Why It Is Crucial To Your Finances and Future to buy Gold and Silver-Goldwars.blogspot.com

I may have written on this subject before but I cannot stress enough, do not wait! You should be buying precious metals such as gold and silver now.  I have stated my point of view, now I give you an other's POV.  Kirsty Hogg has written an article in her blog GoldWars on why it is now crucial to your finances and future to buy gold and silver? I urge you to read this treatise as it explains why PMs guard against inflation, why Central banks are manipulating the prices of PMs, and much more. With the National debt at 13 Trillion and counting as the paper flies through the printing presses, our economy cannot hold back the floodgates of inflation much longer.  Read it for yourselves, but more importantly, ACT!

MoMoney beaks down the Gold Chart

I confess that I know squat about the technical analysis of reading charts.  When I try to explain things I talk about fundamentals. But for the chart people, Mo Dawoud explains the technical charts for gold , silver, and other commodities on his MoMoney blog.  Once a month he posts a  update on the gold chart. This month he wrote "Previously, I stated that gold broke the 1,227 resistance and it is now clear for an uptrend until it hit 1,500. Instead, the chart forms another resistance level at 1,250 per ounce. It made three attempt to break the resistance, but it could not close above the resistance level". He still believes gold will break this resistance before the end of the summer with high volume. Furthermore he believes gold will hit 1,500 before the end of the year. The light volume shows that there is no big sell off in gold which indicates that the “big players” are still in the game and that is a good sign for Main Street investors. 

The fundamentals of the economy will dictate when will the price of gold will move above the resistance. If the Federal Reserve decides to continue their quantitative easing (the definition is when the Feds decide to print more money), He believes it will help gold start the uptrend to 1,500 or more. However, He is sticking with his prediction that 2011 will be a great year for gold.

To read more technical analysis on gold or to see the current chart go to MoMoney Blog

Ben Bernanke is Confused about Gold

written by Kevin McElroy


Monday, June 14, 2010

Federal Reserve Chairman Ben Bernanke recently expressed some confusion about increases in gold prices. According to a recent story in The Wall Street Journal, Bernanke said, "I don't fully understand movements in the gold price." It seems like Bernanke and Treasury Secretary Tim Geithner, formerly of Goldman Sachs (NYSE: GS), believe that massive deficits and billion dollar gifts to Wall Street bankers should have no consequences. For anyone paying attention to the Federal Reserve's massive bailouts gifted to super-rich bankers, it's small wonder that world investors have started bidding up gold's price - they're sick of working hard for dollars while the Fed gives them out for free to the world's elite financial institutions.

Here's a wake-up call for Ben Bernanke, Timothy Geithner and President Obama: deficits do matter! Recent polls suggest that deficit spending is now the #1 issue on voters' minds. Willingness to print the dollar into oblivion will continue to be matched by a stronger and stronger bull market in gold.  To take advantage of this bull market, Ian Wyatt, the Chief Investment Strategist at Wyatt Investment Research, has written a full report about his favorite American gold company. This company has over $20 billion in proven gold reserves, with a market cap of around $200 million. Even if this company only mines 1% of its reserves, it could double its current share price.

Warning: This is a solicitation from Wyatt Investment Research.  I do not work for them, and I receive no type of payment for blogging this.  I just thought that the introductory article was very timely and shows how Bernanke, Geithner, and Obama are working to destroy this market.  If you want to read the rest of the report you can go HERE.

Buy Silver Bullion | 1 oz Silver Bars

Buy Silver Bullion 1 oz Silver Bars

This Little PIIGGY: Spain and Gold Prices

Since the economic situation in the EU was either better or less worrisome last weekend, many investors' felt that market trading was less risky.  Therefore, traders tentatively sold gold for stocks. Global stock markets  posted modest gains encouraged by the U.S. late-day rally on Friday.

There may be more volatility ahead  for gold prices as they continue to take their cue from the risk trade. In the short term, a weaker US dollar could boost demand for gold as the dollar-backed commodity becomes an inexpensive purchase in other currencies; furthermore, any significant pullback could lure in any bargain-hunters looking to buy gold at a discount.

Even though Spain denied rumors last week that it would be the next EU nation to request bailout funds, sovereign debt risk from Spain is waiting in the wings as a gold provocateur.  Even though the Spain's yields are on the rise. Bond yields typically rise when a government must sweeten the pot to entice  investors to lend the country money. Currently, the yield on Spain's 10-year bond is 4.59% while Portugal's is 5.33%. These levels do not yet compare with Greece's double-digit yield at the height of its' financial crisis, but investors are still worried, and any bad news out of the eurozone would trigger a gold rush as investors buy the metal as a form of money that retains value when paper currencies fail.

Gold bulls are hoping that prices can reclaim and exceed their record high last week of $1,254 an troy ounce. However, gold set that record intraday and settled under $1,250 leaving many analysts wondering if there is any momentum to this gold is bullish movement.

For the Silverbugs and base metal buyers: Monday, silver prices were rising .18 cents to $18.42, while copper was rallying 8 cents to $2.99.