Gold dropped to its lowest price since April 2010. Silver got slammed earlier in the morning falling to $15.09 and then bounced up to close at $15.40. The dollar has had a nice run the last week and pis getting close to what I see has some resistance on the monthly chart at 88. It has hit this price and gone just over in November 2008 through March 2009 and again in June of 2010. Will we get another decline? Not if Japan and Europe keep printing. We will find out tomorrow what the ECB does. I think we all know the answer. They don’t have a choice but to continue the QE. We will see if this takes us over the 88 mark for the dollar and what it might do to gold. From there we may get a bounce.
No, the Republicans winning the Senate isn’t going to usher in any fiscal responsibility.
From the Trading Desk – U.S. Mint
The US Mint has just announced that they are temporarily sold out of American Eagle Silver Bullion Coins. They are in the process of producing more and will advise when additional inventory is available.
With the temporary hiatus in American Eagles we are now seeing higher premiums in American Eagles and Canadian Maple Leaf coins. If you are considering buying this dip, the silver rounds are still at a very low premium. Call us to ask what the current premiums are @ 888-604-6534. Keep in mind some of my suppliers are pushing out delivery dates to December. This is a good opportunity to allocate for those who are dollar cost averaging into a position.
UGAZ had another stellar day up 3.22%. I would sell half or all before the supply announcement tomorrow locking in profit for those who still own it. Let the other half ride with stops and if a good report enjoy the ride and move stops up. If it isn’t a good report stop out immediately.
JDST was up over $5 before the market opened so would have been hard to play although it did linger and progressively move up throughout the day clsoing up 20.43% @ $39.79.
USO continued to bounce off the $29 resistance level. Nothing I would consider but am still watching.
Scores for GLD, GDX and SLV are all -100. The scores haven’t let us down as far as keeping one from catching a falling knife. I have not given any signal to jump in the miners but might be getting close. When the likes of NUGT and JNUG bounce, they will bounce quickly. JDST seems to be the only metals game in town with a score of +100.
I don’t want anyone to consider what I say as advice. I just give the info and you make the decision to trade or not. Hopefully you like what I write. I try to call it like I see it.
Doug Eberhardt is a 28 year financial services veteran and precious metals broker selling gold and silver at 1% over wholesale cost. Doug has written a book to help investors understand how gold and silver fit into a diversified portfolio, how to buy gold and silver, and what metals to buy. The book; “Buy Gold and Silver Safely” is available by clicking here Contact phone number for Buy Gold and Silver Safely is 888-604-6534
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