• 2015 Gold Price Score Card

    31-Dec-14 31-Dec-15 Change % Change
    Gold Price, $/oz. 1,183.90 1,060.30 -123.60 -10.4
    Silver Price, $/oz. 15.565 13.775 1.79 -11.5
    Gold/Silver Ratio 76.062 76.973 0.911 1.2
    Silver/gold ratio 0.0131 0.0130 -0.0002 -1.2
    Dow in Gold $ (DIG$) 311.20 339.72 28.52 9.2
    Dow in gold ounces 15.05 16.43 1.38 9.2
    Dow in Silver ounces 1,145.07 1,264.97 119.90 10.5
    Dow Industrials 17,823.07 17,425.03 -398.04 -2.2
    S&P500 2,058.90 2,043.94 -14.96 -0.7
    US dollar index 90.62 98.70 8.08 8.9
    Platinum Price 1,208.90 891.70 -317.20 -26.2
    Palladium Price 798.40 560.80 -237.60 -29.8

    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

    Above is the scorecard for the year, not the week, and a brutal year it has been for SILVER and GOLD PRICES, down 11.5% and 10.4%. Could have been worse: could have been platinum, off 26.2%, or palladium, off 29.8%. Whoops. Could have been stocks, which closed LOWER this year. Only the dollar gained, 8.9%.

    Silver and GOLD PRICES flatlined today. On Comex the SILVER PRICE lost 3.9¢ to $13.775. The gold price moved up a mighty 20¢ to 1,060.30 on a roughly $4.00 trading range. Comex wasted electricity even turning on the lights today.

    Both silver and gold prices are sketching out consolidations that will probably prove to be bottoms, but since a (down)trend in force remains in force until gainsaid, we need a sign. A neon sign. A gold price close above $1,088 and silver above $14.40.

    I note with passing interest that the GOLD/SILVER RATIO didn’t move much at year-end, despite sizeable moves during the year. The ratio rose 1.2% from 76.062 to 76.973. That’s an argument for metals turning up.

    Stocks tried to rally, but were cooked by 1:00 p.m. Dow lost 178.84 (1.02%) while the S&P500 backed up 19.42 (1.04%). Y’all can expect more of the same next year, more turmoil, more volatility, and MUCH more downside. Both indices start 2016 behind the 8-ball, since both closed today below their 200 day moving average. Not even Wall Street touts can make that look good.

    Dow in Gold
    Dow in Silver

    Dow in Gold and Dow in Silver appear to have confirmed downtrends today, rolling over, if ever so slightly. Dow in silver needs to fall beneath its 20 DMA first, to $1,246.57 ounces from its present 1,268.75. Dow in gold crosses its 20 DMA at 16.40 oz, not far from today’s 16.43 close.

    If I’m not merely deceiving myself these charts are confirming what I expect from the fundamentals, namely, much lower stock prices and higher silver and gold prices in 2016.

    US Dollar

    US dollar index closed 98.70 today, up 39 basis points and above the downtrend line. Well, maybe that’s broken out upward, and maybe that’s solely the outcome of lightly attended markets in a holiday week.

    Fed will give rise to all sorts of conspiracy theories if it continues to stand idly by while the dollar rises, crushing American exports, and it raises rates in the teeth of a slowing economy. Somebody might even suggest that the Fed works for somebody other than America. Of course, one might answer that with Occam’s Razor, viz., that the simplest explanation is the most likely one. Occam votes for blind academic stupidity, and that’s a pretty cogent and comprehensive explanation for the Fed’s policies, I must admit. Of course, severe chronic dyspepsia might be another.

    In German-speaking lands on New Year’s Eve they wish each other, “Guten Rutsch ins neue Jahr!” Good slide into the New Year!

    Y’all do your New Year sliding at home. It’s safer that way.

    May God bless you and yours in 2016 and always with mercy, peace, and truth!

    Y’all enjoy your weekend.

    Aurum et argentum comparenda sunt — — Gold and silver must be bought.

    – Franklin Sanders, The Moneychanger

    © 2016, 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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