Gold Price Close Today : 1737.80 Change : 6.80 or 0.39% Silver Price Close
Today : 3323.30 Change : 36.20 cents or -1.08% Gold Silver Ratio Today : 52.291
Change : 0.766 or 1.49% Silver Gold Ratio Today : 0.01912 Change : -0.000284 or
-1.47% Platinum Price Close Today : 1581.80 Change : -40.00 or -2.47% Palladium
Price Close Today : 685.35 Change : -3.15 or -0.46% S&P 500 : 1,312.39 Change :
-0.62 or -0.05% Dow In GOLD$ : $150.27 Change : $ (0.83) or -0.55% Dow in GOLD
oz : 7.269 Change : -0.040 or -0.55% Dow in SILVER oz : 380.12 Change : 3.47 or
0.92% Dow Industrial : 12,632.68 Change : -21.04 or -0.17% US Dollar Index :
79.81 Change : 0.023 or 0.03% Y'all have observed with me, over the last year or
so, that a day when silver drops a little and the GOLD PRICE rises a little, is
often followed by a day when both shoot up. Today the SILVER PRICE dropped 26.4c
to 3323.3c, after making a slightly higher high at 3407c. Now, that might be
might form the first half of a key reversal down (new intraday high and lower
close, followed by lower close next day), but it might not. Silver still held up
at 3300c, and never sank lower than 3292. Cut silver some slack! It's butting
its head against a big downtrend line from the August high, and it's still above
its uptrend line from the 29 December low. We're warned, it MIGHT drop, but if
it works its way through 3400c resistance, y'all can kiss silver good-bye
because it will shoot skyward. But silver must hold 3292c. While silver was
dropping 26.4c, the GOLD PRICE gained $6.80 to $1,737.80, chugging on up a
mighty steep mountain. More, gold pushed through $1,740 resistance to $1,747.32
(knocking hard on $1,750) and easily caught a downspike to $1,725.90, proving
that support. Like the SILVER PRICE , should the GOLD PRICE punch through
$1,750, all the shorts will flee in panic, clutching their wallets. On the other
hand, today also told you that gold cannot afford weakness at $1,725. In bull
markets these rallies always climb a wall of worry. People keep asking me if
they should buy here, or buy half here and wait to see if metals will drop.
First place, I don't know any more than you do. I'm handsome and tall, but I
ain't Nostradamus. Second place, as a practical matter I've watched my customers
(learned almost as much from them as I have from my children) and those who do
best are those who just buy when they have the money, and come back and keep on
buying. They don't get too worked up or nervous about where the market is,
because they are riding the primary trend for the long term. And that works
right well. At least, they're not like me, stuck here sweating that GOLD/SILVER
RATIO . One tiny straw in the wind that suggests metals might not have a great
day tomorrow is the nearly 1.5% rise in the gold/silver ratio today. Still
waiting for 57.5. Musing back over the yen's performance yesterday, and
recalling the current buzz among Those Who Must Talk Whether Mentating Or Not,
Asian stocks also rose yesterday, "on Greek Debt Deal Talks" and Japanese
industrial production grew faster than economists estimated. A statement so
obtuse, so wanting in causal connection, stinks of the same Bimbo Financial
Journalism that moved that Canadian TV commentatoress to say gold wasn't a good
investment "because it wasn't backed by anything like the US dollar is." Point
is, tons of hot money slosheth around the world looking for a likely place to
light, hungry for return, and stupidly harkening to the latest news and
commentary, groundless though they be. Investment du jour (IdJ) today is US
stocks, because there may be a Greek debt deal and Bernanke's indigestion is
improving. Tomorrow the IdJ will be European stocks, because there may be a
Greek debt deal and Ferkel and Sarcophagus are no longer miffed at each other.
Besides, the planets are lining up and Pisces is ascendant in the Fishbowl. And
the Japanese are switching to rice from wheat. I'll be glad when the adults come
back and take charge again. Okay, I can't dodge it; let's look at today's
markets. Now I've heard of heads and shoulders, upside down and right side up,
triangles, boxes, wedges, spikes, and double and triple tops, but I don't recall
seeing many Big Ws before. Be that as it may, there 'tis on the US Dollar Index
chart, a Big W. Breaks down and begins at 79.50, drops to 78.75, rises to 79.45,
drops yet again to 78.75, then today rises to 79.50. Man, that's either a
PERFECT double bottom, or it's the Nice Government Men painting the tape. What
do y'all reckon? Mattereth not. Implication is that a dollar close above 79.50
turns the dollar higher, a close below 78.75 pulls the plug. Dollar index today
rose 11.8 magnificent basis points (0.15%, for those of y'all with magnifying
glasses) to 79.285. Could it turn and resume its rally from here? Might, but I
think the NGM in Japan, Europe, and the US have the dollar on the run, and want
to keep it there. After all, a Greek Debt Deal may be near. Disappointing its
partisans, the euro today was chipped and clipped for 0.46%, closing down at
1.3080. It's bouncing off its 62 day moving average, a significant moving
average for the euro. Also backed through through the 50 DMA today (131.06).
Nothing here suggests the euro is NOT headed higher. As the mysterious schools
of investment herring switch from east to west, the Yen rose again today by
0.17% to 131.19c/Y100 (Y76.22/US$1). I am so suspicious it's scary. Scares even
me. I keep looking at the dollar selling at about 130 eurocents and about 130
yen, and I keep thinking, "Now isn't that just like Nice Government Men! They
pick some silly target number that makes it obvious to a blind man what they're
doing, forgetting that nature doesn't round." This looks like a target range
ginned up in a meeting over rubber chicken in Basel at the BIS. The smell of the
sickroom hovereth yet over stocks. A few indices rose today, but the S&P500 and
the Dow were not among them. Dow lost 21.04 points (0.17%) to settle at
12,632.68. S&P500 perched at 1,312.39, down 0.62 point or 0.05%. Folks, y'all
lay a ruler across the tops of Thursday, Friday, and on through today. I'll show
you a failed breakout attempt today, but nothing else to fertilize respect or
optimism. I'll give it this: if the Dow can better 12,700, and the S&P can
better 1,320, stocks MIGHT have a chance to creep or crawl higher. Creep or
call, not found new inter-generational wealth transfers. But mostly, stocks want
to drop. Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger The-MoneyChanger.com © 2012, 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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