Thursday, August 18, 2011

Gold Breaks Out Past $1820 to New All-Time High

As we predicted here yesterday with Chavez calling in 210 tons of Venezuelan gold held by the Bank of England and JP Morgan, gold is absolutely breaking out this morning, breaking $1820 and setting a new all-time nominal high of $1822.60!
Combine the fact that Jim Sinclair looked for gold to undergo a phase change and begin its exponential ascent past $1764 with the fact that we may well see a sovereign run on US bank held gold, and the price of gold could potentially move to $2,000 from here so fast it will set your hair on fire.

(Will close in 8 hrs. 7 mins.)
Metals Date

Ask Change Low High
Buy gold Gold Charts  GOLD 08/18/2011

1807.40 1822.60
Buy silver Silver Charts  SILVER 08/18/2011

40.32 40.84

Silver is waking up this morning as well,
up another .45 after yesterday's impressive showing in which it convincingly closed above $40.
Silver now needs to clear $41 and make another run to $42.  While silver is starting to move, it is still technically range bound until it can clear $42 convincingly, at which point we look for disorder to the upside.
Notice on the silver chart that the cartel is currently managing silver's ascent, as evident by nearly identical price patterns throughout the day for the past 3 days.
Until we see silver break through from this temporary management, look to buy physical silver on the daily morning smash-down, due to commence in the next hour.
Good luck, and keep stacking.

Live 24 hours gold chart [Kitco Inc.]

Live 24 hours silver chart [ Kitco Inc. ]