Advertise | Bookmark | Contact Us | E-Mail List |  | Update Page | UraniumSeek.com 

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

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

Gold Seeker Weekly Wrap-Up: Gold and Silver Gain Almost 1% and 3% on the Week
By: Chris Mullen, Gold-Seeker.com

Ira Epstein's Metals Video 5 26 2017
By: Ira Epstein

COT Gold, Silver and US Dollar Index Report - May 26, 2017
By: GoldSeek.com

Really Bad Ideas, Part 2: Giving Up Without Admitting It
By: John Rubino

Silver Miners’ Q1’17 Fundamentals
By: Adam Hamilton, Zeal Intelligence

The story behind continuing strong bullion coin demand
By: Michael J. Kosares

Fed’s Shrinking Balance Sheet and Gold
By: Arkadiusz Sieron

The FANG Market Rig Will End Terrible As All Rigs Do
By: Graham Summers

Sentiment Speaks: Central Banks Control Nothing
By: Avi Gilburt

Here’s Why I Think Renewable Energy Is Finally Living up to Hype
By: Frank Holmes

 
Search

GoldSeek Web

 
A ‘Must-See’ chart for gold and silver aficionados


 -- Published: Tuesday, 16 May 2017 | Print  | Disqus 

By Peter Degraaf

Every now and then a chart appears that provides us with a great opportunity.

The following chart fits that mold.

http://goldseek.com/news/2017/5-16pd/image001.jpg

(Charts courtesy Stockcharts.com and Goldchartsrus.com).  Featured is a chart that compares the EURO(DM) to the US dollar.  When the trend is rising, it means the Euro is stronger than the US dollar and vice versa.  History tells us that gold has a tail wind when the trend here is upward bound, and a head-wind when the trend in this index is falling.  Please notice the upside breakout in 2002 from a multi-year triangle.  It was at this time that gold began its rise from $260.00 to $1,925.00.  Now notice a similar pattern (a falling wedge), developing on the right.  Price is close to breaking out at the second blue arrow.  The supporting indicators are giving off positive divergence (green arrows).  A breakout could come at any day, and gold (and silver) stand to benefit.  In the event of a repeat percentage performance in the price of gold, the long-term target (based on gold’s performance between 2002 and 2011), for this coming breakout, is $9,300.00.

http://goldseek.com/news/2017/5-16pd/image002.jpg

Here is a close-up of the first chart.  Price is breaking out at the blue arrow and a close above the green arrow will confirm the breakout.  The supporting indicators are positive (rising). 

http://goldseek.com/news/2017/5-16pd/image003.jpg

Featured is the daily gold chart.  The vertical green arrows point to ascending bottoms.  The pattern is an Ascending Right Angled Triangle.  A breakout at the blue arrow will set up a short-term target at $1480.  The supporting indicators are turning positive. 

  http://goldseek.com/news/2017/5-16pd/image004.png

This chart shows the combined demand for gold in India and China during March (281 tonnes), equaled the amount of gold that was mined worldwide (white line on chart).  Conclusion:  These two nations combined are soaking up virtually all of the gold that is being produced.  Whenever demand exceeds supply, price must rise.

http://goldseek.com/news/2017/5-16pd/image005.jpg

This chart compares dollar value of the (stated) US gold reserves to the US Monetary Base.  The two are as far apart as they were in 1976, when a bull market in gold was just getting underway.  In order for the value of the US gold reserves to match the comparison of 1940 and 1980, the gold price will have to rise 12 fold.  Before we shrug that off, we must remember that it has happened before. 1940, 1980, - next 2020?

 

Please do your own due diligence.  Investing involves taking risks. Peter Degraaf is not responsible for your trading decisions. 

Peter Degraaf is an online stock trader, with over 50 years of investing experience.  For more information please Google him, or email him at itiswell@cogeco.net. 

 


| Digg This Article
 -- Published: Tuesday, 16 May 2017 | E-Mail  | Print  | 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 - 2017



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

The views contained here may not represent the views of GoldSeek.com, its affiliates or advertisers. GoldSeek.com 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, is strictly prohibited. In no event shall GoldSeek.com or its affiliates be liable to any person for any decision made or action taken in reliance upon the information provided herein.