Weekly Market Report 1/20/15

Links to recent informative articles on precious metals and rare coins:

Chinese buy 29 tonnes of Gold in last 3 days of 2014

2015 Silver Eagle Bullion Sales Top 2.9M on First Day, Gold Gains

Enormous Bullish Gold Bet was just made with Call Options

This Week’s Headlines:

Gold
Silver
Jan 2015 CoinStats is now available
Recommended Investment Commitment and Diversification

GOLD

Gold continues its bullish 2015 move higher, up $57.50 per ounce last week and $93.70 (7.92%) since the beginning of 2015. Gold closed last Friday at $1,276.90 on excellent trading volume. What is exceptional about Gold’s rally is that it’s doing it in the face of a U.S. Dollar moving to a seven-year high versus the Euro, at 1.13 to 1. I believe Gold will continue to rally, reaching the $1,300 per ounce resistance level this week. After it breaks above $1,300, I would like to see a little consolidation before moving on.

Last week’s surprise move by Switzerland to abandon its three-year cap on the Swiss Franc sent global shares and bond yields into turmoil. This move by the Swiss Central Bank triggered a flight to safety and caused the Euro to drop to 1.13 Euros to the U.S. Dollar and helped Gold rally $25 per ounce that day. The feeling by many traders is that this move by the Swiss confirms that the European Central Bank will start a major quantitative easing (QE) program soon.

The price of Gold rose against ALL currencies in 2014 — except for the U.S. Dollar. Yes, Gold was up against the Euro, Japanese Yen, Swiss Franc, Canadian Dollar, British Pound, Australian Dollar, New Zealand Dollar, Chinese Renminbi, Indian Rupee, Swedish Krona, Brazilian Real, Israeli Shekel, and South Korean Won.

We are now moving into the 1st quarter of 2015, traditionally a very bullish period for Gold. I believe that we will see Gold renew its bullish trend this year, reaching $1,500 per ounce by year end. I think worldwide currency instability combined with global quantitative easing are going to be the primary reasons there will be a run to Gold in 2015, the only true safe haven investment.

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SILVER

Last Friday Silver closed at $17.75 per ounce, up $1.11 for the week, and up $2.15 per ounce (13.79%) since the beginning of 2015. Trading was very active on the world’s commodity exchanges with excellent volume. The next important resistance level for Silver is $18 and we tested that level this morning with Silver reaching $18.04 per ounce before seeing some short term profit taking. $20 per ounce is the long term resistance level for Silver, and at the current rate of increase we could see Silver move above that level before March.

The U.S. Mint reported selling 3.7 million 2015 Silver Eagles in the first 15 days.

In 2014 Silver reached a high of $22.22 per ounce, and a low of $14.16 per ounce. I believe 2015 will be a profitable year for Silver investors if they are able to purchase Silver under $18 per ounce.

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Jan 2015 CoinStats is now available

Our numismatic CoinStats report is the best investment tool for rare coin investors. CoinStats is an in-depth statistical analysis of popular rare coin series that allows you to identify the best values in certified rare coins. I am proud to offer this unique and informative tool exclusively to our clients. The CoinStats report is now updated for January 2015 and is available in PDF format. Six different series are available, $20 Gold Saint Gaudens, $20 Gold Liberties, $10 Indians, Morgan & Peace Silver Dollars, and the Walking Liberty Half Dollars.

CoinStats provides a list of my recommended certified U.S. Gold and Silver coins which are found listed on the Best Value page. These are not the modern issue bullion coins or low-grade circulated coins. These are PCGS/NGC Certified MS63 or higher Gold and Silver U.S. rare coins, dated prior to 1948, which have a proven track record of appreciation and also offer excellent liquidity. To receive the latest CoinStats analysis, just insert the word CoinStats in the subject line and email me which of the six series you would like to see.

I want to thank the clients who gave suggestions on how to improve CoinStats. Those recommendations are appreciated and as a result, I have made some additional changes. The first suggestion was to put coins that have increased in value in blue and those that deceased in red, on the Best Value page. Additionally, I am now indicating when new coins have been added to the Best Value page. If you have any suggestions, please feel free to email me.

Because I believe that CoinStats is one of the best tools to help rare coin collectors and investors recognize great value, I will continue to look for ways to provide more important and relevant information. Your input on CoinStats is always appreciated.

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Recommended Investment Commitment and Diversification:

Precious Metal commitment: Minimum of 45% of investment capital

Diversification:  Gold 45%, Silver 45%, Platinum & Palladium 10%

Diversification includes 50% in long term investment quality rare coins and 50% short term bullion products

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If you want to be updated on what is happening in the Gold, Silver, and Rare Coin markets any weekday, our company offers a daily blog Monday through Friday at www.stupplerblog.com

All statements, opinions, pricing, and ideas herein are believed to be reliable, truthful and accurate to the best of the Stuppler & Company’s knowledge at this time.  Stuppler & Company disclaims and is not liable for any claims or losses which may be incurred by third parties while relying on information published herein.  Individuals should not look at this publication as giving finance or investment advice or information for their individual suitability.  All readers are advised to independently verify all representations made herein or by its representatives for your individual suitability before making your investment or collecting decisions.

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