Weekly Market Report 10/13/15

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

Chinese Gold market: Lost in Translation

US overtaken by India as world’s largest importer of Silver

China making attempt to become Gold trading center of the world

Major mints limit Silver sales, incredible physical demand

This Week’s Headlines:

Gold
Silver
Silver .999 Buffalo & Assay Office 1oz Trade Units are available
Mints struggle to keep up with Silver coin demand
Recommended Investment Commitment and Diversification

GOLD

Last Friday Gold closed at $1,155.60 per ounce, up $19 for the week, and $40 per ounce since the start of the month. Gold reached a high of $1,159.30 per ounce last Friday after the minutes from the Federal Reserve’s last policy meeting showed that the Fed was in no hurry to raise interest rates.

Last week’s Gold move (back above the key $1,150 resistance level on excellent volume) is key if it can hold above that level this entire week. I really like the recent price activity of spot Gold trading on the world’s commodity exchanges. The demand continues to be strong every time there is weakness in the price, which sends a clear message that the price wants to move much higher.

Traders are looking for Gold to break above the $1,166 per ounce level, which is the next short term resistance point. As I have said before, I believe that $1,200 per ounce is the very important long term resistance level. A break above $1,200 per ounce would indicate that Gold has moved from a bearish outlook into a bullish direction. I continue to believe that during 2015 we will see the end of the four-year down cycle in Gold, and many professional commodity traders and precious metal experts that I have talked with recently are beginning to believe the same.

Today: This morning Gold tested the $1,150 support level, reaching $1,151.80 per ounce, then rallied. This morning’s rally took Gold above the $1,166 resistance level, reaching a high of $1,167.50. A firm break above $1,166 on good volume could allow Gold to reach the important $1,200 per ounce long term resistance level.

Back to top of report

SILVER

Last Friday Silver closed at $15.82 per ounce, up $0.56 for the week, and up $1.30 since the beginning of the month. If you look at the numbers, one would think Silver is having an outstanding October. However, Silver has rallied above the key $16 per ounce level four times in October and couldn’t hold.

Over the last four months, many professional commodity traders have made lots of money shorting Silver in the future commodity markets every time Silver traded above $16. Until Silver can hold above $16 per ounce for at least five trading days with excellent trading volume, that profitable strategy will not change. A break above the next short term resistance level of $16.40 per ounce may also help change trader sentiment to bullish for Silver.

The Silver to Gold ratio is at 73.18-to-1.

Today: What is disappointing about Silver is its weakness in the face of a very strong Gold rally. Silver is having a very difficult time finding the demand that would allow it to break and stay above the $16 per ounce resistance level. Investors and professional commodity traders need to see Silver show a high demand and move firmly above $16 per ounce to become bullish and stop selling Silver short.

Back to top of report

Silver .999 Buffalo & Assay Office 1oz Trade Units are available

While the premium on the U.S. Mint 1oz Silver Eagles remains at a ridiculous $4.60 over spot, we continue to recommend the high quality 1oz .999 Silver Buffalos and Assay Office trade units at 1/3 of the Silver Eagles premium. We have cleared up our sales back log and now have available the 1oz .999 Silver Buffalo trade units at only $1.35 over spot, and the popular Assay Office Silver trade units at only $1.25 over spot. 1 ounce .999 fine Silver trade units are by far the best Silver investment available right now.

Back to top of report

Mints struggle to keep up with Silver coin demand

Since the beginning of the year I have been talking about the extraordinary demand for Silver investment products around the globe. Mints around the world are having problems meeting the demand for Silver coins and bars. The following article provides information on the shortages many of world’s most popular mints are currently dealing with:
Mints struggle to keep up with Silver coin demand

Back to top of report

Recommended Investment Commitment and Diversification:

Precious Metal commitment: Minimum of 30% of investment capital

Diversification:  Gold 50%, Silver 40%, Platinum & Palladium 10%

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

Back to top of report

REMEMBER THE BLOG

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.

Back to top of report