Gold market has calmed down a bit
It is still volatile but compared to the wicked roller coaster rides of recent days, it seems a bit calmer. Physical buying under $1600 has been very strong which is serving to shore up support on the chart. Still, there is not enough "umph" to take it convincingly through the $1680 level, a level which must be cleared to let this thing retest $1700.
Downside support near $1580 needs to continue to hold to keep it from dropping back towards $1550. So far the spike low seems to be safe.
The mining shares are still struggling to get anything going to the upside. The S&P has faded from its earlier gains and moved into negative territory as I wriet this. That has taken most of the wind out of the HUI.
love your stuff! and you know that
ReplyDeletebut to suggest the gold market has calmed down a bit
would resonate as if the Boston Strangler took the weekend off
Hi Dan,
ReplyDeleteAs always, thanks for your analysis!
I wrote in a previous comment, the charts change daily, M-F; but the fundamentals loom omnipresent 24/7.
My take on the fundamentals is the philosophy of creating currency-by-decree has seen its best time, it’s over now. Globally, printed money (and credits redeemable in the stuff) is flopping around like a fish gasping on the rocks.
U.S. Treasury’s have a negative yield when compared to the most modest inflation numbers!
It’s buying season for precious metals. The banksters and heggies may push the prices down as far as $1250/$24, but it won’t save them. They will lose ground, and batta-boom…the metals will sky rocket!
Plain and simple, austerity won’t work.
Expanding the money supply will work to foster economic recovery; providing that, expanding the money supply happens in a manner that joins labor with raw materials and technology. We need to produce more, not just manipulate more information.
When the politicians figure that out, as a nation we can start to get well.
My take is it's buying season for precious metals.
@rhomethyrst - Dan's blog is technical blog. His analysis is based primarily on price&volume action, we should should not look for fundamental analysis hear.
ReplyDeleteLooking forward to the Weekly Metals Wrap. I have an absolute load of news today: The News UNIT
ReplyDeleteWith operation twist starting Monday there could be a big upside for precious metals.