|Gold Price, $/oz.||1,103.50||1,138.10||34.60||3.1|
|Silver Price, $/oz.||14.49||15.154||0.664||4.6|
|Dow in Gold $ (DIG$)||307.84||297.60||-10.24||-3.3|
|Dow in gold ounces||14.89||14.40||-0.50||-3.3|
|Dow in Silver ounces||1,134.10||1,081.20||-52.89||-4.7|
|US dollar index||95.20||95.00||-0.20||-0.2|
|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|
On the monthly chart the GOLD PRICE has piled up two higher months but needs a close above $1,250 to confirm a reversal upwards.
In three days the SILVER PRICE has gained nearly a dollar. It burst through its 20 and 50 DMA's, turning momentum up, then crashed through overhead resistance at 1435c. Today it closed slap on the downtrend line from the April 2013 high. 200 DMA stands above at only $16.05, less than a dollar.
A lot of folks are hanging back, thinking it might not yet be time to buy silver and gold. Me, I think that's a king error. I keep remembering those dark days of fall 2008, when silver tumbled to $8.80 and gold to $705. That was the last time I saw silver in short supply as severe as it is now, with 8 week delivery and US 90% coin at a $5/oz premium. I keep remember that from those lows, within 3 years silver was at $48.50 and gold at $1,900. Waiting didn't do nobody no good in November 2008.
But what do I know -- no mor'n a fool talking.
Stock markets around the world were disappointed by the Fed this week when Our Wise Masters refused to follow their expectations. The blind led the blind right slap into the ditch. The loss for the week was not great, but portends much more and worse to come. US dollar index followed stocks down. Even platinum and palladium joined silver and gold in rising this week. Silver set the bar with a 4.6% climb, but gold lagged not far behind, rising 3.1%.
Listen to me, hear me: sell stocks. They have only begun to fall.
So far the US dollar index is following stocks down. Have to infer that the dollar's rise beginning July a year ago from 80 to 102 was spawned by the Fed's dribbling promises to raise interest rates, and the September FOMC meeting was the drop dead date. Now those disappointed speculators are turning against the dollar and the buck will become a pump -- sucking air. The bullet in the head comes when the US dollar index closes below 93.
|Dow in Gold|
|Dow in Silver|
Since Tuesday last the Dow in Silver has dropped 73.28 troy ounces, from 1154.77 to 1,081.49. Fell 1.97% today alone. This day also too it below the 1,104.78 200 day moving average. Lo, the chart! Broke earthward through the uptrend from April 2013, too.
Also it's worth noting, just to put the spike into the deflation hoax, that the inflation markets oil and copper may have turned up. May have.
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.