Tag: gold price

Gold And Silver Prices: Value Of Knowing The Trend

| November 22, 2015 | Category: Price
Gold And Silver Prices: Value Of Knowing The Trend

All fiats fail, and the only difference this time around is the grossly exaggerated extent to which fiat has managed to survive. It also indicates that once the fiat “dollar” fails, and there are more and more cracks showing up in its ability to maintain its world reserve currency status, the move for physical gold and silver will also be favorably exaggerated to the upside.

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Gold Leaps and Looks Higher

| November 20, 2015 | Category: Technicals
Gold Leaps and Looks Higher

Yesterday’s rally was the most promising we’ve seen on the hourly chart in weeks. It surpassed no fewer than four prior peaks without taking a breather; moreover, the pullback has been shallow so far. We’ve been short this vehicle with an 1176 basis, but the current stop-loss at 1093.70 should be closely minded, since even moderate strength on Friday could trigger it. If so, it would give us a theoretical gain of $9300 on the position upon exit. If the rally is for real, bulls should be able to move the futures easily past1086.50 Thursday night.

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Huge Support Nearing For Price Of Gold

| November 19, 2015 | Category: Price
Huge Support Nearing For Price Of Gold

Our conclusion is that we have reached huge support areas in 3 leading assets. Do not forget this rule of thumb: Investors make their biggest gains when buying at secular support levels. Given the stiff correction in gold and commodities, we do not anticipate a raging bull market as of the moment support is reached. Our view? As precious metals were the first asset to correct, we anticipate they will be the first to recover.

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Gold And Silver Market: Sellers Remain In Control

| November 15, 2015 | Category: Price
Gold And Silver Market: Sellers Remain In Control

Will this potential double bottom hold? After the wide range bar decline, 6 bars ago, the last 5 bars have been overlapping, and the closes are almost clustering, both signs for a possible change in price direction. A rally can be expected, but surrounding circumstances dictate it may not last, as explained next.

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Gold, Silver, Copper Testing Six-Year Lows

| November 12, 2015 | Category: Price
Gold, Silver, Copper Testing Six-Year Lows

With the dollar having recently risen to a new seven-month high, commodity prices are in retreat. The brown line in Chart 1 shows the CRB Index (of nineteen commodity markets) falling to the lowest level since August (through yesterday). That commodity selling started in mid-October just as the U.S. Dollar Index started rising. A rising dollar almost always results in lower commodity prices (and stocks tied to them). The commodity selloff has been quite broad and includes industrial and previous metals, energy prices, and agriculturals. Several of those markets are testing six-year lows.

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Is Gold On Its Way To $817.50 /oz ?

| November 12, 2015 | Category: Price
Is Gold On Its Way To $817.50 /oz ?

For if the futures cannot bounce at least $30 after piercing 1073.70, I’d infer they are on their way down to 1044.50 at least; and thence to an obligatory test of $1000, where they haven’t been for six years. Below this watershed sit two more targets, either of which could mark the end of the bear market begun in August 2011: 971.35 (see inset) or, my worst case, 817.50.

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The Reverse Goldfinger Effect

The Reverse Goldfinger Effect

In 1964 Sean Connery starred in the movie “Goldfinger” in which the villain, a wealthy Brit named Goldfinger, attempted to revalue his personal gold hoard higher by a factor of 10. His plan was to detonate an atomic bomb inside Fort Knox making the US gold radioactive for hundreds of years. With the Fort Knox gold hoard, the largest in the world at that time, effectively unavailable the global price of gold would increase at least ten times from the 1964 price of approximately $35.00 per ounce. Bond, James Bond, thwarted the dastardly plot and saved the US gold, the US dollar, and the US government. The current 2015 gold […]

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What Is The Gold vs Debt Correlation Suggesting?

What Is The Gold vs Debt Correlation Suggesting?

Gold’s rate of change has been more dramatic than U.S. debt, as suggested by the second chart. As the price of gold is in the process to make a lower low currently, it’s rate of change is close to coincide with the one of U.S. debt. The chart suggests that the gold price correction after 2011 was to be expected, given that the yellow metal had risen too much, too fast. Our opinion is that the correction in precious metals is not over, but that the downside is limited.

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Gold And Silver At Make Or Break Level, As Dollar Breaks Out Big Time!

| November 9, 2015 | Category: Price
Gold And Silver At Make Or Break Level, As Dollar Breaks Out Big Time!

The metals sold off last week. Gold is testing righ now its August lows. This is a critical price level, gold bulls would like to see this price level hold, otherwise a washout (capitulation-alike) decline could be in the cards. As for silver, it is holding up slightly better. According to the Andrews Pitchfork methodology from PitchforkPlayground.com, gold has been whacked hard as the US Dollar rallies. Support is occurring at the lower median line extension of the modified-Schiff pitchfork and the July/August lows. The outlook of the precious metals is clearly not supported by the secular breakout of the U.S. dollar. As the multi-decade chart shows, the dollar has broken out of its declining secular trendline, earlier this year, and is about to confirm its breakout by moving higher from these price levels.

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Deception Rules Gold And Silver Markets, Not Fundamentals

| November 7, 2015 | Category: Price
Deception Rules Gold And Silver Markets, Not Fundamentals

As we have noted all year, the currency correction has been relatively weak, and weak corrections auger for higher prices. There is no way to know how much higher the deception of the fiat “dollar” will go. There will inevitably be signs of some form of ending action that declares the down trend to be finished. We have not yet seen any such sign. The sooner price can make a new recent lower low, the greater the probability that the down trend will end. In that regard, everyone who wants to be bullish should cheer on lower prices, for now.

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Gold Within Striking Distance Of 5-Year After NFP

| November 7, 2015 | Category: Price
Gold Within Striking Distance Of 5-Year After NFP

Based on the secondary indicators, a case can be made for at least a short-term bounce in the coming week. While the MACD is predictably trending lower below both its signal line and the “0” level, showing strongly bearish momentum, the RSI indicator has finally reached oversold territory (below 30). The last time the RSI indicator was this low, gold formed a medium-term bottom just below the 1100 level and rallied for the next three months. Bulls will be hoping that history repeats itself next week.

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Is There Much Downside In Gold?

| November 3, 2015 | Category: Price
Is There Much Downside In Gold?

There is not much room left to the downside, given the structure of bear markets. When carefully observing the second chart above, one can clearly see that the absolute bottom is being set around the 2nd year, following a very sharp reversal of a top. That type of extreme reversal occurs once. Such a bear market behavior is visible in today’s bear market as well. It means that the drop of 2013 was the key event in this bear market, and prices can go somehow lower but not to a significant extent.

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COMEX Gold Again Capped A Rally. Gold’s 2 Downside Targets.

COMEX Gold Again Capped A Rally. Gold’s 2 Downside Targets.

Gold was looking good until last week Wednesday, October 28th. It must be a coincidence that the COMEX futures gold price always drops significantly on the day of an FOMC meeting / announcement. Right now, gold sits on its 50 day moving average (DMA). If support fails, our downside target becomes $1125 at the lower median line of the blue modified-Schiff fork. The lower median line of the red modified-Schiff fork is around $1050.

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Month-End Technical Review For Gold And Silver

| October 31, 2015 | Category: Price
Month-End Technical Review For Gold And Silver

Twelve times a year, we get to present the monthly charts in order to keep a higher time frame perspective. Higher time frames are much harder to turn and change trend, so it pays to always be aware of what a monthly chart is indicating. A fact that all can agree on is that price is at recent lows when compared to the 2011 highs. That indicates the trend is down. It would be impossible to argue otherwise, whether one is an experienced chart reader or has no experience.

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