Sunday, November 6, 2011

Gold Surges Through $1770, Back Above Sinclair's $1764- Phase 3 of the Gold Bull Market

Gold has surged nearly $20 since the Asian open, and is now back above Sinclair's $1764.  For those who need a reminder as to the importance of $1764 to gold, please review Jim Sinclair's statements on its importance:

Gold from $248 to $524.90 was an arithmetic uptrend based on a re-birthing of gold’s currency roll.
When gold broke out above $524.90 I asked you to please cease trading as gold had moved from phase 1 into a runaway price phase 2. It is this phase which has given you prices in excess of $1650.
$1764 has the same significance as $524.90 because it represents phase 3, the point when a runaway price market for gold would gain exponential properties.
Because $1764 is such significant a number you can expect one of the more serious price battles before the price departs to Alf Fields’ and Armstrong’s higher potentials.
To sum up the situation you haven’t seen anything yet.

Silver has also surged .50 to $34.65 after dropping briefly to $34.  With all the uncertainty over the MF Global fiasco and account transfers TA may be practically meaningless for the short term this week, but if silver can close back above $35 it is set up to make a strong move to $38-$39. 

( closes in 18 hrs. 36 mins.)
Metals Date Time (EST) Bid Ask Change from NY Close
Gold Charts  GOLD 11/06/2011 22:39 1770.70 1771.70
Silver Charts  SILVER 11/06/2011 22:39 34.55 34.65

Live 24 hours gold chart [Kitco Inc.]

Live 24 hours silver chart [ Kitco Inc. ]