Run from Dollar to Precious Metals
The EURO is pushing toward $1.50, now 1.4833; Swiss Franc $0.9062 and Canadian Dollar $1.0124. Our dollar received more pressure from the OPEC nations where there is much talk of removing the peg of their currencies from the dollar to a "basket of currencies." Such talk will turn to action in the near future as more nations and banks run from the dollar. The hand writing is brilliantly in view now. This is in addition to the Sovereign Wealth Funds of countries around the world which are used to replace dollars with businesses, real estate, precious metals, natural resources, stocks, and anything seen as having more lasting value than our fading dollar. The exodus is gathering steam. Of course, there will be upward bounces of the dollar from time to time, but the trend is decidedly DOWN.
Gold is up some $45.50 (6.07%) from thirty days ago, and up some $170.30 (27.11%) from last year. This is a good return and there is more to come. We had best be on board and take advantage of any bargain days provided by temporary dips in the price of both gold and silver.
Gold was up over $800 earlier today, but is now slightly down at $796.90. Silver is behind for the time being at only $14.40. I have bought some more call options on Pan American Silver, specifically, the April 08 Calls @ $30 at a cost of $6. I still hold without cost a residue of Jan 25 Calls on PAAS. I believe that silver will begin to catch up with gold soon.
The Dow Jones Industrials touched below its August 16th low of 12845.78 today, but is slightly above that now at 12887.64. Were it to close below the August low, this would be a confirmation of the Transportations recent low indicating under Dow Theory the start of a bear change. This is an exciting time as we watch to see what the market will do. If the DJI closes above the August low, we will still have a non-confirmation of the Transports, and will have to hang on longer to see what will happen.
It is wonderful to rest with trust in the Sovereign Lord Jesus Christ, Who always has the best interest of His people in mind. He ever intercedes on our behalf before His Father. What a joy it is to rest in Him.
As we celebrate Thanksgiving, remember to give his grateful hearts and praise His name forever.
Best to each, Doug
Gold is up some $45.50 (6.07%) from thirty days ago, and up some $170.30 (27.11%) from last year. This is a good return and there is more to come. We had best be on board and take advantage of any bargain days provided by temporary dips in the price of both gold and silver.
Gold was up over $800 earlier today, but is now slightly down at $796.90. Silver is behind for the time being at only $14.40. I have bought some more call options on Pan American Silver, specifically, the April 08 Calls @ $30 at a cost of $6. I still hold without cost a residue of Jan 25 Calls on PAAS. I believe that silver will begin to catch up with gold soon.
The Dow Jones Industrials touched below its August 16th low of 12845.78 today, but is slightly above that now at 12887.64. Were it to close below the August low, this would be a confirmation of the Transportations recent low indicating under Dow Theory the start of a bear change. This is an exciting time as we watch to see what the market will do. If the DJI closes above the August low, we will still have a non-confirmation of the Transports, and will have to hang on longer to see what will happen.
It is wonderful to rest with trust in the Sovereign Lord Jesus Christ, Who always has the best interest of His people in mind. He ever intercedes on our behalf before His Father. What a joy it is to rest in Him.
As we celebrate Thanksgiving, remember to give his grateful hearts and praise His name forever.
Best to each, Doug
posted by Doug @ 10:41 AM
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