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Gold Price Close Today : $797.60
Gold Price Close August 29th: $829.30
Change: -31.70 or -3.8%
Silver Price Close Today : $12.24
Silver Price Close August 29th: $13.60
Change: -$1.36 cents or -10.0%
US Dollar Index Today: 79.040
US Dollar Index August 29th: 77.400
Change: 1.640 or 2.1%
I brought my wife Susan home today after a 8 days in the hospital for
[heart] mitral valve replacement. I've had all the hospital & cardiac
surgery fun I can stand for a while. Her surgeon worked masterfully, the
other physicians added skill and wisdom, and the nurses are angelic beings
from another realm far above Earth. I spent all but one night of the last 8 in her room, and I'm almost as tired as she is. By the grace of God she is doing remarkably well,
thanks in no small part to your faithful prayers. Thank you very much. God
does abundantly, exceedingly above all we can ask or imagine.
Today I am trying to bring myself up to speed, and I find that two weeks ago
today I wrote y'all that 3 outcomes were possible, namely, a drop to a new
low, a V-bottom, or a touchback. As things have developed this week and
today, a double bottom (touchback) has unveiled itself.
The SILVER PRICE closed today at $12.248, a new low close but about
the same as the 15 August $12.31 intraday low. The GOLD PRICE closed
today at $797.60 ($792.15 low) against 15 August's close at $786. Together
that paints a slightly lower silver price low close with a slightly higher
gold low close. (Remember, double bottoms can be lower-higher, same point, and
higher-lower.) More volatile silver wobbles & waves more than gold, so a
lower close here works, although it certainly isn't ideal.
Next week will tell the tale, and my guess (okay, my bias, because I know
silver and gold prices remain in a long term bull market) is that we are
today witnessing the second prong of a double bottom. How will you know I am
wrong? Lower closes in both metals on Monday.
Meanwhile the glorious US DOLLAR INDEX, Hero of State Capitalism, has risen
all the way to where it stood last September. W - O - W. The RSI & MACD
indicators are also the most eye-poppingly oversold I've seen them in a long,
long, long time. If I saw anything else that overbought, I would have to say,
"Gravity the Avenger is about to hit you in the head with a 48 oz. ball peen hammer."
STOCKS now wallow more than 20% down from their October all-time high. Many
analysts use that 20% mark as the measure of a bear market. On the other
hand, we ignorant hillbillies from Tennessee don't measure the Dow in always-dwindling
dollars, which is like trying to shoot skeet off the back of a bass boat in a
storm. Rather, we don't know no better than to measure the Dow in gold or in
silver, and against those monetary metals stocks have lost seventy-per cent
of their peak values. Stocks are in real trouble. Sell them all, and put the
proceeds into silver & gold.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
- Franklin Sanders, The Moneychanger
"Buy Silver and Gold Coins at the Best Prices"
The-MoneyChanger.com
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 $195.66; stocks' primary trend is down, targeting Dow
under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets,
primary trend down; real estate in a bubble, primary trend way down.
Franklin Sanders
www.the-moneychanger.com
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 commentary
on gold & silver at www.the-moneychanger.com, and download your
free portfolio calculator to keep up with your gold and silver investments.
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