DOW & Metals Rebounding - WATCH Fall of the Republic HQ full length version

For today gold is in a strong upward trough. However, it seems that there were two attempts at intervention.
Silver is moving upward, but there has been strong intervention into the paper silver market which impacts the spot price, as well.

GLD, our up to date proxy for gold, looks very strong. Both RSI and MACD looks strong. The huge bounce off of the lower trend line of the upward trough are very positive. The one negative is in the lower section of the graph which shows that the negative volume may have time to go.
Below, is a graph of our Chinese battery & auto manufacturer. We see mixed signals in the graph. Note that the RSI indicates strong upward movement. At the same time, the MACD is giving mixed indications. Also, there seems to be a new lower trough trend exhibited. It remains an upward trough and positive is the day's move off of the almost breakthrough of the 50 day moving average. Over all the picture remains mildly positive for the immediate future.

The miners graph GDX is a mixture of indications. Overall, we see an inverted "W' which strongly indicates further downward move. However, the RSI is directly opposite. The MACD shows an indication of upward move, but the negative volume has a bit farther to go.
From James Turk GoldMoney.com:
GoldMoney Alert - 1 November 2009

Take the Long View for Gold & Silver

When gold reached its record high against the US dollar of $1064.20 on October 13th, the price of gold in euros, Swiss francs and British pounds did not confirm. On that day they were still below their recent high by 10.1%, 7.5% and 4.4% respectively.

Technically, this result was a bearish divergence, which can be a warning sign that the market's internal condition is deteriorating. For example, bearish divergences often signal a top. Read the article with great tables comparing currencies HERE.

From MondayMorning.com:

A Year After the Crisis, the Global Economy is Firing on All Cylinders

By Jon D. Markman
Contributing Writer
Money Morning

What a difference 12 months can make.

Just one year after every national economy on earth was in deep trouble, a powerful global rebound is underway. In fact, the global upswing is a lot stronger than most investors realize.

So don’t let a few days’ decline here and there cause you to lose sight of one of the most important investing trends investors will find today. Read this article HERE.

This seems a bit optimistic to me. There are signs of a turning toward rebound, but I see most of it created by the "stimulus packages." Thus, when consumer spending seems to be increasing, I see it coming more from government spending and cash for clunkers type program rather than true consumer spending. Also, we have the Christmas season coming when the high unemployment is going to make it "plastic" spending (to quote Chuck Butler of The Daily Pfennig) adding to our already obnoxious level of debt. Any improvement on the basis of increased debt will extend the financial crisis and make it even worse.

From TheGoldandOilGuy.com:

Are Gold, Oil and the S&P500 having a Seasonal Pivot Trading Low?

Nov 1, 2009
The last week of October was something else. Heavy fiscal year end selling for mutual funds seemed to put a damper on good news and push stocks and commodities lower. October is historically a tough month on the US market with mutual funds locking in profits on their books.

Below are some charts showing my analysis on gold, silver, oil, natural gas and the S&P 500 index along with a seasonality chart proving that October has more selling pressure than other months. He presents some great graphs HERE.

A very important long YouTube presentation entitled "Fall of the Republic HQ full length version" can be found HERE. Give up a night at the movies or TV to watch the whole presentation. Though we might not want to hear what is said, and there will even be small portions with which we will not agree, it is worth viewing in its entirety. Do not neglect this!

From MineWeb.com:

Bulls and bears in gold tug-of-war

The gold price has been remarkably resilient after its rapid run up through to the $1,060 level with strong resistance to falling much below the $1,040 level despite some persistent selling pressures.

Author: Lawrence Williams
Posted: Saturday , 31 Oct 2009

LONDON -

Given what is being thrown at it, gold has been performing pretty well in the past week or two, despite losing a little ground to the bears and short sellers. There seems to be a growing expressed opinion by financial analysts - not the gold bugs who are all still looking for another $100 or more on the gold price this year - that the recent burst up through $1,000 has been overdone and a sharp correction is being looked for. Conversely the same analysts, perhaps not as confidently, are also saying that the fall in the value of the dollar against its peer currencies has also been too far too fast and are beginning to talk the greenback up - at least in the short term. Read it HERE.

News on Harmony Gold (HMY) from MineWeb.com:

For Harmony Gold, free cash flow remains elusive

The gold digger remains precariously balanced between completing four big projects, and waiting for build up of new operating cash flows.

Author: Barry Sergeant
Posted: Friday , 30 Oct 2009

JOHANNESBURG -

South Africa-based Harmony Gold continues to find itself precariously balanced between tail ends of heavy capital expenditure programmes, and the challenge of securing ongoing funding as production builds up at four locations that have swallowed up more than US$1bn so far, with about another quarter of a billion dollars to go. The group's latest quarterly results once again show that the group is struggling to produce free cash flow, measured as operating cash flows less cash outlaid on capital expenditure. Read it HERE.

From MineWeb.com:

Gold is setting up for another move to the upside

After pulling back from recent highs, the price is expected to make an assault on $1100 shortly

Author: David Levenstein
Posted: Monday , 02 Nov 2009

JOHANNESBURG -

Even though the gold price has pulled back from its recent highs and is see-sawing between $1020 and $1060, I believe that the price of the yellow metal is poised to make a move to upside and hit the $1100 level shortly.

During the last week while there were several events causing some downward pressure on precious metals, they were extremely resilient and gold has continued to hold well above $1000. It is important to realize that the gold price has been pushing higher because there is a worldwide awakening that it is not merely dependent on jewellery demand or higher inflation, but it is also a way to protect wealth in the face of a declining US dollar. And, as world monetary standards undergo some very subtle changes, gold is the best way to protect the value of one's assets in this scenario. Read it HERE.

From PajamasMedia.com:

October 28th, 2009 8:42 am

The Turks, the Supreme Leader, and the Iranian people

Turkish prime minister Erdogan flew back home Wednesday evening after a 2-day visit to Tehran. It was a big deal in all senses of the term. He went to Iran with a large delegation, including three ministers, many businessmen, leaders of Parliament, scads of reporters, and television crews. He met with Iranian Foreign Minister Mottaki, “President” Ahmadinejad, and other ministers. According to Iranians who were involved in the meetings, the two countries reached agreement on many issues, the upshot of which is a considerable tightening of the working alliance between them:

–The creation of a joint airline;

–The creation of a free trade zone along the border; Read the article HERE.

Here is the Scottrade streaming quote chart of our miners:

Here are the currencies from Kitco.com:

BYDDF 9.70; BULM .071; AMNP .80; DOW +112 to 9824.81; gold 1061.40; and silver 16.63.

Folks, Our nation is in the worst condition ever before. I am convinced that the Lord is bringing us ever lower until such time as we and our leaders repent and turn back to Him. We must obey every Law-Word that God has written and preserved for us. His judgment is always for the purpose of bringing His people back to Him. Thus, it is critical that His people humble themselves before Him, repent, and turn back to Him NOW!

Every pulpit in America must present the whole counsel of God. Every pulpit must call us to repentance. Any pulpit which fails to do this now should be shut off until this message becomes a substantial part of the message. The message from God is laid upon men who are to be ministers in their home and upon men who are ministers in churches. These men must lead the way for God's people to return to King Jesus.

Best, Doug