public from noticing it anymore.

Odd as spitcurls on a toad, the US dollar index didn't change an eyelash. Closed same place it closed yesterday, 92.22. Nothing to brag about, though, as that leaves it below the 20 DMA (94.39) after a failed rally. Two strikes and you're out. Not proof the dollar rally that began in July has ended -- it could still hit 100+ - but a sign it's gonna drop for a correction at least. Dollar would have to close below its 200 day moving average to signal that sort of trend change.

Euro backed off 0.08% to $1.1394 today. That's about as unenthusiastic performance as you might imagine from something that finally scratched together enough gumption to cross its 20 DMA. Until it beats the last high at $1.1500, euro has nothing to talk about.

Yen added 0.29% to 84.18. Broke down this week out of the little uptrend it had started, and has now traded back up to the downtrend line. Either it can't make up its mind or it's going lower.

West Texas Intermediate Crude rose 2.8% to $52.78/barrel, and has a squatty but undeniable rally working. 10 year Treasury yield has risen from 1.65% when February opened to 2.021% today. (When yields rise, bond prices fall.) WHY is what I want to know? What's going on? It's suspicious.

Stocks jubilated & juned today. S&P500 hit a new high. On 29 December 2014 it hit 2,090.57, but today bettered that. Rose 8.15 (0.41%) to 2,096.99. Dow didn't quite keep up. It rose 46.97 (0.26%) & closed 18,019.35. It they keep rising next week they'll see up to two weeks of higher prices & we'll have to read all those headlines about a "new bull market" ad nauseam. Truth is, both indices are locked in broadening top formations (Gator Jaws), & they take an excruciatingly long time to unfold. Could see Dow 18,300 and S&P500 at 2200, yet have I no interest in a market addicted to fiat money creation. I'm an extremist.

Y'all enjoy your weekend.

Aurum et argentum comparenda sunt -- -- Gold and silver must be bought.

- Franklin Sanders, The Moneychanger

© 2015, 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.