Gold Price Close Today : 880.70
Change: 6.50 or 0.7%
Silver Price Close Today : 12.720
Change: 48.9 or 4.0%
US Dollar Index Today: 79.70
Change: 0.21 or 0.3%
The GOLD PRICE chart today looks a bit odd, trading up strongly into
noon, then falling sharply. It rose $6.50 today to close at $880.70, then
faded off $8 to $5 in the aftermarket.
The SILVER PRICE rose 48.9 cents to close at $12.72. Arresting figure
of both silver and gold price charts is the gap in the chart for Tuesday.
Technical rule of gaps is that "gaps are always filled", except for
breakaway gaps, and today the market traded back up to fill the gap, then
traded back. However, does any rule mean anything any longer? Why would
silver and gold prices gap down on Tuesday, suddenly, both of them? Why, when
the financial system is tottering and teetering? Why, when physical silver
premiums say silver's price is not the paper price of $12.50 but $16.00?
Hogwash, I just don't believe it, anymore than I believe that stocks are in a
bull market., or that pigs can be taught table manners.
For my part, I would keep on buying silver and gold, and shucking stocks and
Have y'all noticed yet that the US DOLLAR INDEX's rally to 80 merely touched
the long term downtrend line? Need I point out that this is not strength,
merely a bear market rally? Nice Government Men (NGM) have been ferociously
slapping their defibrillator to the dollar's corpse, trying to raise it up
off the slab, but so far have not quite reached the last high at 80. When the
announcement of the bailout agreement comes from congress, the dollar will
undergo one last jolt, and then expire.
About the same time stocks will show a one-day surge of upward enthusiasm for
the bailout agreement, then wilt again. Use any rally to get out of stocks.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
Reprinted with permission from The Moneychanger. Franklin
Sanders lives on a farm in Middle Tennessee by choice, deals in physical gold
& silver, and has been writing and publishing The Moneychanger for nearly
26 years. In 1993 he wrote Silver Bonanza for Jim Blanchard. Last year
he published "Why Silver Will Outperform Gold 400% and & The
Professional Trading Secrets That Will Make the Most of Your Silver &
Gold Investments," still available at www.the-moneychanger.com/order/publications.phtml.
You can sign up for Mr. Sanders' free daily e-mail
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