|Dow in GOLD $s||286.32||-1.45||-0.51%|
|Dow in GOLD oz||13.85||-0.07||-0.51%|
|Dow in SILVER oz||915.49||-9.73||-1.05%|
|US Dollar Index||96.72||-0.32||-0.33%|
Platinum & Palladium do not care what the world thinks, they are rising. Both hit new 2016 highs today, both are challenging post-2011 downtrend lines.
Truly, truly, the only thing keeping the US dollar index afloat was the expectation the Fed incompetents would raise interest rates. That hope dashed, today it fell 32 bps (-0.33%) to 96.72, but at its 96.25 low it had punched clean through the 200 DMA & the rising lower boundary of that flat topped triangle it broke out of two weeks ago. Here, http://schrts.co/OkJ5UT
Stated shortly, the US dollar index just exxed out its upside breakout & showed itself weak as jail house coffee. Also turned down its MACD indicator.
Euro profited from the dollar's woes by rising 0.15% to $1.1078, but still couldn't close above its 200 DMA. Hear my words & watch my lips: the euro is doomed. Do NOT own euros. This is all a central bank sucker play, so stay away.
Yen gained 0.1% to 95 even. I would heap up another load of scorn on the yen, but denouncing the euro has emptied my metaphor sack. How in the Sam Hill can you adequately rave about something that on the very face of it is nuttier than a Salvador Dali painting?
Stock indices gainsaid each other. S&P500 rose 3.48 (0.16%) to 2,170.06 but the Dow Industrials fell 15.82 (0.9%) to 96.72. Stock weakness today piled up confirmation that the Dow in Gold & Dow in silver have ended their upward correction and turned down again.
Not sure what to think about silver & gold today. Comex gold ended up $5.60 (0.4%) at $1,332.30 while silver rose 19.5 (1%) to 2016¢.
That's not nearly as good as it sounds. Silver early in the day was trading as high as 2058¢ but around 9:15 sales hit it hard and drove it back. Same happened with gold, but the selling hit from the 9:15-ish $1,344.30. Gold remained below its $1,338.21 twenty day moving average, silver ended above its 20 DMA (1996¢). Yes, yes, this was a little disappointing, but not fatal to yesterday's breakout. Both have cleared those flag patterns & busted out upside. Bull markets climb a wall of worry. I look for higher prices still.
Aurum et argentum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
© 2016, 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. 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.