|Gold Price, $/oz.||1,076.90||1,066.20||-10.70||-1.0|
|Silver Price, $/oz.||13.859||14.08||0.221||1.6|
|Dow in Gold $ (DIG$)||331.42||332.03||0.62||0.2|
|Dow in gold ounces||16.03||16.06||0.03||0.2|
|Dow in Silver ounces||1,245.78||1,216.30||-29.48||-2.4|
|US dollar index||97.55||98.72||1.17||1.2|
|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|
Before I say anything, hold it against this context: to confirm any rally intent, gold must throw a leg over $1,080 then step out smartly. Likewise silver is simply spewing cheap talk at any price below $14.40. Both must give some positive confirmation of a turnaround or they will continue to slide.
Having said that, can I dredge up something hopeful? Well, yes. Silver and gold have both formed nearly 3 year falling wedges, a formation that usually breaks out upward. MACD indicator for both points up. Both have completed about two-thirds of patterns that MIGHT be upside-down head and shoulders.
So silver and GOLD PRICES show some hopeful signs, but no definitive turnaround. My suspicion that we have been watching bottoming since November remains a suspicion without enough evidence for an indictment. All I have going for me is the Fed's perpetual, in-bred, suicidal inflationary stupidity, the bond markets starting to tank, and a stock market crash around the corner. In light of all that, who'd want to own silver or gold?
Only a Tennessee fool like me, I reckon.
Stocks' shame this week was not how low they fell, but how high they rose before they fell. Hurricane coming. US dollar index rose, but on wicked volatility and unreason. Fed's plans to raise interest rates by raising its puny discount rate reckoned not with the market. There's the sea, O King Canute, command it to recede! At week's end, metals spake with Babel's voices: silver, platinum, and palladium higher while the price of gold fell. The mystery grows.
I am so glad I'm just a nat'ral born durned fool from Tennessee and not one of the Masters/Mistresses of the Universe at the Fed. I ain't nothin' so don't have to pretend nothin', and if it turns out I ever do somethin', well, I move up, not down. When you're sittin' atop the universe, ain't no way to move but down.
Euro rose 0.3 to $1.0865 but remains below the old bottom range boundary that it fell out of in November. Yen, on the contrary, climbed above the analogous bottom range boundary. Rose 0.97% to 82.44 today.
|Barclays High Yield Bonds|
|West Texas Light Crude Oil|
West Texas Intermediate Crude fell today 0.78% to $35.85, but that's above the last low on 14 December. WTIC hath twice punched into its support line, but last time (August) rallied off that low. It is awfully slow to follow through in obedience to gravity, but assumption says it will eventually. Needs a close above $42.50 to disprove. Copper hasn't broken, either.
Yea, more dramatic still are the Dow in Gold and Dow in Silver, straight down today. Dow in Gold lost 3.47% to end at 16.08 troy ounces. Dow in silver today dropped worse, down 4.95% to 1,215.14 oz, down 63.07 oz. from its high this week. Momentum points down for both, good for silver and gold prices.
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.