Monday, August 22, 2011

Gold and Silver Morning Update- Cartel to Attempt to Paint Double Top in Silver Near $50

Live 24 hours silver chart [ Kitco Inc. ]Gold rocketed higher throughout the Asian overnight session, touching $1894 around 3am EST, before correcting $37 back to $1857 just about precisely when the LBMA opened.
The cartel has thus prevented $1900 headlines for now, but that shouldn't last long.
Gold looks to want to run to Jim Sinclair's next angel at $1936 at a minimum, and possibly straight to $2,000 before the next significant correction.

Live 24 hours gold chart [Kitco Inc.]

Gold's price action was strong with the COMEX open, with gold shooting $20 higher in the first 90 minutes.

Live New York Gold Chart [Kitco Inc.]

Silver was also strong overnight, clearing $44 the cartel smashdown on the LBMA commenced.  From $44, silver was taken down to $42.60,  forty cents below last week's close of $43.
Traders wisely snapped up silver at this brief cartel discount, and silver is now back up nearly dollar from its lows to $43.60, threatening to take out $44 again.
The fact that the cartel are now initiating major raids around 3-4am EST during the LBMA hours rather than their typical 10-11:30 EST on the COMEX is indicative of just how panicked the cartel is at this point.
The cartel can read a chart as well as we can, and $2,000 gold and $51 silver must be a serious terror right now.
As Cleburne61 said last night, $51 silver may just be the most important price of anything in our entire lives.
When silver clears this level with conviction in the near future, you will see silver run to The Doc's $70 number so fast it will light your hair on fire.
Look for the cartel to make their last defense at $49-$50, and throw absolutely everything at silver in order to paint a double top on the charts.
We wish them best of luck, as they're going to need it.

Live 24 hours silver chart [ Kitco Inc. ]

Live New York Silver Chart [ Kitco Inc. ]