Gold Editorials & Commentary

It is becoming more and more evident with each passing week that the gold market, along with commodities in general, have seen a bottom and will continue to consolidate or move higher in the weeks and months ahead.

I have written extensively over the past two years about precious metals leasing and its manipulative effect on the markets.

After a month that saw more good earnings, robust growth in Gross Domestic Product, a soaring Dow Industrial Average-- up 10% for the month of April, the best performance in a single month since October 1982--the first quarter of 1999 appears great on the surfa

Talk of returning to a gold standard conjures up images in most investor's minds of government confiscation of gold and tight money supply, among other things.

Chart Symmetry is designed around the observation that prices tend to change direction along certain preferred gradients. New readers are advised to read the first article in this series to discover how Chart Symmetry works. The link to this article is :

The broad U.S. stock market continued to show its underlying strength last week in the face of a bearish near-term technical picture.

Before the 1990s boom in equity prices, a 3% dividend yield was considered a harbinger of a market top. The long term average yield is over 4%.

Recovery in cyclical stocks. .

Just as teenagers are going to find out about sex, adults are going to find out about day trading.

Say this for the kids, at least they're using condoms.

Chart Symmetry is designed around the observation that prices tend to change direction along certain preferred gradients. New readers are advised to read the first article in this series to discover how Chart Symmetry works. The link to this article is :

The stock market is certainly taking on all the characteristics of a runaway train, completely out of control and destined for an accident.

Never in the past 71 years has there been a week like last week (week of April 12) which saw the Dow set five consecutive record highs at the same time the S&P 500 Index declined for four consecutive days and key stocks like IBM and Wall Mart declined 10%.

A "B Wave" Rebound. . . or the first phase of a thrust to new highs.

Bankers hate precious metals; they cannot create them, to lend, with the stroke of their pens. Bureaucrats hate them also, for to obtain enough of them from the people to finance their grandiose schemes would require tax rates guaranteed to cause a revolution.

Chart Symmetry is designed around the observation that prices tend to change direction along certain preferred gradients. Different preferred gradients are linked though the Fibonacci ratio.

Distribution under the cover of a firm Dow Jones umbrella . . . has been our straight forward multi-day assessment here.

Earlier in this report, I discussed common misperceptions on how gold behaves during cycles of inflation and deflation.

It was quite an euphoric week for the bulls as they took full advantage of the window of opportunity before the onset of 1st quarter earnings announcements. For the week, the Dow gained 340 points, or more than 3%, and the S&P 500 rose 4%.

Source: Baseline

Chart: Recent massacre of gold by speculative selling

During the last part of 1998 and continuing into 1999, there has been an increasing amount of soul-searching among intelligent people around the world over the condition of our money system, asset market price levels, political problems in many countries, and h

Wednesday's "Popover" stock market. .

Chart Symmetry is designed around the observation that prices tend to change direction along certain preferred gradients. Different preferred gradients are linked though the Fibonacci ratio.

Although scant attention is usually paid by most analysts to the Dow Jones Utilities Average (DJUA), it indeed demonstrates a respectable record of anticipating important turns in the Dow Industrials Stock Index.

In the coming weeks and months, one of the most reliable leading indicators for the U.S. stock market will not necessarily be a broad-market, capitalization-weighted index or momentum indicator.

Well, I suppose the answer has to be yes. Even as you're going down for the third time, with an anchor caught around your neck, and a shark noshing on your ankle, there's a glimmer of hope. But as a practical matter---look out!

The quarter-end rally couldn't quite hold today as the Dow closed at 9,786, after trading at 10,000 this morning (3/31/99).

After briefly again printing Dow 10,000 . . . in early Wednesday trading, the market sold-off a bit, in harmony with our call for what would happen if there was an early rally as opposed to early decline.