With another QE taper (the seventh), the precious metals failed to hold the early morning gains, and settled somewhat significantly lower. Gold and Silver both saw net daily declines of around -1%. Near term outlook remains very weak.
GLD, daily
SLV, daily
Summary
The daily, weekly, and monthly cycles are ALL bearish.
*SLV fractionally broke the 2013 low of $17.75... by 1 cent @ $17.74.
So.. Silver has lost the 2013 low.... Gold looks set to follow, whether in the near term.. or a few weeks... it really makes no difference.
Gold looks headed for $1000/900s.. before this down cycle from spring 2011 is complete.
Whilst the main US capital markets saw only minor weakness, there was significant downside in the precious metals. Gold and Silver saw net weekly declines of -3.0% and -2.8% respectively. Near term outlook offers a small bounce, but the 2013 lows look set to be taken out.
GLD, weekly
SLV, weekly
Summary
It was the worse week for the metals since late May.
With the USD continuing to broadly climb for a third consecutive month, this is putting extra downward pressure on the metals.
There is certainly a chance for a minor 1-3 week bounce.... but the 2013 lows look set to be broken within the very near term.. or no later than November.
*holding to broader downside targets.....
Gold $1000/900s
Silver $12/10
-
Some videos....which I think many of the 'crazed' gold bugs should have watched...
First...
Hunter with Organ...
--
Finally, a short discussion on 'what makes an expert' by Silverfuturist.
The broader down trend from spring 2011 continues to assert itself. Gold and Silver both saw net daily declines of -0.5%. Near term outlook remains bearish, the 2013 lows are within range, and look set to broken.
GLD, daily
SLV, daily
Summary
Suffice to say, the 2013 lows look set to be broken..whether late this year.. or next.
If this outlook is correct, it has dire implications for the mining stocks, even if the broader equity market continues to rise.
