RSSCategory: Articles: Gold Silver Prices

The Gold Cycles: Short and Long Term Outlook

The Gold Cycles: Short and Long Term Outlook

The following is an excerpt from the premium update from the The Financial Tap, which  is dedicated to helping people learn to grow into successful investors. They provide cycle research on a number of markets through weekly updates and trade alerts. Learn more about how The Financial Tap can help you have success in the markets. Kudos to gold and its ability to rally after what had been a stretch of fairly average action.  The mini breakout by gold has broken the long running series of lower Daily Cycle tops, a positive development that will need to be sustained if we’re to see Gold begin to move higher over time.  For now though, Gold […]

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Precious metals update

Precious metals update

Gold is now at the backside of prior “Major” trendline resistance, see right hand side chart below.  The bulls do not want to see a breakdown from here.  I mentioned in the previous post on gold that the breakout to the upside from the “Descending Triangle” pattern was not a signal to buy for the intermediate to long term for me.  I believe that risk is high in relation to probabilities of a new bullish trend developing in the daily timeframe.  Those who think that this trendline break is the “all-clear” signal to buy are “rolling the dice” in my opinion.  In the meantime, should the backside of this trendline hold as support, things start to get more interesting from a bullish […]

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Demand to Buy Gold Continues to Be High But Professional Trading Light Ahead of Jackson Hole

Demand to Buy Gold Continues to Be High But Professional Trading Light Ahead of Jackson Hole

Prices to Buy Gold retreated in London trade back towards yesterday’s 1-week low at $1653 per ounce on Thursday morning, slipping as world stock markets also fell. Silver Bullion held steadier, only 10¢ below last week’s finish at $30.70 per ounce. The US Dollar ticked lower against the Euro and Sterling on the currency market. Iron ore sank yet again, taking its drop since the start of March to 37%. “Bullion trading is still quite light with the market awaiting [Friday’s] Jackson Hole symposium,” says one London market-maker in a note. “Players on the precious metal markets already appear to be exercising restraint ahead of the annual [central-banking] conference this weekend,” agrees Commerzbank’s […]

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Recent Rally in Silver – A Sign of Strength or a Mere Correction?

Recent Rally in Silver – A Sign of Strength or a Mere Correction?

In its latest Gold Demand Trends report, the World Gold Council reports that gold buying by the world’s Central Banks hit a new record of 157.5 tons, more than double the level of Q2 2011 and accounting for 16% of overall global demand. Among them are the National Bank of Kazakhstan, and the central banks of the Philippines, Russia and Ukraine. If the Central Bank buying continues at the current pace this could be a record year for Central Bank buying. That’s the good news. The bad news is the WGC estimates that global gold demand in Q2 2012 was 990.0 tons, down 7% from the demand for the yellow […]

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Breakout Move In Silver Forecasting Global Hyper-Inflation

Breakout Move In Silver Forecasting Global Hyper-Inflation

Turmoil in Peru, Mexico, Argentina and Bolivia is adding to the world’s already existing shortage of silver.  This supply crunch is combined with rising political uncertainty in Egypt, Syria and Iran and economic malaise in the EU and the United States which is causing investment demand for silver to rise exponentially.  China is flexing its muscles in the South China Seas and is covertly importing silver to hedge against major declines in the U.S. dollar.  Recently we called a major top in treasuries in late July and a breakout move into silver for several weeks. All signs are pointing to a possible global inflation which could propel silver prices higher possibly from a ratio […]

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Gold Prices Could Correct if Bernanke Disappoints

Gold Prices Could Correct if Bernanke Disappoints

Gold Prices dipped below $1665 per ounce Wednesday morning in London, slightly below where they started the week, while stock markets edged lower, with markets focused on upcoming meetings of central bankers in the US and Europe. Silver Prices fell to $30.76 an ounce – in line with last week’s close – as other industrial commodities also ticked lower, following news that iron ore prices in China had dropped for the 13th day in a row. On the currency markets, the Euro held its ground above $1.25 this morning, with two days to go before Federal Reserve chairman Ben Bernanke gives a speech on monetary policy at the annual Jackson Hole conference […]

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QE3 Discussion Will Push Gold Prices Higher, Eurozone Problems Have Not Disappeared

QE3 Discussion Will Push Gold Prices Higher, Eurozone Problems Have Not Disappeared

Gold Prices traded just above $1660 per ounce Tuesday morning in London, a few Dollars down on last week’s close, while stocks and commodities were also broadly flat on the day and US Treasuries gained. Silver Prices rallied to nearly $31 per ounce, having fallen back through that level a day earlier, before easing back towards lunchtime. “Although in an uptrend, gold does not appear as technically strong as silver,” reckon technical analysts at Scotia Mocatta, a bullion bank. On the currency markets, the Euro climbed back above $1.25, having dropped below that level during Tuesday’s Asian trading, with analysts continuing to speculate on the prospects for a third round of quantitative […]

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Gold Prices are Headed Higher as People become aware of the Dire Situation of the Financial and Monetary System

Gold Prices are Headed Higher as People become aware of the Dire Situation of the Financial and Monetary System

Finally, the price of gold has broken out of its’ period of consolidation and now looks set to test the $1700 an ounce level in the short-term.  And, as both the technical and the fundamental outlook for gold remain positive, sentiment towards the yellow metal will also become more positive which in turn will provide additional momentum resulting in higher prices. Last week the price of gold rallied above $1,660 an ounce for the first time since early May, after minutes from the latest U.S. Federal Reserve showed that many FOMC members believed that more monetary easing measures should be implemented as soon as possible unless upcoming economic data showed  […]

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The Precious Metals MAJOR Breakout Part II

The Precious Metals MAJOR Breakout Part II

It has been a year since the price of gold bullion topped out and even longer for silver. Many traders and investors have been patiently waiting for this long term consolidation pattern to breakout and trigger the rally for precious metals and miner stocks. Most of gold bullion is used for investment purposes.  As a result, it rises when there is economic weakness and investors lose confidence in the fiat currency of a country. With continuing economic weakness in the United States it will almost certainly lead the Federal Reserve to act in way that is more powerful than Operation Twist which is the selling of short term securities to […]

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Ratio Chart Looks Bullish For Gold

Ratio Chart Looks Bullish For Gold

This is sort of a follow up to Karen’s article a few days ago highlighting gold and silver as a sector that you’ll want to pay attention to in the coming weeks. Here is a ratio chart of the Gold:USD. If you are unfamiliar with what a ratio chart is here is Stockcharts definition: “You can divide any security by another and chart the results by entering the first security’s symbol, a colon (:), and then the second security’s symbol. For example, to compare how Intel has been doing relative to the Semiconductor Index, you’d enter “INTC:$SOX” in the “Enter Ticker” box of our SharpChart tool.” One of the main reasons […]

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Financial Astrology: Gold and Silver

Financial Astrology: Gold and Silver

The recent rally with gold and silver sort of crept up on many traders who were waiting for the Fed to announce the start of QE3. The rally started the first week of August with or without (?) more QE.  The question mark reflects my personal opinion that more QE is flowing secretly, and not approved by Congress. August 2nd was a date I described beforehand in my newsletter as very critical for the markets and gold.  I felt that gold would be at high risk for a significant pullback on that day.  Gold did take a hit that day however gold ended up faring much better than Knight Capitol […]

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Gold and silver prices continue their strong move – 23 August 2012

What a spectactular week in the gold and silver markets. Eearlier this week, we wrote that gold and silver prices are breaking out. The dollar gold price moved up strongly on Thursday August 23, gaining 1.9% and closing around $ 1,668. The dollar silver price went  up with 3.2% closing around $ 30,50. On a weekly basis, gold in dollar terms is up 3% and silver already 8.1%. There is a strong difference between the moves of gold and silver in dollar compared with the metals prices euro, as the euro gold price moved up only 0.05% and euro silver price 0.14%. That could seem strange, but the long term […]

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Euro Gold closing in on its All Time High

Euro Gold closing in on its All Time High

The following chart reveals the strength of gold when priced in terms of the Euro Currency. Notice that it has been steadily working higher and is within striking distance of an overhead resistance level coming in just shy of 1350. If can push through this level, it should be able to match or exceed its all time high. It has been in a consolidation pattern since late last year but with a definite higher bias as can be seen from the series of higher lows riding along the lower red support line. Notice that mini-trend higher has accelerated since April of this year.

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Silver Tacks on the “30” Handle

Silver Tacks on the “30” Handle

Short Covering from panicked speculators has led to a sharp rise in silver prices that is also drawing in new buyers who chase momentum. Note that hedge funds while remaining net longs, had also begun playing silver from the short side as the European sovereign debt crisis had most investors looking at the slowing economic growth environment as one in which to short both copper and silver.  Yesterday’s change of wording in the FOMC Statement sent shock waves through the shorts who ran like hell setting the stage for a signficant amount of technically related buying in today’s session which commenced in Asian trade last evening. I am expecting the […]

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