LIVE Gold Prices $  | E-Mail Subscriptions | Update GoldSeek | GoldSeek Radio 

Commentary : Gold Review : Markets : News Wire : Quotes : Silver : Stocks - Main Page 

 GoldSeek.com >> News >> Story  Disclaimer 
 
Latest Headlines

GoldSeek.com to Launch New Website
By: GoldSeek.com

Is Gold Price Action Warning Of Imminent Monetary Collapse Part 2?
By: Hubert Moolman

Gold and Silver Are Just Getting Started
By: Frank Holmes, US Funds

Silver Makes High Wave Candle at Target – Here’s What to Expect…
By: Clive Maund

Gold Blows Through Upside Resistance - The Chase Is On
By: Avi Gilburt

U.S. Mint To Reduce Gold & Silver Eagle Production Over The Next 12-18 Months
By: Steve St. Angelo, SRSrocco Report

Gold's sharp rise throws Financial Times into an erroneous sulk
By: Chris Powell, GATA

Precious Metals Update Video: Gold's unusual strength
By: Ira Epstein

Asian Metals Market Update: July-29-2020
By: Chintan Karnani, Insignia Consultants

Gold's rise is a 'mystery' because journalism always fails to pursue it
By: Chris Powell, GATA

 
Search

GoldSeek Web

 
Gold And Silver – It Is Always About One Thing: Timing.



-- Posted Sunday, 8 September 2013 | | Disqus

By Michael Noonan

Is the current rally from the lows the result of:

A. Long lines to buy silver and gold coins world-wide
B. Unprecedented demand for those same coins, year over year
C. Drawdowns of physical gold/silver on COMEX
D. Central bank PM vaults about empty
E. Reneging on delivery by banks to gold customers
F. Deutsche Bank demanding repatriation of some of their gold, [unavailable]
G. Allocated gold accounts that have no allocated gold, [Paper promises instead]
H. China, Russia, India taking all offers by the tonne
I. Potential attack on Syria unilaterally by O[bomb]a

J. All of the above
K. None of the above

We would take J. All of the above, and then add, is that all there is? Is that the best the gold and silver market can do in light of so many ultra-positive dynamic developments? Is there any powder left in the PM guru muskets to substantiate pie-in-the-sky-promises, all unfulfilled, as of Friday? How much more information will it take to propel gold up to the "lofty" 1438 level? [Not as much pie, and not as much sky.]

There is one exceptional chart that best captures the essence of the current PMs scenario within its 5,000 or whatever year history, and it lets all know that everything else is a symptomatic consequence. When you understand the implications of this chart, you then understand it is all a matter of timing. You can add to the above list as many other aspects relating to gold and silver, and when the list is complete, ask, "How is it working out for you?"

Credit to Incrementum for their great chart. It would be even more dramatic had it gone back to 1913, when the private banking cartel, aka Federal Reserve, took control of the US money supply. It has always been just a matter of time. Everything else is but a symptom.

Gold Purchasing Power Chart

The London fix has been replaced by the endless "guru fix' to supply the shot in the arm so necessary to sustain the belief of over-the-moon-prices. "So and so said gold is going to $5000 and silver to $300." And?

How many times have we heard it? The drum beats are again getting louder. Meanwhile, the market struggles to maintain a solid rally. "The paper market is not the real market!" Okay, where is the "real market?" Being neither Russia nor China, most people are paying "paper market" prices for the real physical.

It is not that the potential for much higher prices is unlikely or the messages are without merit. It is not as though we have not been drinking the same gold/silver Kool-Aid, for we bought gold over $1700 and silver over $45, [physical], and still own it, as well as still buying. No credit here for timing, on that score, although the buying was more than for price sensitivity. It was for the pragmatic purpose of actually having the metals, in hand, no matter where the price was. That has been covered numerous times, already.

This is why we only rely on charts to do all the "talking." The market is the chief Auditor of what the actual participants have to say. "Listen to what the market is saying about others, and not what others are saying about the market."

Another potential the weekly chart shows is from the late June low to the August swing high, price can easily correct to 1270 area and still keep the integrity of a potential bottoming formation intact. It is all about timing.

Gold Weekly Chart

The chart comments adequately express what is developing near term. It is necessary that we admit to taking "stupid pills" when gold reached the August swing highs. Instead of realizing at least partial profits at an obvious resistance area, we ignored the clear message of the market and opted for "staying long" based on the "obvious" non-timing market belief that "reality" would set in. That was a misplaced "belief."

It is all about timing. Why didn't we read our own message?!

Gold Daily Chart

There are some positive short-term developments noted on the chart, but this lower time frame is subservient to the higher time frames. It does not look like a correction could go to the 1275 area, on this chart, but the weekly says it could happen, and we all need to be aware of the possibility. Let the market lead the way, then follow.

Gold 120-Minute Chart

Silver continues to hold better than gold, for whatever reason. The gap we noted, when it occurred, is interesting to follow, just for drill, to see if it holds, [for a lifetime] or gets filled.

The whole world knows about that 26 resistance area, so expect some backing and filling when it is next approached.

Silver Weekly Chart

The current activity on the right side is necessary to absorb all the selling from the left side box area. Since no one knows how any market will develop, we do not know how much time it will take for silver to spend whatever time is needed to successfully rally above the 25 area, which may also be a part of the more obvious 26 price level.

Silver Daily Chart

The intra day breakouts, D/S notations, are growing more than selling efforts, S/D. When, and how price approaches/overcomes/fails to overcome the immediate 24.60 area will provide important market feedback on the character of the silver rally.

Still long both metals.

Michael Noonan


-- Posted Sunday, 8 September 2013 | Digg This Article | Source: GoldSeek.com

comments powered by Disqus



 



Increase Text SizeDecrease Text SizeE-mail Link of Current PagePrinter Friendly PageReturn to GoldSeek.com

 news.goldseek.com >> Story

E-mail Page  | Print  | Disclaimer 


© 1995 - 2019



GoldSeek.com Supports Kiva.org

© GoldSeek.com, Gold Seek LLC

The content on this site is protected by U.S. and international copyright laws and is the property of GoldSeek.com and/or the providers of the content under license. By "content" we mean any information, mode of expression, or other materials and services found on GoldSeek.com. This includes editorials, news, our writings, graphics, and any and all other features found on the site. Please contact us for any further information.

Live GoldSeek Visitor Map | Disclaimer


Map

The views contained here may not represent the views of GoldSeek.com, Gold Seek LLC, its affiliates or advertisers. GoldSeek.com, Gold Seek LLC makes no representation, warranty or guarantee as to the accuracy or completeness of the information (including news, editorials, prices, statistics, analyses and the like) provided through its service. Any copying, reproduction and/or redistribution of any of the documents, data, content or materials contained on or within this website, without the express written consent of GoldSeek.com, Gold Seek LLC, is strictly prohibited. In no event shall GoldSeek.com, Gold Seek LLC or its affiliates be liable to any person for any decision made or action taken in reliance upon the information provided herein.