SD Friday Wrap: Imagine that – gold & silver close the week in the green, but only after a swift kick to the ______ (fill in the blank). Here’s a recap…
I have attempted three times to come up with a theme for this week, but calling it “more of the same” seems so cliche.
But that is exactly what this week was – more of the same.
We have a stock market at record highs (again), and we have gold & silver winning the slow drag competition (again).
More of the same.
On Monday I said this week could get interesting, and I guess if you are invested in the stock market, this week did get interesting, but for us Gold Bugs and Silver Bugs, by ending the week in the green, the cartel made sure to send us into the weekend with a swift kick to the ______ (fill in the blank).
With steel-toed boots no less!
That said, check out gold’s daily chart:
It has been brutal for months and months on end.
Every time gold approaches its 50-day moving average, well, we all know the drill. Yesterday gold tagged the moving average, Gold stayed above the moving average most of the night and into the morning, but we all know what happened at 8:44 a.m. EST, to absolutely no news other than today is a quad witching day, so the cartel must have needed gold below $1200, or maybe it was $1205? We won’t know, all we know is 20,000 contracts were sold in three minutes to drop the price some 20 bucks.
So instead of being up four out of five days in a row, we end up with a Friday beat-down.
The beatings will continue until morale improves.
I guess were not there yet.
On gold’s weekly chart, we can see that the week has ended in the green:
Windows/Google Chrome users tip: Hold the “control” key down and hit the “+” key to zoom because it is hard to see that the week actually ended on a positive note.
Silver performed better on the week than gold:
That’s actually a nice candle at the end. It shows that support at $14 is holding. Like I’ve said before, I’m not too concerned about the death cross because the two moving averages have basically been braided together for nearly two years, so until the 50-day starts diverging and moving lower from the 200-day, to me it looks like silver is finding a bottom. And that is what we need to see, because for the rally to be substantial, we need to see silver outperforming gold.
We can even note the ever so subtle uptrend on silver’s daily chart:
Silver was also subjected to the beating today, but silver held up much better than gold.
As such, it looks like we could finally begin to see the gold to silver ratio rolling over:
We are still range-bound, yes, but we are approaching the lower end of the range.
Gold & silver are investments.They are money, they are inflation hedges, they are flights to safety and to quality, and gold & silver are also industrial commodities.
Granted, gold & silver did not enjoy the moves the industrial commodities did on the week.
Palladium broke-out above its 200-day moving average:
The technicals look stretched, so if not a pullback at least a pause looks imminent.
Even platinum moved respectably higher on the week:
Platinum is up four days this week, and like palladium broke-out above a major moving average.
Check out copper:
Dr Copper is up over 9% on the week, above its 50-day moving average, and like platinum, up four days this week.
Crude oil has stayed above $70 a barrel:
If I am right about the dollar headed lower, then a rise in the price of crude oil is coming. And think about this – crude oil has basically clung to the range it has been in even as the dollar surged from below 90 to almost 97. Now imagine what will happen to the price of crude oil if the dollar starts falling again?
I blew my Dow 2666X.XX call:
That is a record high yet again today.
Ol’ Half Dollar just doesn’t have an inside line to those on the inside, so I don’t know when they are going to pull the plug on the stock market.
Here’s a long question: At first, everybody said Trump was “bad” for the stock market, but it turns out he is “good” for the stock market, and on the same token, one would assume that impeaching Trump, or simply Trump not getting re-elected, or something adverse like that happening to Trump, would be “bad” for the stock market, but, if the globalists are not wanting the stock market to go down just yet, all of the sudden a Trump impeachment would be “good” for the stock market?
It probably would.
And all the brainwashed zombies, also known as the sheeple, wouldn’t even be aware.
The stock market will come down when they pull the plug on it, and not a moment sooner.
It really is that much power – because stocks (and bonds) are paper assets, and when the cartel can just print up as much paper currency as it wants to bid up the prices of paper assets to wherever the cartel wants them to be, well, that’s raw power – even if it is all on paper.
And yes, I didn’t say “real” power, because all this market fakery is not real, it’s just “raw”.
Just don’t go thinking you can have some raw power of your own, by, oh, say, trying to write $20 on a napkin and taking it to the gas station for a 12-pack of beer and some Slim Jim’s.
Sorry, in the real world, raw ain’t real.
That dog don’t hunt.
The farce is below 11.5 again:
The only call I’ve been right on, consistently, all year long, seems to have been on the farce.
May the farce be with you stock market bulls, because as soon as it’s not, you’re gonna be in a world of hurt.
The yield on the 10-Year Note did make a surge higher to help push the stock market to record highs:
But yield never made a new high, and now it looks like yield could be rolling over here.
It really is amazing to think the cartel has that much control in these paper markets. But hey, the cruise control works relatively well in my beater of a car, so I’m sure the cruise control the cartel has rigging the markets is of the highest quality.
Notice a little cynicism in my tone today?
Yeah, it must have been the swift kick to the ______ (fill in the blank) at 8:44 a.m. EST.
That’s not how I wanted to start my weekend.
Oh well, it is not up to me to decide.
Finally, dollar bulls must be really nervous right about now:
Said differently, gold & silver bulls should be feeling really good right about now.
Well, call me nuts for not feeling that way!
It must have been that steel-toed boot.
Down, but not out.
– Half Dollar
About the Author
U.S. Army Iraq War Combat Veteran Paul “Half Dollar” Eberhart has an AS in Information Systems and Security from Western Technical College and a BA in Spanish from The University of North Carolina at Chapel Hill. Paul dived into gold & silver in 2009 as a natural progression from the prepper community. He is self-studied in the field of economics, an active amateur trader, and a Silver Bug at heart.