Overnight trading. This is interesting...

Weiss

And somewhat unexpected. As of 5:00 pm central time Sunday gold is vertical...

CaptHenway

What's the definition of the Tango?

The vertical expression of a horizontal desire!

LOL

OLE!

Classof67

wayneme

You have to Wonder who know what as to why it's going up!!!

mhammerman

"You have to Wonder who know what as to why it's going up"

Didn't the Chinese say they were trying to raise the price of gold in USD in such a way as to not spike it too hard?

roadrunner

$1163?................Now that's positively barbaric! Looks like $1170 is right around the corner. JS feels his next target of $1224 is closer than most think.

Between gold futures/options expiration this week and $118 BILL in TBonds going off Mon-Wed, let's see if the FED/Treasury can motivate the dollar a little bit.

roadrunner

jmski52

Spiked on the opening. Cool.

Bear

As the price of PMs explode upwards,

the quality of life deteriorates. The Yin and

Yang of life.

MoneyLA

Im not surprised at all by a move like this. Im sticking with my expectation of 1300. But a move of 12-14 isnt really dramatic.

gold has been making successive highs followed by minor profit taking, and this is very healthy for a long term move upward. some call it a "self correcting market."

tincup

A vertical spike at the start.... and continuing to climb.

Let's see what they can hit is with tomorrow to drive it back down..... ....... or do they have anything left??

clackamas

Man, I am getting trempted to start selling more than 1/10 oz coins with these prices.

jpkinla

Realize that Japan is closed so the market is very thin.....London will open in two hours and you should see more activity....That being said it is very interesting that that you set the stage for NY trading with overnight action and lately we have been seeing more strength coming in to the access trading after NY hours and in the Asian and London trading BEFORE NY hours....

There is a distinct possibility that a run will be made for the $1200 strike prices on Monday.....It is also possible that a trap has been set with the EXERCISE of the 1200 calls tomorrow even if we are under $1200 at the close. It depends how close we are and who controls the $1200 calls....

Should make for an interesting trade Monday and Tuesday.....Also note that Wednesday and Friday are thinly traded holiday days and could also be used to run the market higher.....I believe there is too much pent up demand below the market with those waiting for the pullback that hasnt happened yet.....So my bias is to the upside.....

MoneyLA

I dont know if there is a parallel between the stock market and the gold market around holidays, but let me give you some "traditional" info about stocks, because it just might apply here.

Historically, the stock market does very well during holidays. Analysts attribute this to the "good feeling phenomenon" -- with good feelings on main street there is optimism on Wall Street. For example, the short trading day following thanksgiving is a "given" for an "up day."

I have not researched how the precious metals do during holidays, so if anyone knows if there is also a correlation, please advise???

thanks.

Justacommeman

weak dollar= higher stock market = higher gold prices

It seems to be as simple as that almost 365/24/7 so I think that trumps most everything in the past.

We've had a couple of trading days which were decoupled but it doesn't reverse a trend. One day, possibly one day soon this attached at the hip trade will decouple almost completely. How it decouples will be the interesting part.

Until then it is what it is............MJ

moonshine

Does anyone listen to Jim Bell on talk radio on Sundays - The Strategic Money Report? I have been listening for him to say something about PM's the last couple weeks, and yesterday he did -- He said gold will go down to $700 -- and that silver was going to $8 or thereabouts .... What does anyone think of Bell and/or his 'prediction'. (and he also said that he hasn't been wrong in 15 years).

I was a bit surprised when he said this, as it seems that most everything else that he says is 'spot on'.

Please give me your opinion of this guy.

bell strategic money report

jmski52

possibly one day soon this attached at the hip trade will decouple almost completely. How it decouples will be the interesting part.

And when it does, you will see panic on both sides of the equation, because there will only be one winner, not two.

Question is, which side will win? I know which way I am going.

I have two interesting observations from watching CNBC this morning.

1) They had Ron Paul on, and they were talking about his "Audit the Fed" initiative. Then, they had on a former Fed governor who was equating Fed Secrecy = Fed Independence. He sounded panicky himself.

2) The CNBC commentators all seem to be dabbling in a new stock market mentality which goes something like this,

"At some point, the dollar will stop going down, and gee..........you sure wouldn't want to be on the wrong side of THAT trade, would you? Shudder, shudder, shudder. Wink, wink."

The fear mongering to goad people into staying with the market is subtle, because they are also all acknowledging that the market can't keep going up on lower volume and that it is due for a correction.

They have a pretty smart staff and commentators, but it seems to me that they don't really want to know what's going on, even as they comment on it.

jmski52

He said gold will go down to $700 -- and that silver was going to $8 or thereabouts

Anything is possible. There is going to be alot of gnashing of teeth as people lose what they thought they owned, and as some big players lose their influence. I think that the only way gold goes to $700 and silver goes to $8 under the current situation is if the dollar gets revalued and gold is outlawed in the U.S.

I can tell you one thing - China wants their T-Bills to be worth something, and so do people with their savings in bonds or T-Bills. On the other hand, there is Congress and the central bankers who want to keep screwing the public. There is a battle going on.

Justacommeman

CNBC is more like BSNBC.......I watch it because I know a couple of the commentators plus I have a crush on Erin Burnett

Except for Santelli most are elitests

Passini talks everyday about the dollar and the stock market going higher together and decoupling from the current trend. He actually crows about it.

It has never occured to him that it could go the other way. Weak dollar and weak stock market. Stay tuned. MJ

Justacommeman

<<

<< <i>Does anyone listen to Jim Bell on talk radio on Sundays - The Strategic Money Report? I have been listening for him to say something about PM's the last couple weeks, and yesterday he did -- He said gold will go down to $700 -- and that silver was going to $8 or thereabouts .... What does anyone think of Bell and/or his 'prediction'. (and he also said that he hasn't been wrong in 15 years).

I was a bit surprised when he said this, as it seems that most everything else that he says is 'spot on'.

Please give me your opinion of this guy.

bell strategic money report >>

>>

I tend to ignore all weekly financial shows as they aggreviate the he77 out of me. Bell included. MJ

gsa1fan

Dang MJ, "I have a crush on Erin Burnett"

I thought I was only one with that fantasy!

jmski52

Santelli's rant last year was classic. I think it might still be on u-tube. When I need a fix on reality, that's a good video.

And Eric Burnett - who doesn't have a crush on her?

Justacommeman

<< <i>Dang MJ, "I have a crush on Erin Burnett"

I thought I was only one with that fantasy! >>



I used to run with that crowd. Her je ne sais quoi factor is off the charts. Messila Lee as well..............MJ

roadrunner

Does anyone listen to Jim Bell on talk radio on Sundays - The Strategic Money Report? I have been listening for him to say something about PM's the last couple weeks, and yesterday he did --He said gold will go down to $700 -- and that silver was going to $8 or thereabouts .... What does anyone think of Bell and/or his 'prediction'. (and he also said that he hasn't been wrong in 15 years).

Sounds like he's now joining the Prechter/Nadler crowd which has been wrong on gold since 2001. Any commentator or analyst who claims they haven't been wrong for 15 years is full of it. If Bell called the 2002 bull market in gold along with the tops in 2004, 2006, 2008, the washout in fall of 2008, the recovery into 2009, and then the breakout beginning in September I might tend to give his current views some thought. So what was his track record on gold over the past 10 years? He claims it was 100%. Hopefully he's ventured more than 1 or 2 calls in those 15 years.

roadrunner

Justacommeman

<<And Eric Burnett - who doesn't have a crush>>

jmski52, you may want to edit that. Of course there's nothing really wrong with that

MJ

jmski52

Gold can't go "up" forever. Duh.

moonshine

jmski52 ... What do you mean by gold being outlawed? Seriously, who could do that, why would they do that and ... more important how could they do that/and enforce it .... Outlaw it for what purpose(s).


I do listen to Bell on Sundays at 3 PM (Dallas), just to hear what he says - I tune half of it out, but he is full of statistics. This isn't one of those 'money shows' that tries to get you to do things -- It's more of a 'report' on what happened last week, and where he sees things going - next week (month), etc. He talks a lot about the 'waves' - wave 3 on upside blah blah blah.

Anyway, like I said, he seems to be spot on regarding his facts, and thoughts - but his comment on gold seemed really 'off the wall' and contradict everything else that he says -- That's why I was SO really surprised. I don't know his past records, haven't researched the guy myself - that is why I asked if anyone knew anything about him.

Thanks for your comments.

MoneyLA

when it comes to gold prices, Im not looking at "forever." Im just looking for 1300.

roadrunner

I reviewed the Bell Investment web site and it seems he appears to be another Dave Ramsey (ie stocks can do no wrong and the next bull market is already in swing). According to Bell the move in the SM since March is a recovery in a young bull market, not a corrective wave in a secular bear. That's certainly expected from someone who sells mainly stocks to their clients. He also likes the current valuation in stocks and feels they have further to go. I didn't see anything refering to gold or commodities that would imply they diversify outside of the typical choices of a CFA. Considering that the SM has lost 83% of its value vs. gold over the past 10 yrs, that's a pretty big hole. Bell's company has been around since 1991, certainly the right period to have grown up to be goldphobic.

The advice offered on Bell is that of a stock bug. Imo we're not going to see $700 gold unless the Dow retraces all the way back to 6400 as well. Gold would certainly not be making that trip alone. Sorry Jimbo. If you're expecting $700 gold you'd better be piling into the US dollar, not stocks.

roadrunner

moonshine

Roadrunner - TYVM for your take on Bell. I have a hard time trying to figure it all out, and generally don't even try - just go with my gut ... but his comments had run me for a loop there for a bit. He seems to contradict himself now and again. (I am not promoting him -- was just curious.)

jmski52

jmski52 ... What do you mean by gold being outlawed? Seriously, who could do that, why would they do that and ... more important how could they do that/and enforce it .... Outlaw it for what purpose(s).

moonshine, what I mean is that the dollar is a fiat currency. I had never really thought about what fiat currency really is, but a fiat currency is used "by government decree". It doesn't mean that there is any kind of promise to maintain the value of a dollar - it simply means that you WILL use the dollar to transact business in THIS country.

It is an ORDER and it is enforced.

So, when I suggest that gold could be outlawed, I mean that it could be outlawed as a currency for business transaction purposes. Any government that overspends and uses a fiat currency to pay for programs and wars that it cannot afford and cannot tax in order to finance them, generally resorts to debasing the currency, which is what has been happening my whole lifetime.

Gold is always the enemy of a corrupt and bankrupt government, because it always exposes a fiat currency as a very bad deal for anyone who depends on it to maintain it's value, such as retirees and savers.

If inflation becomes so serious that the dollar collapses as a medium of exchange, then something will have to take it's place, or the government will collapse too. All governments want to perpetuate themselves, especially if they are corrupt - so they will still need some way to pay all of the bureaucracy's employees.

If gold or silver become a de facto currency during a monetary collapse, the only way that a government can perpetuate itself is to seize control of the money again, and that would mean outlawing silver and gold for personal transactions (or confiscating it) and issuing a new currency that didn't have gold or silver as a competitor.

When Von NotHaus issued his Silver Liberty Dollars as a private trading currency, the government came down hard on him because they simply won't tolerate competition in the realm of currency, even if the fiat currency is failing. Remember, a fiat currency is MONEY BY DECREE, and not money by mutual consent.

mhammerman

"...it simply means that you WILL use the dollar to transact business in THIS country."

Thanks, Ski...a little clarity in thought is always refreshing.

goingbroke

I call it gold fever, many have suffered the condition. When the fever breaks don't be the last out.

That reminds me off a couple that went to the Yukon to prospect for Gold.
After few months with little or no Gold the Husband asked his wife if she could go out and do what ever is neccessary to make ends meet so they could continue their pursuit.

One evening she decided to go out and did not return till early in the morning. Upon her arrival the husband asked how did it go. She replied I made a hundred dollars and fifty cents.

The husband said who the heck gave you fifty cents? She replied they all did

Bear

What is amazing, is that these talking heads are more wrong then

they are right. How do they keep going on the air without looking

embarrassed?

Justacommeman

<< <i>What is amazing, is that these talking heads are more wrong then

they are right. How do they keep going on the air without looking

embarrassed? >>


They have nice hair. Really. MJ

jmski52

MJ, you're fixating..................

jmski52

Another spike. We'll see how high this one goes.

CaptHenway

Next stop, $1200!!!

Weiss

Vertical. But for some reason, I'm really enjoying scaling these sheer cliffs

MoneyLA

it might seem like this rise is "vertical" but really it's not... and thats VERY GOOD. There are a lot of intraday swings, and some profit taking on certain days which makes this a "self correcting market," and self correcting markets are the STRONGEST kind there is, which means this overall rising trend is likely to continue much, much longer.

still looking for 1300.

it wouldnt suprise me if at 1300 we went flat for a short time which would be another base building -- but at a much higher level.

the last "base" was at the 1000 level, and a new base (should it form) at 1300 would be an excellent time to either take profit OR add to a long term position. while a "base building" at 1300 could be viewed as a chance to take profits, it also might be called a "pause to refresh" in an overall bull market.

why a chance for profit taking? because building the new base might take weeks or months. we actually need a new base, albeit at a higher level, to "refresh" the market.

anyway, enjoy the next hundred points or so to 1300 because the charts say it will be a nice ride up.

I updated my web article to warn against anyone considering a short sale. you do not short, repeat YOU DO NOT SHORT, a strong market like this.

KUCH

MoneyLa, Some of your past comments you've said when silver breaks $18.00 you would "believe" it's bullish. Well, what is your prediction concerning silver today? Thanks from someone who listens, because I know what I know.

MoneyLA

yes, silver above 18 is indeed encouraging and can be considered bullish. you can take a stab at it if you like, and you'd get no criticism from me. but you will face heavy overhead resistance at about $22. thats still about a 3-dollar move. when silver breaks 22 you still have to worry about the 50-level.

gold on the other hand has NO overhead resistance.

but like I said, go ahead with silver if you like. I will not criticize.

roadrunner

Speaking of outlawing gold as currency, North Vietnam just threw in the towel after keeping imported gold out of the hands of their citizens. The NV dong has been falling like a rock and just this week was formally devalued by 5% against the US dollar. NV finally came to the realization that keeping gold imports out was not a solution to their problems as the people will find things to invest their money into safe from inflationary effects. Add North Vietnam to the list of nations who are eager buyers of gold, imported or otherwise.

roadrunner