Analysis Topic: Commodity Markets - Metals, Softs & Oils
The analysis published under this topic are as follows.Monday, March 22, 2010
Obama's Health Care Bill to Contribute to Surging US Budget Deficits / Commodities / Gold and Silver 2010
Gold sold off aggressively on Friday, closing at $1107.40/oz in New York, showing a loss of 1.8% on the day. However, it was still up 0.54% on the week which is important from a technical perspective. Gold traded nearly flat this morning in Asian trading and is currently trading at $1,104.70/oz and €816.48/oz & £736.37/oz in euro and GBP terms respectively.Read full article... Read full article...
Monday, March 22, 2010
Short term Bullishness for the Gold Price Continues / Commodities / Gold and Silver 2010
Gold rallied to a high of 1133.3 last week but fell sharply by Friday’s close. A reverse head and shoulder pattern has emerged that forecasts a short term bullish trend for the gold price…
Last week the dollar rally continued to find strength as leading EU member officials, one by one, questioned what the EU’s response to the Greek problem should be.
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Sunday, March 21, 2010
NO Stock Market Investments, Commodities Second Inflationary Upswing / Commodities / CRB Index
This is directed toward those readers who have heeded the siren song of the establishment and have put their assets into the stock market. I say to you: NO STOCKS, NO STOCKS, NO STOCKS, not at this time.
The basic reason is that we are in the second upswing of the commodity pendulum. First, what is the commodity pendulum? And second, why should this affect your decision to put your assets into stocks?
Sunday, March 21, 2010
Gold, A Quick Look at the Charts / Commodities / Gold and Silver 2010
Taking a quick look at the above chart we can see that gold prices appear to be stuck in a trading range for now and may continue to trade sideways until we get some sort of resolution to the European Fiasco. The long term trend is still up so we must learn to expect these knocks along the way. Shortly after gold had risen above the $600/oz level (many moons ago) we wrote that you would never see $600/oz gold again and the detractors fired in the brick bats accordingly, well it wont be too long before $1100/oz is history too
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Sunday, March 21, 2010
Silver Trendline Failure SELL Signal / Commodities / Gold and Silver 2010
Silver never did confirm gold’s breakout to new highs, which has always been grounds for some caution. It has followed the path predicted in the last update to the letter, as can be seen on the older 6-month chart included beneath the current chart below, but has run into trouble this month at resistance at the underside of its earlier broadening channel.
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Sunday, March 21, 2010
Gold Succumbing to Bullish Dollar / Commodities / Gold and Silver 2010
The dollar succeeded in confounding many experts late last week with a sudden strong rally. Fred Starkey earlier described it as marking out a Head-and-Shoulders top, which it appears to have aborted, “Fractal Dave” was caught out by the big drop in gold on Friday caused by the dollar strength, when he had expected it to rise. Peter Schiff recently set out the fundamental case why the dollar should plunge - which has not been invalidated, but in this business timing is everything. Only the wavers, who have been steadfastly bearish, ended the week looking good at last. We are well aware of their arguments, and have not gone along with them thus far, because there was money to be made. In practical terms being right too soon is as bad as being wrong.
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Sunday, March 21, 2010
Weekly Commodity Analysis for Gold, Silver, Crude Oil and Natural Gas / Commodities / Commodities Trading
Last week was nothing special as stock market continued to drift higher on light volume and the Volatility Index (VIX) reaching a new multi year low. This mix of higher prices on light volume, multi year lows in the VIX and an overbought market paints a clear picture to a market technician – Be Ready for a Pullback!
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Sunday, March 21, 2010
Euro, U.S. Dollar and Crude Oil: Oil is the Winner Hands Down / Commodities / Crude Oil
Euro saw 40% reduction in open interest as large speculators decided to take some of their profits off the table. What was surprising was the amount by which the open interest reduced wwhich was the largest in recorded history.
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Sunday, March 21, 2010
Gold Rally Disintegrates on Friday / Commodities / Gold and Silver 2010
Four up days almost all disintegrated in one day. We seem to be getting too many sharp down days over the past few months, or is that just an illusion?
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Saturday, March 20, 2010
Investment Mega Trends, A Dangerous Mix of Water and Oil / Commodities / Investing 2010
Oil and water aren’t supposed to mix, but these two resources could brew up plenty of trouble in the near future. In recent issues, I’ve told you how I think oil prices are going to be squeezed higher. As for water, both the CIA and the World Bank have identified water as one of the key flashpoints of the 21st Century. And it turns out you can’t get oil without water. There are some moves you should be making in your portfolio to protect against this, and potentially profit as well.
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Saturday, March 20, 2010
Crude Oil Futures Slip as Funds Increase Bet on Higher Prices / Commodities / Crude Oil
Crude oil futures kept falling back from highs even though speculative funds increased their bets that prices are headed higher. The benchmark West Texas Intermediate contract ended the week at $80.68 a barrel, after nearing $83 earlier in the week, compared to $81.24 a week ago.
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Saturday, March 20, 2010
Lithium Commodity Investing, Hot Now, Soon to Sizzle / Commodities / Metals & Mining
Lithium, the flavor of the year, is in high demand—powering everything from hybrid cars to laptops and cell phones. In this exclusive Gold Report interview, Byron Capital Markets lithium analyst Jon Hykawy discusses key drivers for lithium, as well as vanadium. He also recommends a few names in the still-small space, adding "these are early days;" the opportunities emerging should benefit the producers and investors.
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Friday, March 19, 2010
Is it better to buy Gold Bullion or Gold Shares? / Commodities / Gold & Silver Stocks
Global equity markets have changed over the last three years, investor capacities and capabilities have changed as have interest rate patterns. This makes it incumbent upon investors to re-examine this question from the ground up.
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Friday, March 19, 2010
Are the Precious Metals Stocks Breaking Higher or Topping Out? / Commodities / Gold & Silver Stocks
In the March 5th commentary, we've summarized that signals coming from the analysis of the PM stocks' charts currently don't give us very precise signals, which may mean that they are to trade sideways for some time instead of making a sharp move in any direction, but there are other signals (…) that we may be near a local top.
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Friday, March 19, 2010
HUI Gold Stocks Post Panic Recovery / Commodities / Gold and Silver 2010
Gold stocks continue to face a stiff psychological headwind. As measured by their flagship HUI index, they were ripped to shreds in late 2008’s brutal stock panic. In only 13 trading days, the HUI plummeted 49%! Many gold-stock investors simply gave up after seeing the HUI hit its worst levels in over 5 years.
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Friday, March 19, 2010
Gold Nears New Euro Record High / Commodities / Gold and Silver 2010
THE PRICE OF GOLD was little changed for US investors in London on Friday, heading for a 2% weekly gain as the Dollar rose against everything on the forex market but the commodity-currencies of Canada and Australia.
European stock markets pushed 1% higher from last Friday's close, while Euro and Sterling bonds both fell with their currencies.
Friday, March 19, 2010
Gold and Stocks 1-2-3 Reversal / Commodities / Gold and Silver 2010
Today will be the 28th day of the rally out of the February 5th bottom. We are now in the trading band for the daily cycle in stocks to bottom. (The cycle rarely lasts much longer than 35-40 days). So, as I said in my last post, we are due for a short breather any time now.
Friday, March 19, 2010
Sterling Gold Near Record Highs as General Election Looms / Commodities / Gold and Silver 2010
Gold went from as low as $1,119/oz up to $1,128/oz in US trading before closing with a gain of 0.32%. It has range traded from $1,120/oz to $1,125/oz in Asian and European trading this morning. Gold is currently trading at $1,123/oz and in Euro and GBP terms, at €827/oz and £741/oz respectively.
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Friday, March 19, 2010
Gold and Hyperinflation, Watch the Bond Market Not Bank Lending or Velocity / Commodities / Gold and Silver 2010
A few weeks ago we wrote about the true cause of hyperinflation, which is a major break or failure in the bond market. It has nothing to do with demand, bank lending or the velocity of money as many have suggested. It is a confidence issue. It is not a rise in inflationary expectations but a loss of confidence in a country being able to repay its debts. As confidence is lost, interest rates rise. Monetization occurs when the cost of servicing the debt consumes too much of the overall budget, so that the government can’t provide basic services or loses its ability to function on a day-to-day basis.
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Friday, March 19, 2010
What May Trigger A Spring in Wheat? / Commodities / Commodities Trading
Wheat prices have continued to drift back this year, recently approaching last year’s low. In the Commodity Specialist Guide we have stuck to a bearish outlook, but it is now useful to consider what would provide a s/term bull trigger.
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