Gold Price Close Today : 1611.90 Change : (34.10) or -2.1% Silver Price Close
Today : 30.260 Change : (0.986) cents or -3.2% Gold Silver Ratio Today : 53.27
Change : 0.590 or 1.1% Silver Gold Ratio Today : 0.01877 Change : -0.000210 or
-1.1% Platinum Price Close Today : 1499.00 Change : -12.50 or -0.8% Palladium
Price Close Today : 589.00 Change : -13.70 or -2.3% S&P 500 : 1,215.39 Change :
5.51 or 0.5% Dow In GOLD$ : $148.02 Change : $ 3.55 or 2.5% Dow in GOLD oz :
7.160 Change : 0.172 or 2.5% Dow in SILVER oz : 381.42 Change : 13.23 or 3.6%
Dow Industrial : 11,541.78 Change : 37.16 or 0.3% US Dollar Index : 77.19 Change
: 0.073 or 0.1% The GOLD PRICE has broken down out of that pennant formation and
will trade lower. Today it made a low at $1,603.91, nearly touching the 150 day
moving average at $1,602.50. Sturdy confidence that ain't. Now throughout this
bull market that 150 DMA has backstopped -- generally -- gold. But against that
optimism look at the MACD indicator, which is turning down, nosing after lower
prices. If the GOLD PRICE breaks $1,600, it will certainly think about dropping
back to the $1,535 last low, or the 200 DMA at $1,547. And if the Eurocrats come
up with some plausible face-paint, gold would take a hit on Monday. On the other
hand, if they only meet, eat, dither, and retreat, gold will gain. Seems to me
politics absorbs way too much of our time. Adults ought to spend their time more
profitably than wondering what a bunch of bootlicking banklackies will do. The
SILVER PRICE is in the same position as the GOLD PRICE , only more volatile. On
Comex today SILVER lost 98.6c (3.15%) to close at 3026c. In the aftermarket it
quickly gained 37c (1.22%) to 3063c. Mercy! How do you parse or trade that?
Silver reached 2994 today after losing its grip on 3050c support, but then
jumped back pretty quickly. NEVERTHELESS, that doesn't look like it has
cleared 3050c resistance (support becomes resistance when you approach it from
underneath), just silver trading up in a thin aftermarket. Breaking 3000c will
send silver down a buck anyway, arguing for much lower prices. Listen, y'all,
look at the world around you and take a deep breath. Spit out that central bank
ether and think: have any of the fundamental drivers of inflation and the silver
and gold bull market changed? No, so the bull market continues, we are just
suffering through a correction. Keep calm, silver and gold will come roaring
back. Chart for the Dow today looked like a video of somebody kicking an old tin
funnel down a road -- up, down, everywhere. Confusion reigns. Dow added a
massive 37.16 (.32%) to close at 11,541.78 while the S&P500 added 5.51 (0.46%)
to end at 1,215.39. Other indices fell, revealing their confusion and
bewilderment. Some guru on the internet said stocks rose on optimism the Euro
summit this weekend would arrive at a solution for the bank solvency crisis
there. Right, but how'd he know that? How'd he know for sure it wasn't stray
dogs or indigestion? From a technical perspective, stocks are still stymied by
11,650 resistance, optimism, stray dogs, or indigestion., DOLLAR INDEX rose
slightly today, I reckon because the folks trading that market had no optimism
about this weekend. (What kind of sorry people get optimism from a politicians'
meeting, anyway?) Dollar index rose a tiny 7.8 basis points (0.18%) to 77.192.
The euro remains trapped below the bottom boundary of its trading channel, the
one it fell out of in September. Nothing's going to happen until the politicians
do something, and the chance of them doing something more than cosmetic is the
same as the chance an undertaker has of raising a corpse from the dead after he
pretties it up. Closed 137.77c, up 0.15%. Japanese yen remains paralyzed, up
0.2% to 130.23c/Y100 (Y76.79/$1). The dollar's little piddling rise and other
phantasms do not account for gold's fall today, down 34.10 (2.1%) to $1,611.90.
Nor does it account for gold's aftermarket rise to $1,622.40. Saw the same thing
in the silver market and moreso, which makes me think dealers are shorting
throughout the day, then covering at day's end. Life has a way of taking matters
out of your hands. Shorthanded in the office today, Susan gone to New Albany to
pick up the newsletters, and I had to go to a funeral. Can't put a funeral off.
I'm taking this opportunity to say Bye-Bye to y'all, just in case Harold Egbert
Camping proves right and the world does end tomorrow. Now, I'm not really
counting on that being the last day, since Camping also prophesied that the
world would end on 21 May 1988, 6 September 1994, and 21 May 2011, without
noticeable success. Since 21 May he has been spiritualizing away the failure,
and he had a stroke. Frankly, I'm counting on being right here tomorrow, about
this time, doing what I always do, and wondering, as always, why some people do
the silly things they do. Argentum et aurum comparenda sunt -- -- Gold and
silver must be bought. - Franklin Sanders, The Moneychanger The-MoneyChanger.com
© 2011, 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 $195.66;
stocks' primary trend is down, targeting Dow under 2,900 and worth only one
ounce of gold; US$ or 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.
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