Gold and Silver Outlook 12-18-2014

12-18-14 USO CHART

What a day for the DOW. I mentioned the last couple days that I was bullish on stock until Christmas. Today we saw a 421 point gain for the DOW after a 288 point rise yesterday.  TNA gained another $3.26 a share to close at $78.08.  $79 may represent some short term resistance but beyond that and we may just march on up to the 52 week high of $86.68. Part of the reason I have been bullish on stocks despite that downturn we had was because typically going into a Holiday the stock market moves … [Read more...]

Gold and Silver Outlook 12-17-2014

12-17-14 USO CHART

The Federal Reserve announcement on monetary policy came out today and I have said several times in my writings, the Fed can't raise interest rates. CNBC has said for the last 6 months that the Fed would be raising interest rates because of a strong economy. My last article on the blog showed all is not what it seems. See The Illusion of an Economic Recovery. The Fed is maintaining the language of keeping rates low for a "considerable time." Here is what I wrote in yesterday's Current … [Read more...]

Gold and Silver Outlook 12-16-2014

12-16-14 USO CHART

I have told you in both the last two Current Thoughts that the week of the Fed meeting would give us the potential of a whipsaw and prices and the market makers didn't disappoint. This was a hard week to trade so far and if anyone just stuck with the green triangles of JDST, they would be doing ok. JNUG and GDXJ hit another 52 week low as gold and silver both closed lower after rising in Asia and Europe overnight, breaking above the $1,200 and $17 mark and then closing below. GDX managed to stay … [Read more...]

Gold and Silver Outlook 12-15-2014

12-15-14 USO CHART

In yesterday's current thoughts I said to expect some volatility during this Fed meeting week and today we got the first swing for gold and silver and it was down. Both the metals broke their $1200 and $17 resistance and they took the mining stocks with it as the dollar saw yet another rally. The scores for GLD and SLV fell to -75 and the miners maintained their -100 scores with JNUG and GDXJ breaking to fresh 52 week lows and NUGT coming within 4 cents of its 52 week low.  GDX is still 80 cents … [Read more...]

Gold and Silver Outlook 12-14-2014

GDXJ CHART 12-14-14

Gold and silver were a little weak on Friday but both are still above the $1200 and $17 marks. The miners lost some and JNUG came close to breaking to the 52 week low hitting 2.60 before closing at 2.66. I like it at this price or lower for a trade as long as gold and silver maintain some strength but read about the Fed meeting this week below before you try and guage strength or weakness in the metals. In Asia, gold and silver have both opened higher a bit with the dollar down 7 cents. On … [Read more...]

The Illusion of an Economic Recovery

Homebuilder ETFs 12-12-2014

The Fed and many economists seem to think the economy is strong, but is it? My Thoughts on the Economy Based on the Data I Read The Fed ignores U-6 unemployment data which still has the rate over 11%. The Producers Price Index (PPI) today came in lower than expected. The Dollar is down $1 and fell since the PPI announcement.   The dollar is still in an overall upward trend putting pressure on gold and silver prices. DOW fell over 300 points with PPI announcement. I am … [Read more...]

Gold and Silver Outlook 12-12-2014 Morning Update

Just a few thoughts on what I am seeing this morning. I like TNA over 72.90 as I am still bullish on the stock market and TZA hit resistance again close to $14. Now you have two ways to trade it, long or short. Long is the better play for more profit if it comes IMO. I like DGAZ over 4.39 because the weather report still shows warm weather the next 2 weeks. Stop would be somewhere below the low of the day 4.25 UGAZ had a … [Read more...]

Gold and Silver Outlook 12-11-2014

12-11-14 JDST CHART

The dollar did indeed bounce higher today and the metals didn't follow through to higher highs but took a breather. Same goes for the miners. I did buy the dip under $3.00 on JNUG and rode it up for a little profit but JNUG couldn't get going to one of those break out 10% plus days so I sold with little profit. I am still looking long the metals as both the daily and weekly are green in GLD and SLV but the miners are still lagging the metals so I do so with caution. The dollar may lead the … [Read more...]

Gold and Silver Outlook 12-10-2014

JDST CHART 12-10-14

I like the headline about gold from Bloomberg today; Gold futures decline as oil slump sparks deflation concern. As many of you know, I have been warning of deflation for quite some time, and I also predicted it in Chapter 4 of my book Buy Gold and Silver Safely. At some point this deflation will turn into inflation, but simply look at the 10 year treasury yield and you can see that people would rather invest money for 10 years at 2.17% rather than put it into other risky assets. Money velocity … [Read more...]

Gold and Silver Outlook 12-09-2014

12-09-14 GDXJ CHART

Nice day for gold and silver! In yesterday's Current Thoughts I made the following comments; "If you haven’t traded JNUG long yet, and as long as gold stays above $1,200, then JNUG I think is still worth a shot tomorrow over 3.34 with stops." "Keep an eye on the dollar and if it breaks below 89 then unlike last week when the dollar dropped and gold also fell, this week we may get the good trade with the miners as long as gold wants to move higher. Perhaps tomorrow." "If the Euro has a … [Read more...]