|Gold Price, $/oz||1,138.70||7.10||0.63%|
|Silver Price, $/oz||14.61||0.04||0.25%|
|Dow in GOLD $s||291.52||-15.35||-5.00%|
|Dow in GOLD oz||14.10||-0.74||-5.00%|
|Dow in SILVER oz||1,098.89||-53.48||-4.64%|
|US Dollar Index||95.43||-0.45||-0.47%|
|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 is slowly but steadily gaining. Today it left the 50 DMA (1,129.97) behind as it moved up, but stopped cold when it hit the support/resistance line at $1,150 from the November low through the March low. That was also where gold broke down in July. Real test will come at the last high ($1,170) where gold failed.
The SILVER PRICE lies behind the eight ball. Yes, last week it made a new low and then a key reversal upwards, but it still is lollygagging below its 20 ($14.93) and 50 ($15.05) day moving averages. And it is rising on declining volume, which is like watching your gas guage needle drop.
I am not particularly thrilled, either, to see the Comex close GOLD/SILVER RATIO at 77.924. Silver is weak against the price of gold right now, and any further weakness would send the ratio even higher.
Silver and gold prices are both acting mealy-mouthed when they need to show some brass. At least the dropping dollar adds something in their favor.
Today's stock market action proved that last week's stock rally was all vine and no taters. Dow plunged 470.01 (2.84%) to 16,058.02 while the S&P500 slid 58.25 (2.95%) to 1,913.93.
|Dow n Gold|
|Dow in Silver|
The Dow in Silver fell S$43.53 (33.67 ounces) or 2.97% to S$1,420.13 silver dollars (1,098.38 oz), slap down against the uptrend line from August 2013 and below the 200 DMA (S$1,426.37 or 1,103.21 oz). Watch the last low at S$1,381.69 (1,068.65 oz), the last low. An acceleration is coming.
Scabby US dollar index closed beneath the downtrend line (from the August high at 98.43) and below 95.50 support. It lost 43 basis points (0.45%) to end at 95.43.
It would clear up the entire cosmic situation if the dollar would close below 93, giving us an equivocal "I am going to hell in a handbasket so don't look for no survivors" signal. As long as it stays above the 200 dma (now 94.86), can't be sure what it intends. Don't let this meditation take your eyes off the present trend, which is firmly down.
Euro rose 0.79% to $1.1300, but remains below its 200 DMA ($1.1332). This may technically be an uptrend, but if so it was born tard and raised lazy. No gumption, but then why should it have? Who but an insane speculator using borrowed money could find in the euro anything to love?
Yen looks better than the euro as a nearly dead man looks better than a corpse. It did gap up through its 200 DMA today 1.25% to 83.50. Maybe this time 'twill find some traction.
WTIC slowed its upward trajectory today with an 8.24% fall to $44.19/barrel. It is above its 20 dma (42.65) but hit the 50 DMA yesterday after rising 27% in 3 days. That accounts for today's ricochet. 200 DMA is above at 53.68. Copper is also trying to break out skyward. By the way, that 3 days is the oil market's biggest jump in 25 years.
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.