• Gold Price Closed Down $19.50 or -1.51%


    21-Jun-16 Price Change % Change
    Gold, $/oz 1,270.50 -19.50 -1.51%
    Silver, $/oz 17.31 -0.19 -1.10%
    Gold/Silver Ratio 73.393 -0.309 -0.42%
    Silver/Gold Ratio 0.0136 0.0001 0.42%
    Platinum 981.10 -5.70 -0.58%
    Palladium 554.05 3.50 0.64%
    S&P 500 2,088.90 5.65 0.27%
    Dow 17,829.73 24.86 0.14%
    Dow in GOLD $s 290.10 4.78 1.68%
    Dow in GOLD oz 14.03 0.23 1.68%
    Dow in SILVER oz 1,029.97 12.72 1.25%
    US Dollar Index 94.11 0.42 0.45%

    Several futures brokerages in the US and Europe — NOT the exchanges — have DOUBLED margins on silver, gold, and currencies. The change was scheduled to take place with yesterday’s close, but after customers complained some brokers put it off until tonight. It’s to be rescinded after Friday’s close. This allegedly will prevent speculation on the Brexit outcome. Right. Sure. Some of the cynical say the real purpose is to suppress silver & gold. Me, I ain’t got a cynical bone in my whole loose-jointed, raw-boned body. 
    Yesterday I neglected to observe something. Y’all remember that big jump in stocks that everybody was jubilatin’ about? Truth is, the Dow shot up 271 points, but gave back half of that to end the day up only 129.71. Spongy, folks, spongy. 
    Today the Dow barely stayed above its intertwined 20 & 50 day moving averages. Rose 24.86 (0.14%) to 17,829.73. S&P500 added 5.65 (0.27%) to 2,088.90. Hurts me to think about the pain coming when stocks hit the skids. Soon. 
    Y’all ever notice that when there’s a fly in the room, he’s never content to mind his business & let you mind yours? Always has to buzz around your head & land on your head & fly into your face until finally, with all the philosophical humanitarianism in the world you have to pull out the swatter and SMACK him. I hate to do that, because the fly is the national bird of my county. 
    US dollar index found some go-juice today and rose 42 basis points (0.45%) to 94.11. That closes it right on the upper channel downtrend line, blowing hot & cold out of both sides of its mouth. Dollar index will prove nothing until it rises & soars above the June high at 95.905. 
    Sorry, scurvy euro, which rose 0.28% yesterday in the Fantasyland Frenzy, sobered up today with a 0.53% drop to 41.1251, just above the 20 DMA & looking ready to die. Japanese yen plumped down a massy 0.93% to close today at 95.38. Needs one more gap down to complete that island reversal, but it’s trying hard. 
    Glance at Gold’s chart here, http://schrts.co/JQ6RvS 
    Silver’s chart hideth here, http://schrts.co/JQ6RvS 
    Big break came in metals today. Gold like a meteor swooped $19.50 (1.5%) nearer the earth. Silver tumbled 19.2¢ (1.1%) to 1731.1¢. 
    I expect this to be a shallow correction, say to $1,260 gold, where lieth roughly the 50 day moving average and a 50% correction of the last rise. For silver, look for 1685¢ to 1660¢, a little beneath the 50 DMA. If they exceed those marks, then we are dealing with a different sort of correction, and deeper. At most that might extend to 1600¢ & $1,250. 
    Don’t fuss at me, I’m just the reader and trying hard to be a realist. This is the very short term (next week) outlook. Brexit might skew everything in a way we don’t yet know to expect. A vote FOR Brexit surely wouldn’t hurt silver & gold, but go or stay, the effect won’t last long. 

    On 21 June 1834 Cyrus McCormick patented the first practical mechanical reaper. His invention allowed farmers to more than double their crop size. Whether this was a good thing or not depends on your viewpoint.

    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.  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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