Gold, Silver & Other Precious Metals 11 (Sep 13 - Aug 14)

[winston]

GOLD IS STILL HOLDING AN IMPORTANT PRICE LEVEL

More good news for gold owners: Gold is still holding the $1,250 level.

Longtime readers know that when we started publishing DailyWealth in 2005, we were bullish on gold.

We were gold owners years before that. Since then, we've published hundreds of essays on the right ways to own it. We even published a book on gold.

In 2013, gold dropped from $1,700 per ounce to $1,200 an ounce. Several months ago, we noted that gold sellers have tried to push it below the $1,200-$1,250 range several times... only to meet strong buying pressure.

This is the area where large buyers like Asian central banks are stepping in to buy gold.

As you can see from the three-year chart below, this $1,200-$1,250 area is becoming a "hard floor" for the metal. If you don't own a gold position yet, here's the place to buy.

Source: www.dailywealth.com

[winston]

This Could Jumpstart the Next Gold Rally By Jeff Clark

Last month, I told you gold was setting up for its next big move higher.

The metal had developed a long-term inverse "head and shoulders" pattern on the chart. This is a bullish pattern that often signals the reversal from a bear market to a bull market.

I said if gold managed to rally above the "neckline" of the pattern at about $1,380, the projected target would be up around $1,600 per ounce.

Since my essay, the metal has gone nowhere. But the gold price may be about to get the push higher it needs from the U.S. dollar…

In May, we looked at the U.S. Dollar Index. The dollar was setting new lows for the year and looked to be on the verge of an ugly breakdown.

I said a breakdown in the dollar could send the price of gold soaring.

You see, many assets – like gold – typically trade opposite of the dollar. So gold falls when the dollar rallies… And gold rallies when the dollar falls.

But the breakdown didn't happen. The dollar has rallied nearly 3% over the past three months. And the U.S. Dollar Index is now trading at its highest level this year.

However, the rally is now a bit too extended… and the dollar may be ready to roll over.

Take a look at this chart of the U.S. Dollar Index…

Please Enable Images to See this

Note the Moving Average Convergence Divergence (MACD) momentum indicator at the bottom of the chart. The MACD is a measure of overbought and oversold conditions.

As you can see, the MACD is now more overbought than at any other time over the past year. It's also beginning to curl lower. The last few times this happened (the blue circles on the chart), we saw short-term peaks in the U.S. Dollar Index. If that pattern holds true this time around, the dollar will enter at least a short-term-decline phase. But we could see something even worse…

Take a look at this long-term weekly chart of the U.S. Dollar Index…

Please Enable Images to See this

The dollar broke down from a long-term consolidating-triangle pattern earlier this year. As you can see, the recent rally brought the dollar back up to retest the former blue support line of the pattern – which is now resistance. If resistance holds and the dollar turns lower from here, the buck could fall all the way to the red support line at about 75.

A falling dollar – even in the short term – could send the price of gold soaring… which is exactly what the metal needs to kick off its next rally phase.

Source: www.growthstockwire.com

[behappyalways]

The five most important reasons to hold gold
http://www.telegraph.co.uk/finance/comm ... -gold.html

[winston]

Silver market ALERT: A major change begins today

The silver-pricing method that began during the reign of Queen Victoria [ended yesterday] in London as the $5 trillion market shifts to a more transparent process and regulators expand scrutiny of how commodity benchmarks are set.

An electronic, auction-based mechanism will replace a ritualized negotiation among a few traders that’s been in place for 117 years.

Silver becomes the first of the precious-metals markets to ditch a daily “fixing” procedure where dealers agree to a price over the telephone.

Revamps also are planned this year for fixings in gold, platinum and palladium.

Source: Bloomberg

http://thecrux.com/the-silver-market-is ... nge-today/

[winston]

This could be the most important moment for silver in the last 10 years By Chris Kimble

Silver has lost almost two-thirds of its value over the past three years.

This decline has silver hitting a 10-year support line inside of a three-year falling channel.

Joe Friday… It’s very important that silver holds at this long-term support line!

I would be interested in buying some silver should support break and it reaches the $15 zone.

Source: Kimble Charting Solutions

http://thecrux.com/this-could-be-the-mo ... -10-years/

[winston]

Gold Soared 80% the Last Time This Indicator Flashed "Buy" By Jeff Clark

Patient gold traders are about to be rewarded.

In May, I told you gold was going higher.

Since my essay, the price of gold hasn't done anything. Gold is only up around 2% over the past three months. That's not exactly the big return most gold bulls are looking for.

But last week, I showed you how the "topping" action in the U.S. dollar could soon send the price of gold soaring in the short term.

And we're likely about to get a "buy" signal from one long-term gold-buying indicator. The last time this indicator flashed "buy," gold soared 80% in a little more than two years…

Take a look at this long-term monthly chart of gold…

Please Enable Images to See this

The bottom of the chart shows the Moving Average Convergence Divergence (MACD) momentum indicator. On a short-term basis, the MACD shows overbought and oversold conditions. On a long-term basis, the MACD can be used as a timing indicator.

Without getting too complicated, when the shorter-term black trend line crosses above the longer-term red trend line, we have a "buy" signal. When the black line crosses below the red line, we have a "sell" signal.

The arrows on the chart show you how previous buy and sell signals have worked out in the past.

Keep in mind, this is a MONTHLY chart. So these are long-term buy and sell signals. They point out trends that are likely to last a year or more.

For example, the last buy signal for gold was back in October 2009. The signal lasted for more than two years, and gold rallied from about $1,000 per ounce to more than $1,800 – around an 80% gain – just before the MACD indicator generated a sell signal.

That sell signal has now been in place for 2.5 years. Gold has fallen from $1,800 per ounce to its current price of around $1,300.

But look at the setup on the MACD indicator. The black line is curling up and is on the verge of crossing over the red line. If this happens, it will generate a long-term buy signal for gold – the first long-term buy signal since 2009.

Since this is a monthly chart, all that matters is how the indicator looks at the end of the month. But based on how it looks right now, gold is about to soar.

Source: www.growthstockwire.com

[winston]

[b]Why every single American needs to hold gold[/b

Summary: Gold is money… because it is durable, divisible, convenient, consistent, valuable, and cannot be created out of thin air by the government.

Just as it’s always a good idea to keep some savings in your local currency, it’s also a good idea to keep some savings in gold.

http://thecrux.com/why-you-need-to-hold-gold/

[winston]

The Fix Is In on Silver

by Sean Brodrick

Source: Investment U

http://www.investmentu.com/article/deta ... _puxaPlKZQ

[winston]

Get ready… The best month for gold is about to begin

Gold investors hurting from prices within 1 percent of a two-month low can find solace from history showing the metal tends to perform best in September.

Buying typically increases with India’s festival period, which runs from late August to October and is followed by the wedding season, times when bullion is bought for part of the bridal trousseau or in jewelry form as gifts from relatives.

Chinese purchases may also increase toward year-end, before the country’s Lunar New Year celebration in February. The nation replaced India as the largest user in 2013.

“Indian jewelers and dealers will be stocking up in the coming weeks, so it should affect prices,” said Mark O’Byrne, a director at brokerage GoldCore Ltd. in Dublin. “A lot of traders are aware of this trend towards seasonal strength, so that may contribute to higher prices. They tend to buy and that creates momentum.”

The metal traded at $1,283.68 in London yesterday for a 6.8 percent gain this year, rebounding from a 28 percent drop in 2013, according to Bloomberg generic pricing. That decline, the most in more than three decades, spurred more jewelry to coin purchases in Asia, even as India’s government choked off imports to curb a current-account deficit. Still, prices slipped 4.7 percent last September, bucking the long-term trend.

Source: Bloomberg

[winston]

Gold stocks move higher… sector fund GDX is up 15%-plus over the past three months.