Rick Ackerman and Technicals
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Ryan J, in my experience, it has always been a bullish sign when silver’s leverage to gold disappears in a downtrend, and bearish when it disappears in an uptrend.
“Gold stocks were all but obliterated in one of their worst years ever, crushed by a wildly-anomalous down year in gold. Thanks to the Fed-driven stock-market levitation igniting epic differential selling pressure in the flagship GLD gold ETF, gold and silver both plummeted to their worst annual losses in 32 years. Gold’s 22.8% free-fall in 2013’s Q2 was its worst quarter in 93 years!”
http://www.zealllc.com/2014/biggsbuy.htm
Silver is currently $2.20 more per oz in Shanghai, than in London or US.
And the price differential has been increasing week to week.
Kinda underpins the price.
Thanks for that bit of bullish evidence.
Silver hasn’t been this oversold since June ’13, 15.5 months ago.
Silver ETF, SLV:
http://stockcharts.com/h-sc/ui?s=SLV&p=D&yr=1&mn=2&dy=0&id=p12906104215&a=364829034
The Shanghai Gold Exchange…launches tomorrow…lets see what that brings.
Thanks Irishtony, I forgot about that. I agree with you about silver. It’s FAR more appealing than gold right now.
I heard they initially announced they will open on September 29th. However, they later announced they will open September 27th. Yesterday they announced again that they will open on September 18th, which is tonight (not sure regular trading or on-line trading). It is normal for people to postpone the opening but unusual for anyone to push ahead again and again.
This even feels like some military tactics, LOL. Are they afraid of something or prevent something from happening? Maybe I am paranoid.
Maybe they know something we don’t Lawrence. When a company launches a new stock for example they don’t want to see it promptly start falling. What they want is that it begins as a great success by rising strongly.
This is crazy, but maybe an announcement of Chinese gold and silver holdings is imminent or there is some other major event that is certain to propel gold higher and these guys are timing for the exact bottom.
Would that not be crazy?
We are ready for a technical bounce at the minimum. Maybe that’s all there is to it. The day is auspicious if it begins on upward momentum though. So they are timing using their own technicals or they have inside information…..hmmmmm…maybe I will buy something.
My bet is Scotland brings a “NO” vote and Sterling rises thus stopping the current dollar streak for awhile. Gold should benefit from its oversold position and rise while dollar shorts will make a quick bundle.
Any link for this? I never be able to find the shanghai true price even I looked at the at exchange website. There are a lot of reference for internation price
I couldn’t even find a story substantiating opening on the 18th. Is it still set for the 29th?
http://online.wsj.com/articles/shanghai-gold-exchange-to-launch-international-board-on-sept-29-1410423811
My Chinese friend said that Shanghai Gold exchange international market will open at 7:00 PM Beijing time or 7:00AM Eastern time
http://bbs.wenxuecity.com/finance/3499327.html
I saw the announcement for on-line trading yesterday. It said sep 18 but did not mention time.
Mat, this is old news. At least 27th. I saw that announcement.
Thank you very much Lawrence.
GDXJ priced in gold still looks better than fine on the weekly chart:
http://stockcharts.com/h-sc/ui?s=GDXJ:GLD&p=W&yr=3&mn=3&dy=0&id=p54811444021&a=361385756&listNum=1
BUY SILVER.
Didn’t we just learn that there are too many people on the long side of silver? That usually means the opportunity is to go against them because that is where the most money will be made. When too many are on one side of the boat (long) it is a signal for prices to move lower.
I wonder if Rick is still shorting the Dow and still trying pick bottoms to go long on gold.
I will hold an impromptu session after my regular interview this morning (Thursday) with Korelin Report. It will begin at 11:30 a.m. Eastern. You can access the session 5 minutes before by going to http://www.joinwebinar.com and using session ID #768516970. All questions will be considered.
One question worth asking your guests, Al, is whether it means anything that recently silver has not been making larger down moves in percentage terms than gold. Of course, silver has lagged gold since early 2013, but recently there seems to be a bit of a change, at least in terms of leverage to the downside. I realize that everyone (including myself) appears vanquished and embarrassed, but this is basically the worst bear market in gold silver and mining stocks since 1980-1982. Its also worth asking about the Coppoc curve on both gold, mining stocks, and silver. Even within a secular bear market, when that curve gets as oversold as it has been recently, a major countertrend rally is in the offing. It may be that that rally has to be sold eventually, but these markets haven’t really even gotten off the mat since 2011. I know it sounds laughable on a day like today, but markets do not move in a straight line.