no shutdown....weekend correction possible?
streeter
Posts: 4,312 ✭✭✭✭✭
what do you think?
Any friday predictions for AU/AG monday morning?
Any friday predictions for AU/AG monday morning?
Have a nice day
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Today was a pretty major gain and I believe a lot of that was fear or emotionaly driven.
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It,s as good a time for pm's to make a correction as we are going to get.
I need a break from selling silver anyway.
Let's get back to buying.
I believe the result was baked into the cake for knowlegable investors. PM's have their own agenda.
This has been a minor blip in the grand scheme of rising oil, inflation, and geographical turmoil.
A few overweight political narcissitics had their day and now we will be inudated by their self congratulation with little effect on the real news.
Fellas, leave the tight pants to the ladies. If I can count the coins in your pockets you better use them to call a tailor. Stay thirsty my friends......
If the rise in PM's is due to the worldwide recognition of the US mess (which I think it is), the PM's will continue upward.
<< <i>I would think the intelligencia have recognized this "gridlock" for what it was - grand political theatre, nothing more.
I believe the result was baked into the cake for knowlegable investors. PM's have their own agenda.
This has been a minor blip in the grand scheme of rising oil, inflation, and geographical turmoil.
A few overweight political narcissitics had their day and now we will be inudated by their self congratulation with little effect on the real news. >>
I agree. It's not likely this had much effect on metals.
I'd watch for more of the same next week but with the dollar enjoying a tepid rally early.
The news from Europe is getting more upbeat but the Euro and Swiss Franc already made strong gains.
<< <i>If anything, this shows the world how difficult it is for the US to slow spending.
If the rise in PM's is due to the worldwide recognition of the US mess (which I think it is), the PM's will continue upward. >>
Good point. If anything, we revealed to the world how screwed up we are.
That's very unhealthy. That spells doom soon for weak sellers. I fear too many people are trying to guess a top or plateau.
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey
We may be in for a correction though - it's due.
If enough smart folks understand that "the deal" pushes America closer to
insolvency, it is not unreasonable to expect that the metals would advance
next week.
"A dog breaks your heart only one time and that is when they pass on". Unknown
More smoke & mirrors yada, yada, yada!
MJ
Fellas, leave the tight pants to the ladies. If I can count the coins in your pockets you better use them to call a tailor. Stay thirsty my friends......
With silver you will likely see one of two scenarios play out. 1) it takes heavy selling pressure in the morning and recovers down slightly or virtually unchanged by the end of the day. 2) correction takes place and it slides back to $37 or $38 range. Either way metals are still going to be high.
It would be nice to see a healthy correction Monday and then a recovery in the latter part of the week as that we be a sign of a really strong market.
That's just my thoughts though.
<< <i>PMs are reacting to surging oil price. >>
Personally I think that oil is chasing metals, but we each have our own opinioon.
<< <i>the clowns that are running the circus in DC are calling what they are doing "historic." >>
History will show that they had opportunity to do something historic but failed to do so.
<< <i>Personally I think that oil is chasing metals, but we each have our own opinioon. >>
Oil is too large a market to chase any other market. The only thing holding it's price down is the availability of money to purchase it.
I agree with those above that the shear movement in the past week calls for a temporary dip, but not like the drop we should see if the Fed removes its liquidity from the markets in June.
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey
Casey reports - did you know that China is Saudi Arabia's No.1 oil purchaser? We give money to Brazil to subsidize their drilling programs. We can't drill where it makes the most sense to do it, but China is drilling in that same Gulf off the coast of Venezuela.
Japan is the 2nd largest economy in the world, and they are going to be in a tailspin now for more decades. They will have to spend their Treasuries on reconstruction. Saudi is the largest foreign purchaser of Treasuries. China continues to cut back on Treasuries and to diversify their asset holdings into natural resource companies around the world. The potential for an unholy alliance between Saudi and China exists in a serious way.
The Fed is (supposedly) going to curtail buying Treasuries, and that will strip away the facade of a recovery that the BS of bank rescues and liquidity pumping has been papering-over.
Hmmmmm. A third unresolved quagmire of a war. More spending. We probably spend more on every single category of armaments, welfare programs and subsidies to special interests than any other country in the world, and still it's not enough for any of them?
The debt issue is probably the greatest issue, as it now affects everything else. And they can't or won't try to stop it.
Hang on tight and keep stacking. Buy some other stuff to get you by in a pinch as well.
I knew it would happen.
Worry is the interest you pay on a debt you may not owe.
"Paper money eventually returns to its intrinsic value---zero."----Voltaire
"Everything you say should be true, but not everything true should be said."----Voltaire
<< <i>
<< <i>the clowns that are running the circus in DC are calling what they are doing "historic." >>
History will show that they had opportunity to do something historic but failed to do so.
<< <i>Personally I think that oil is chasing metals, but we each have our own opinioon. >>
Oil is too large a market to chase any other market. The only thing holding it's price down is the availability of money to purchase it.
I agree with those above that the shear movement in the past week calls for a temporary dip, but not like the drop we should see if the Fed removes its liquidity from the markets in June. >>
The current rise in gold started long before the current rise in oil, so I don't see how gold can be chasing oil.
My Dear Friends,
The media is making big deal of the compromise agreed to in principle to avoid a government shutdown.
In the greater scheme of things economic, this compromise has very little to do with anything. No one ever expects a government to shut down for any extended period of time when, regardless of what party you focus on, the entire exercise is political theatrics.
The net result of the agreement when calculated as a percentage of total spending borders on comic relief. Only people who religiously attend flee circuses can make much of this not so bold move.
Gold finds its basis in too much debt. Gold is going to trade at $1650 and much higher.
This entire performance of whether the government closing down or not is a great deal of insignificant noise. It will not change the direction nor the amount of future deficits.
It is politics as we move towards an election year.
Respectfully,
Jim
<< <i>The "clowns in DC" as they were aptly termed, have completely blown an opportunity. In my estimation, PMs can go straight up from here as a result of their fiscal ineptitude that has bankrupted the USA. We're in worse shape fiscally than Greece, Ireland, and Portugal combined. At least they have Germany to guide sanity into their financial mess. We have Bozo Obama and his caste of morons at the fed and treasury and congress mucking up an chance of our fiscal survival. >>
If you wanna see a circus, put a clown in charge.
<< <i>Oil is too large a market to chase any other market. The only thing holding it's price down is the availability of money to purchase it. I agree with those above that the shear movement in the past week calls for a temporary dip, but not like the drop we should see if the Fed removes its liquidity from the markets in June. >>
The current rise in gold started long before the current rise in oil, so I don't see how gold can be chasing oil. >>
I didn't say gold was chasing oil. I said oil was not chasing gold.
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey
<< <i>PMs are reacting to surging oil price. >>
Please define reacting.
<< <i>
<< <i>PMs are reacting to surging oil price. >>
Please define reacting. >>
Isn't higher oil prices inflationary and doesn't higher inflation usually result in higher PM prices?
Worry is the interest you pay on a debt you may not owe.
"Paper money eventually returns to its intrinsic value---zero."----Voltaire
"Everything you say should be true, but not everything true should be said."----Voltaire
Based on the number of strong Mondays since last July I'd go with Monday as an up-day. Tuesday is more likely as the pummel day imo.
A FED POMO day on Monday will help to boost things as well. Tuesday is bare though...a better day to raid.
While there might be some relatively minor price pullbacks, both gold and silver are very likely headed higher over the next 3-8 weeks.
The PM market is following the same general glide path it did in April to June of both 2009 and 2010. Liquidity will start flowing out of most markets
in later May or early June. Enjoy the ride until then. $43-$45 silver seems like a min. target. $46-$53+ is certainly achievable. While
silver is certainly stoked and "ripe" for a big correction, gold is not. And until gold gives up the ghost on this run, silver will stay in the game
no matter how overbought it gets. Gold is the heavyweight. Gold is targeting the $1525-$1650 for multiple reasons. $1575 seems to come up the most often.
Oil is helping to pull PM prices up as are the recovering grains and soft commodities, copper included. All boats have been rising on the floundering dollar.
This current run in silver seems to compare well with the massive run it performed in early 2006 climbing from $9 to $15...a 66% gain. It was
massively overbought during that run as well. A similar gain would take silver from the $26 bottom in January to $43.60 by May.
That 2006 run to $735 gold and $15 silver ended on the 18th week of the year. We just finished the 14th week of this year.
roadrunner
<< <i>
<< <i>
<< <i>PMs are reacting to surging oil price. >>
Please define reacting. >>
Isn't higher oil prices inflationary and doesn't higher inflation usually result in higher PM prices? >>
Gold has been on a relatively steady upwards slope for 5-6 years. Oil has been all over the place, and the latest $30 jump in oil is quite recent. How the heck did oil influence gold months and years befpre it went up????????
Miles