Gold Price Close Today : 1664.20 Change : (13.80) or -0.8% Silver Price Close
Today : 3193.10 Change : 30.2 cents or -0.9% Gold Silver Ratio Today : 52.119
Change : 0.060 or 0.1% Silver Gold Ratio Today : 0.01919 Change : -0.000022 or
-0.1% Platinum Price Close Today : 1546.90 Change : -16.80 or -1.1% Palladium
Price Close Today : 677.80 Change : -8.25 or -1.2% S&P 500 : 1,314.65 Change :
-1.35 or -0.1% Dow In GOLD$ : $157.45 Change : $ 0.90 or 0.6% Dow in GOLD oz :
7.617 Change : 0.044 or 0.6% Dow in SILVER oz : 396.97 Change : 2.69 or 0.7% Dow
Industrial : 12,675.75 Change : -33.07 or -0.3% US Dollar Index : 79.81 Change :
0.023 or 0.0% The GOLD PRICE bounced off that barrier at $1,680 yesterday and
gave back $13.80 today, closing at $1,664.20. The GOLD PRICE can drop back to
$1,658 - $1,656 and remain in an uptrend. So far, today's action classifies as
no more than a correction within an uptrend. The SILVER PRICE backed off 30.2c
to close Comex at 3193.1c. Silver dipped its toe below 3200c to 3184c, but held
there rock solid. And so it must do tomorrow to avoid a painful correction, down
to 3080c, a dollar lower. You always have to take care that you are not "talking
your position," looking at a chart and seeing only what you want to see and
ignoring the rest. Still, I believe that pattern on silver's chart is a
continuation pattern, very tight, and will break out upside. So (as my friend R.
asked me today) why not talk about the GOLD/SILVER RATIO ? Because I am still
holding out for 57.5 to swap, and believe we will yet see that. Silver and gold
have most likely made their bottoms, but first time silver makes a correction,
it will suffer much more than gold will, and that (I hope) will give us that
push. Think about something else. I am still smarting by swapping out of SILVER
into GOLD too early last year. I don't want to jump too early on the swap back,
and I know from previous years that the ratio can post several similar highs
before it turns down for good. Right, that's risky, but for right now I believe
it's a risk worth taking. US dollar today gained a massive, spectacular 2.3
basis points (0.03%) to end at 79.806. It skidded to a stop just above the 50
DMA (79.52). High today reached 80.184, low skidded to 79.643. Without closing
higher than 80.20, the dollar is merely trolling for fools gullible enough to
buy it on the way down. Of course, if the buck hangs around above 79.50 for a
few days, I might change my mind. Scabby euro rose 0.09% today to 1.3036, not
much changed from yesterday, but still rallying. Still headed for 1.3200 at
least. Yen, on the other hand, fell off a cliff today. Dropped 0.9% to
128.71c/Y100 (Y77.69/US$1), leaving behind a huge gap and punching through its
20 DMA (129.65) and 50 DMA (129.19). Support there is none before 128c, or the
200 DMA at 127.37c. Looks like the Nice Government Men in Japan woke up today
and decided to lower the yen. Stock indices shrugged off their confusion today
and all decided to drop together. Dow lost 33.07 (0.26%) to 12,675.75. S&P500
gave back 1.35 to 0.1%. Charts aren't quite the same. S&P500 has bumped into
overhead resistance from last spring's highs and stopped cold. Dow punched
through slightly, reached 12,764, and has traded back to the line for -- a
failure and fall back, or a final kiss good-bye? Not clear yet, but stocks don't
have much gas left. Dow won't reach 12,870, S&P500 shouldn't reach 1,360. On 24
January 1848 James W. Marshall discovered a gold nugget at Sutter's Mill in
northern California, the discovery that set off the Gold Rush. Discoveries of
gold in California, Australia, and later South Africa led to a CHEAPENING of
gold against silver, and the price of silver in gold rose steadily from 1848
until 1873, when silver was corruptly demonetized first in the US ("Crime of
'73") and then in the new German Reich. Contrary to the propaganda, it was NOT
new silver discoveries, like the Comstock Lode, that led to silver's cheapening
against gold or its demonetization. That was all politics, and silver was
gaining value from 1848 forward, never trading below the $1.2929 statutory value
from 1848 to 1873, and rising at some points to $1.35 (4.4% over statutory
price). No, ultimately driving silver out of the monetary system was a project
of special interests who planned to drive out first, silver, and then gold, and
so create their own money out of thin air. So far, they've won, and think what a
tragedy it would have been if the banks had lost. Why, how would states have
raised the money to fight all those world wars without central banks and fiat
money? Gee, they couldn't have, so they would have been forced to make peace. It
would have been a historical tragedy, wouldn't it? 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.
No comments:
Post a Comment