| 31-Aug-15 | Price | Change | % Change |
| Gold Price, $/oz | 1,131.60 | -1.50 | -0.13% |
| Silver Price, $/oz | 14.58 | 0.04 | 0.29% |
| Gold/Silver Ratio | 77.629 | -0.328 | -0.42% |
| Silver/Gold Ratio | 0.0129 | 0.0001 | 0.42% |
| Platinum Price | 1,010.10 | 4.10 | 0.41% |
| Palladium Price | 601.55 | -10.45 | -1.71% |
| S&P 500 | 1,972.18 | -16.69 | -0.84% |
| Dow | 16,528.03 | -114.98 | -0.69% |
| Dow in GOLD $s | 301.93 | -1.70 | -0.56% |
| Dow in GOLD oz | 14.61 | -0.08 | -0.56% |
| Dow in SILVER oz | 1,133.84 | -11.19 | -0.98% |
| US Dollar Index | 95.80 | -0.28 | -0.29% |
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| 3 Day Gold Price Chart |
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| 30 Day Gold Price Chart |
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| 5 Year Gold Price Chart |
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| 3 Day Silver Price Chart |
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| 30 Day Silver Price Chart |
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| 5 Year Silver Price Chart |
This says nothing. It's either fatal weakness or a pause before a run, but will make us guess.
The price of gold remains in the trading channel that has imprisoned it since January. In the middle of that channel is a downtrend line from the October 2012 high. Presently the gold price stands above that line, above its 20 DMA, and barely above its 50 DMA ($1,130.89). Until the price of gold conquers $1,150 then $1,172, where it fell down last time, it spinneth only wheels.
On 29 August silver made a new intraday low at $13.91, then painted a key reversal the next two days, confirmed by a higher close today -- if no much higher. This only turns the motor on. Silver languishes below its moving averages, and has to top $15.00 then $15.72. With stocks weak and falling there remains the chance they will try to suck metals into the black hole with them.
Swapping US 90% silver coin for 100 oz silver bars now fetches a 20% increase in ounces, although bar delivery is delayed four weeks. The US90% coin premium will disappear, so if you don't grab it you lose it.
Also, the GOLD/SILVER RATIO just below 80:1, near the top of the 10 year range, begs a swap from gold into silver.
Stocks wore themselves out after two - three days' reversal. Bear market rallies look fierce, but meet a ceiling of selling and wilt. Dow, for instance, climbed almost to the downtrend line that had contained it almost 4 months before it collapsed through it on 21 August. S&P500 reached toward -- weakly -- support at about 2,040 that marked for it the same line.
Fierce bear market rallies often result when smug shorts get hit by a sudden rally and panic. I reckon fast rallies might also arise from the Nice Government Men of the Plunge Protection Team buying S&P500 futures, but there is also a galloping abundance and overplus of old bulls left who will buy any dip, convinced "it will come back." They will keep doing this all the way down until finally, at the bottom, they all throw in the towel. In a bear market, money returns to its rightful owner.
For the next few weeks, just remember this one fact about the stock market: the plunge ain't finished yet.
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| Dow in Gold |
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| Dow in Silver |
Both have given a downturn signal that can't be recalled.
Last week the US dollar, scrofulous spawn of central banking, rallied after its 145 basis point plunge on 24 August. Five day's rise brought it to the downtrend line. It barely closed above on Friday, dropped today 28 basis points and closed on that line, close to support at 95.50.
Absent some surge tomorrow, the dollar is shackled to a downtrend.
Euro rose 0.28% to $1.1211, but has negated the strength it showed on dollar weakness, even fallen back below its 200 DMA. Yen has done likewise, and today fell 0.39% to 82.47.
Europe meanwhile is completely powerless against an immigrant invasion. Their false values and self-hatred are leading them into final demographic suicide. The Hungarians had better have a lot of that razor tape fence wire, cause they're gonna need it.
West Texas Intermediate Crude rose again today, third day in a row. It has risen 23.6% in the last 3 days. Bear market rally or double bottom with March?
Aurum et argentum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
The-MoneyChanger.com
© 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.
