• Gold Price Tumbled $6.10 or 0.53 Percent Closing at $1,147.20

    15-Jul-15 Price Change % Change
    Gold Price, $/oz 1,147.20 -6.10 -0.53%
    Silver Price, $/oz 15.03 -0.27 -1.75%
    Gold/Silver Ratio 76.338 0.934 1.24%
    Silver/Gold Ratio 0.0131 -0.0002 -1.22%
    Platinum Price 1,021.60 -6.30 -0.61%
    Palladium Price 641.90 -14.20 -2.16%
    S&P 500 2,107.40 -1.55 -0.07%
    Dow 18,050.17 -3.41 -0.02%
    Dow in GOLD $s 325.25 1.66 0.51%
    Dow in GOLD oz 15.73 0.08 0.51%
    Dow in SILVER oz 1,201.10 20.74 1.76%
    US Dollar Index 97.29 0.50 0.52%

    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

    GOLD PRICE tumbled $6.10 or 0.53% while silver skidded 26.7% (1.75%) on Comex. Closes were $1,147.20 and $15.028.

    The GOLD PRICE remains in the falling wedge I spoke of yesterday, but stabbed into that support line rising gently from the November low. Low came at $1,141.90, close to that $1,130 low. If you’re ever going to see that, will probably be tomorrow.

    The SILVER PRICE fell down out of that little even sided triangle I mentioned yesterday, and hit a low of $14.96. Every reason to expect it will drop back at least briefly to or near the 7 July low at $14.62. Should happen tomorrow.

    GOLD/SILVER RATIO is at 76.338, not as high as 7 July’s 77.084. Oh, it gapped up today, but if silver and gold prices were bottoming here, the ratio would reinforce that with a lower high. Just speculating.

    Once again, my operating theory is that silver and gold prices are fulfilling cyclical and seasonal lows in this time window, and that will mark the end of the long bear phase from 2011. Alternative interpretation is that I am plumb wrong and silver and gold prices will drop a lot more. I tell you that to make the risk plain, and don’t kid yourself. No matter how emphatically anybody argues one interpretation or the other, nobody has a crystal ball.

    This morning as we were getting ready I said to my wife Susan, “The problem with Greece is government — everybody has tried to make a nest for himself on the government teat. They’re all like pigs feeding on a sow: if nobody feeds the sow, nursing starves her to death.”

    “That’s just like the U.S.!” sweet Susan shot back.

    “Precisely. Between Greece and the US only quantity differs, not quality.”

    Since Bismarck every Western nation has installed the “social[ist] state,” which claims to be able to support everyone in infancy, infirmity, and old age and to run the economy. But with a growing number of pigs sucking on the teats year by year, eventually feeding ’em pulls down the sow till she dies. Central banks try to feed the sow paper, but a sow can’t thrive on paper. Eventually, nursing all those pigs pulls the sow down so that she starves to death. THIS is the crisis facing Greece and the West, and unless they get those pigs off that sow, she’ll die. Until the government teat is taken away from all the parasites and the economy freed from government and central bank control, nothing will improve and the Western economies, including the US, will keep lurching toward destruction.

    A WARNING FROM GREECE FOR THOSE WHO STILL TRUST BANK SAFETY DEPOSIT BOXES. On 5 July Reuters reported that the Greek Deputy Financial Minister said that part of the measure closing the banks was that “people would also not be allowed to withdraw cash from safe deposit boxes.” Why not? You figure it out. Reuters report here, http://reut.rs/1fJOuFn Interpretation from EFT Daily News at http://bit.ly/1I33lr1 Only way to stay out of a bar fight is to stay out of the bar.

    Y’all remember how to tell when a central bank official is lying, right? Sure, her lips are moving. So, Janet Yellen spoke to congress today, but it was the same old hogwash, every day in every way the economy is getting better and better. Y’all believe that, doncha? Sure, sure.

    Stocks ran out of gas today, but remain above the 50 DMA. Dow fell 3.41 (0.02%) to 18,050.17 while the S&P500 shaved off 1.55 (0.7%) to 2,107.40.

    On the silver and gold price plunge the Dow in Gold rose 0.58% to 15.73 ounces. Dow in silver bumped up 1.95% to 1,199.51 oz. I’m cliffhanging.

    US dollar index rose 50 basis points (0.51%) to 97.29. That almost dispels all doubt. Tomorrow it ought to close above the last high (97.45) to confirm its rally. Really doesn’t need any confirmation, though.

    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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