• Gold Price Lost 10 cent on the Comex Closing at $1,204.00

    18-May-15 22-May-15 Change % Change
    Gold Price, $/oz. 1,227.80 1,204.00 -23.80 -1.9
    Silver Price, $/oz. 17.712 17.03 0.682 -3.9
    Gold/Silver Ratio 69.320 70.699 1.379 2.0
    Silver/gold ratio 0.0144 0.0141 -0.0003 -1.9
    Dow in Gold $ (DIG$) 308.09 313.03 4.94 1.6
    Dow in gold ounces 14.90 15.14 0.24 1.6
    Dow in Silver ounces 1,033.13 1,070.58 37.45 3.6
    Dow Industrials 18,298.88 18,232.02 -66.86 -0.4
    S&P500 2,129.20 2,126.06 -3.14 -0.1
    US dollar index 94.27 96.11 1.84 2.0
    Platinum Price 1,177.40 1,147.90 -29.50 -2.5
    Palladium Price 793.00 784.00 -9.00 -1.1

    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

    Not every week is a good one, but I reckon we’ll survive this one anyway. Stocks made tee-tiny marginal new highs only to end the week lower. US dollar index gained in a (probably) brief correction to its plunge. SILVER & GOLD PRICES are correcting from their rally, jes’ taking a break.

    In the snarling teeth of a hot rising dollar and Janet Yellen’s fetid breath silver & gold held out today. On Comex the GOLD PRICE lost a measly ten cents to $1,204.00 and the SILVER PRICE gave back 8.1 cents to $17.03. Yes, after two rising weeks both silver & gold prices suffered a down week, but considering the rise that’s not so bad. AND they are still holding on here about $17.00 and $1,200 support.

    Remember we are moving into that part of the year that usually marks a seasonal low for silver & gold. Seasonal low doesn’t mean “low for the year”, only low relative to the rest of the year. That argues against expecting any big rise out of silver & gold prices next week, but options expire on Tuesday. After options expire the manipulators ease up a few days, so we might see action out of gold and silver next week.

    Buy on any fall to $1,190 or $16.80.

    Meanwhile, like those Venezuelans, I’m brushing up on my monetary history & holding on to silver & gold.

    By the way, the Internet’s abuzz in stories about governments banning cash. Don’t you know they’d like to, but it ain’t yet feasible. They might try, especially in totalitarian Europe, but not yet in the US and impossible in Asia. What do you suppose a cash ban would do to the street value of the silver & gold price? I remember back in the late 1970s gold’s street value in Russia was $2,400 an ounce when it was $600 in the US. That “illegal” part adds significant value. That “asset outside the banking system” adds significantly more value.

    Once again the rationality & utility of central banking is being proved in Venezuela, where the bolivar has lost a quarter of its value in the last 8 days. Today it traded at 415 to the US dollar, down from 173 when the year started (down 56.75%). Y’all reckon any of those Venezuelans are interested in owning a little gold or silver?

    Not even Janet Yellen’s hot air today could breath life into the stock market. Stocks declined in spite of her mumblings. What does it say that the Dow & S&P500 made new highs this week, but finished the week lower while Janet was blowing like the west wind? ‘Tain’t cheery for stocks.

    Dow fell 53.72 (0.29%) to 18,232.02 & the S&P500 lost 4.7 (0.22%) to 2,126.06. Both indices have traded into rising wedges, so both are candidates for a wedgectomy where the wedge breaks open and the index falls out.

    Dow in Gold

    Dow in metals indicators are still rolling over in the gator jaws. Dow in gold dropped 0.22% today to G$312.76 (15.13 oz), barely above the 50 & 20 DMAs which are twined together like lovers’ fingers.

    Dow in Silver

    Dow in silver has run out ahead of the Dow in gold, and stands not much above its 200 DMA. Flat today at S$1,378.12 (1,065.89 oz). Begging to drop further.

    US dollar index shot up today on not much news and on nothing Janet said. Still it rose 78 basis points (0.8%) to 96.11, which may mark the peak or near peak of this move. Resistance at 96.50 grows strong, mean, and hungry.

    If the euro weren’t so scabby sorry it might offer some competition to the US dollar. As it is, it can’t. It lost 0.93% to $1.1013 today, & has wrecked its uptrend. Yen fell 0.42% to 82.29, back to the bottom of its 6 month trading range. No hope.

    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.

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