• Silver and Gold Prices Have Not Ended Their Long Bull Market


    Gold Price Close Today : 1282.00
    Change : 9.00 or 0.71%

    Silver Price Close Today : 21.320
    Change : 0.174 or 0.82%

    Gold Silver Ratio Today : 60.131
    Change : -0.069 or -0.11%

    Silver Gold Ratio Today : 0.01663
    Change : 0.000019 or 0.12%

    Platinum Price Close Today : 1395.20
    Change : 14.80 or 1.07%

    Palladium Price Close Today : 712.55
    Change : 7.25 or 1.03%

    S&P 500 : 1,721.54
    Change : 23.48 or 1.38%

    Dow In GOLD$ : $247.90
    Change : $ 1.59 or 0.65%

    Dow in GOLD oz : 11.992
    Change : 0.077 or 0.65%

    Dow in SILVER oz : 721.10
    Change : 3.80 or 0.53%

    Dow Industrial : 15,373.83
    Change : 205.82 or 1.36%

    US Dollar Index : 80.507
    Change : 0.054 or 0.07%

    Mostly I am wondering how silver and GOLD PRICES will take the news of the debt ceiling “settlement” (the quotation marks indicate that the so called deal only pushed the crisis forward to January). In the aftermarket both were stronger. That’s not all. Both silver and gold prices made key reversals yesterday on the End of Day charts. Both remain in falling wedges, which usually but not always resolve with an upside breakout. If silver and gold prices are going to make good that upside down Head and Shoulders that appears on their charts, tomorrow would be a meet day for rallying.

    Once again, the GOLD PRICE must hold $1,272 and the SILVER PRICE 2090c on a closing basis, otherwise they will plumb the depths of the June lows again.

    Premiums on gold coins, usually very stable, are rising, especially on the normally low premium Krugerrands (up from 1 to 1.5% to 2.05% at wholesale buy) and American Eagles (up from 2.5% to 2.9% at wholesale buy). That suggests relentless buying pressure on physical gold.

    I don’t like uncertain trumpets, and mine has probably been tooting pretty low-toned in recent months. I don’t like this bumping along the bottom and waiting any more than y’all do, but get this much clear: silver and gold have NOT ended their long bull market, and are nearing a final and positive end of the 2011 – 2013 correction. Every day brings us closer, and when it happens all those goofs now touting stocks will be clueless why metals are rallying. Also, stocks within the next 3 -4 months will hit the final top of a 300 year primary trend. Blood will copiously flow when that collapse begins. Make sure it’s not yours.

    Did I say, “Get out of debt”? That, too.

    I have to wonder, if the rumor of a deal on the debt ceiling ran stocks up today, what the news will do tomorrow. Whence will the next emotional high arise to send stocks higher? Both reversed upward today strongly. Dow added 205.82 or 1.36%, closing at 15,373.83. S&P500 gained 23.48 (1.38%) to end the day at 1,721.54.

    Eye-catching how the Dow is lagging the S&P500. S&P500 is only 4.5 points (0.26%) away from its 18 September 2013 all-time high of 1,725.52. From its 18 September high at 15,676.34 the Dow languishes 302.51 points or 2% below. S&P500 also draweth nigh to its all time intraday high at 1,729.86 in September, as well as its top trading channel line, which actually is the top line of a rising wedge. Not so the Dow.

    None of this says stocks can’t go higher, and they probably will. It only warns that their days are numbered.

    Stocks gained lots in nominal terms, but not so much compared to gold and silver. Dow in gold rose 0.65% to 11.992 oz (G$247.90 gold dollars), still a half ounce below its June 12.514 oz high. Dow in silver’s close today at 721.10 oz was 0.53% higher than yesterday’s and a long was from its June 816.77 oz. high.

    US dollar index closed 80.57, up 0.04%. Euro rose, but can’t get above its 20 DMA. Yen fell out of bed — again. No clarity here, because the seeming week won’t break down, and the seeming strong won’t make good their threat.

    Argentum et aurum comparenda sunt — — Gold and silver must be bought.

    – Franklin Sanders, The Moneychanger

    © 2013, 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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