Gold Ends At Six Month Lows After Scare Below $1,600

Now that is a headline! Goes right along with this one, wait for it and BAM-

S&P 500 Squeezes Out 7th-Weekly Win Streak

Great week for the INVISIBLE HAND, conveniently the G20 is having a gathering in Russia as all this is going on. Do you think for a second, someone upstairs was sending a sign with that meteor on Thursday? I am sure you have all seen that by now, that was a spectacular sight. Thankfully it exploded before it touched ground and there were no fatalities. Out of all places in the world and at that particular time, just makes you wonder if someone is angry with what they see from the outside looking in, at our World Financial Leaders!

Now I will show you what I see in the markets. First I am showing you an hourly chart on the Dow Jones, I am going to start calling the Dow, Humpty Dumpty, because in my opinion its cracks are starting to show and maybe just maybe it will fall from the top of the wall. Here is a look at the INVISIBLE HAND

I hope that you know to click on the chart and it will be easier to see. At the far right of the chart you will see that stocks were rolling over again but mysteriously had a bountiful recovery to end the day and you have your weekend headline cheering THE S&P 500 7 Week Winning Streak. On this same Friday, I just would like to point out to you that three markets that I follow, which perform well when there is global growth, all had the appearance of rolling over. OIL was down almost $2 with a 95 handle, something to keep an eye on early next week if it should break below 95. The CAD and the AUSSIE did not look that great. As a matter of fact, that brings me to the next chart that I find important to show. This is the Euro, we hear how bad growth is in Europe and what a threat Europe is to OUR US RECOVERY but here it is, see it with your own eyes. Again do not listen to that strong dollar BS that gets spewed out on tv.

The news was bad on Thursday for the Euro, however while everything else was down against the dollar, the EC was having a decent day, up around 70 points for the day. Notice how it tested 133 early and the selling abated. In the meantime the dollar index is just waffling below 81 and I do not see it breaching this level without a major shock to the global economy and faltering equity markets.
I would have posted charts on the dollar, Cad and Aussie but I wanted to point these things out that I see as most important going into next week and the Dollar, CAD and Aussie are just rangebound at the moment.

Now back to this
Gold Ends At Six Month Lows After Scare Below $1,600 and here is your chart

Scary it is and if you have been reading me, you now my take on gold and how it is being played. I will tell it like it is and how I feel. I am not impressed with the close yesterday but I hinted early yesterday morning on what they may try to do with the chart. Yes THEY paint the charts to make them look unappealing and scare you out of your positions. If you are holding the PHYSICAL, I applaud you and you have nothing to fear, the same for Gold shares if you are not on margin! I have been mentioning caution since 1680 and 32 in Silver. My main value zone was of course that 1630-1650 level with the fear of them taking out the stops, which they did yesterday. Can they take it lower, sure anything is possible. What I do know is that I am excited to buy around 1600 but I will be quick and nimble. I remember several instances throughout this bull market in GOLD where the price would get smashed relentlessly only to have it reverse those losses and finish the day with strong gains. We have not seen this type of price action in the past 2 years now and that is what I am looking for and just have not gotten that yet. I did not want to see the stops taken out below the market but if it was going to happen I really would have liked to see action like this-
Spike down to a low of $1597 and roar all the way back to close above 1630 or so. In silver, I noticed the beatdown was not as severe but it did not recover as well as Gold did towards the end of the day.
I read and hear alot about physical tightness and a short squeeze imminent and I believe it all. I believe the speculator has been duped into shorting the markets and they will be SORRY with one heck of a RIP YOUR FACE OFF RALLY on both Gold and Silver!
Be aware of more downside, maybe but set yourself up to join the ride!
Another problem I see over the past couple of years, is that newcomers to these markets are so accustomed to seeing the capping in prices, the manufactured takedowns, and all the other manipulative games played to suppress Gold&SILVER- they will miss the big move when it happens because of the games played with the markets.
I laugh when I see the cheers of silver being up 40/50 cents in a day, gold up 10 dollars- you guys have not seen anything and I cannot wait to see what people say when Silver rallies a couple of dollars overnight and Gold is going up 20/30 dollars day after day. We are long overdue and enjoy it when it comes, this is why I always say BE STRONG.

I think I'll call it quits, as for the writing goes for the weekend. I hope you found this post helpful and you will visit me throughout the week. I would like to thank everyone who read my post from yesterday and shared it as well. It did receive alot of exposure for a guy who has only been writing for 3 weeks now. I am proud to say that my post was read by over 1000 people yesterday. I am thankful for the readers and only hope to have 10's of thousands of readers in the not to distant future. I will need your help, if you enjoy what I write about and you feel my passion to help you understand, I ask that you share my work with others. Again I thank you all again and I am enjoying this!

Enjoy the weekend!