• The Gold Price Dropped $7.50 or 0.63 Percent Closing at $1,176.20

    23-Jun-15 Price Change % Change
    Gold Price, $/oz 1,176.20 -7.50 -0.63%
    Silver Price, $/oz 15.73 -0.41 -2.51%
    Gold/Silver Ratio 75.242 1.424 1.93%
    Silver/Gold Ratio 0.0133 -0.0003 -1.89%
    Platinum Price 1,067.20 6.90 0.65%
    Palladium Price 695.20 0.15 0.02%
    S&P 500 2,124.20 1.35 0.06%
    Dow 18,144.07 24.29 0.13%
    Dow in GOLD $s 316.86 2.42 0.77%
    Dow in GOLD oz 15.33 0.12 0.77%
    Dow in SILVER oz 1,153.32 30.45 2.71%
    US Dollar Index 95.70 1.18 1.25%

    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

    The GOLD PRICE dropped only $7.50  (0.63%) $1,176.20 while SILVER dropped 40.5 cents (2.51%) to $15.732. That sent the GOLD/SILVER RATIO to a new high for the move, 74.765 — another argument for a bottom nearby.

    Silver Price

    Silver pierced and closed below its uptrend line. Normally that leads to a further fall. Silver has support about $15.50, but that’s not to say it cannot drop further in a quick spike that will scare us all to death. RSI is negative but other indicators are not. Look for yourself, chart on the left.

    Gold Price

    Here’s a gold price chart on the right:

    No surprise, the GOLD PRICE sliced through its 20 DMA today, so gravity and momentum are weighing heavily. If it doesn’t stop at that $1,175 area that stopped it before, it is doomed to drop to $1,162, the last low, or $1,140, the March low.

    The volatility is killing me. The Greek crisis gets blamed for it, but it arises out of markets that are nervous, greedy, scared, and confused. That’s why they dump the dollar for 118 points one day, and buy it for 118 the next, why stocks lose 200 in two days then take back 100. All the unknowns and the fearful suspicions are weighing markets down, especially the suspicion that the Fed just might be stupid or lying about the economy.

    I would say, Look for a sudden, sharp turnaround as a buy signal, but we’ve had too many of those that have fizzled lately.

    Exampling how volatile and spooky markets are — thanks to stabilizing central banks — the US dollar index today rose 118 basis points (1.25%) to 95.70. On what news? What changed? Somebody discovered how to make electricity for free in the US? Nope, one Fed Reserve governor named Jerome Powell made a speech claiming the US economy “could” be ready for a rate hike in September, followed by a second in December and the US economy is set to strengthen in the year’s second half.

    What I don’t grasp: the Fed has NEVER yet, not once, correctly forecast the US economy. Why would anybody believe any of their shills today? Beats me.

    Dollar began rising last night, and opened today (24 hour day) about 94.80. Then it steadily rose until 9:30 eastern, then flattened the rest of the day. Silver and gold prices pretty much painted the reverse of that.

    In spite of rumors the Greek crisis is solved, stocks could hardly put one foot in front of the other today. Dow managed to climb 24.29 (0.13%) to 18,144.07. S&P500 added 1.35 (0.06%) to 2,124.20. Volume is not falling but also not growing. Can still inch higher.

    Dow in Gold

    Look at the chart on the right, the Dow in Gold, Today the DiG punched through the upper gator jaw, closing at 15.41 troy oz versus the March high at 15.58. I’ve been warning y’all this might happen. When I saw it, first thought that struck my mind was, “That’s it. We’re seeing the bottom in gold forming now.” Oh, maybe not today, probably not today, but it’s close. Stocks are making their last push up and the gold price its last dip, sending that Dow in Gold up. Remember, too, that we are now in the seasonal low window for silver and gold prices.

    Here’s the Dow in Silver on the left, It is reaching for its upper gator jaw, but not quite there at 1,152.96 troy ounces. Same vision applies here. A price bottom is coming for silver, whether now or two weeks, it’s coming.

    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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