Gold a Repeat of Yesterday

In the graph, above, the green curve is today and the red yesterday. Notice how closely today's curve is following yesterday's. Let us hope it is not to be another peak and drop as yesterday's results reveal. Gold is due to go much higher, if not now, later.

The fundamentals for the dollar are not any better after the rhetoric from the talking heads. In fact, they are worse as it seems that our foreign sources of loans are drying up. Further, more folks are bailing out of the dollar. After all, it is costing them value as the dollar depreciates.

That leaves the Federal Reserve firmly nestled on the horns of the dilemma. Raise interest rates to strengthen the dollar and crash the economy or leave interest rates the same or lower them to kick start the economy and risk run away inflation. Either is not a decision Bernanke wants to rush into. He currently seems more concerned about recession or depression than inflation.

While inflation is much higher than the government massaged statistics show, it is not in a run away mode yet. It could be, but we will have to wait and see.

Meanwhile gold is at 961.00 and on an up tick. Silver is 18.40 on a down tick. Mixed prices which are somewhat confusing to our mortal minds.

I am a buyer of DRD Gold (DROOY) under $7. The last trade was at 6.62 which is the current bid and the asked is 6.67.

If you make purchases in this market, use small incremental purchases. This is not the "sell the farm" time, so proceed slowly and carefully.

Study Scriptures consistently, and seek the Holy Spirit's instruction for the fullness of temporal life and eternal life with King Jesus.

Best to each, Doug