• Gold Price is Ready to Rumble, You Ought to be Buying Silver and Gold

    27-Jan-16 Price Change % Change
    Gold Price, $/oz 1,116.10 -5.60 -0.50%
    Silver Price, $/oz 14.44 -0.10 -0.72%
    Gold/Silver Ratio 77.292 0.168 0.22%
    Silver/Gold Ratio 0.0129 -0.0000 -0.22%
    Platinum Price 880.40 5.20 0.59%
    Palladium Price 500.55 8.80 1.79%
    S&P 500 1,882.95 -20.68 -1.09%
    Dow 15,944.46 -222.77 -1.38%
    Dow in GOLD $s 295.31 -2.63 -0.88%
    Dow in GOLD oz 14.29 -0.13 -0.88%
    Dow in SILVER oz 1,104.19 -7.42 -0.67%
    US Dollar Index 98.95 -0.18 -0.18%

    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 backed off $5.60 (0.5%) at $1,116.10 at the 12:30 Comex close, but soon as the Fed’s news hit the wires, jumped up $10 to $1,125.60. The SILVER PRICE on Comex fell 10.4¢ or 0.7% to $14.44 but rose only 2¢ in the aftermarket.

    Let’s focus on the GOLD PRICE, because silver is the follower right now. It reached up and touched the downtrend line from the October 2012 high. Nearly reached the 200 DMA at $1,133.64, but not quite. Expect the price of gold to show itself strong tomorrow. Very strong. Maybe strong enough for the Nice Government Men — bless their tinted-window white Plymouths! — to want to hit gold on the head. Doesn’t matter, the gold price is ready to rumble.

    Y’all have had your signal: you ought to be buying silver and gold.

    Again today the Fed illustrated its ability to roil markets. With the usual mumbling the Fed blew hot and cold out of both sides of its mouth. Stocks had held up well until the Fed statement at 2:00, when a giant vacuum cleaner hose snaked up out of the Earth’s Core and began sucking them down. Dow lost 222.77 (1.38%) to 15,944.46, casting any rally in doubt. S&P500 dropped 20.68 (1.09%) to 1,882.95. Bad, bad juju, Janet. You ought to just keep your mouth closed.

    US dollar index also hit the skids, dropping through the bottom boundary of that rising wedge (bad, bad) and closing at 98.95, barely above its 50 DMA (98.89) but below the 20 DMA (98.97). This is not yet fatal, but another 20 basis points and it will be. Euro rose 02.24% and may have broken out upwards, but the Yen dropped 0.2%. Go figure.

    That central bank socialism really works, don’t it? Just like a rattan steam engine.

    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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