It was a week that brought Gold to its “death cross” moment and sent
silver sinking by 3.75 percent. If you thought that gold went to hell
this week, consider the fact that the MACD for the spot price of silver
finished Friday’s trading session at the Hadean low of negative 0.666.
The chart below depicts the trading activity in the SPDR Gold Trust ETF (NYSEARCA:GLD) during the past 180 days (Chart courtesy of Stockcharts.com).
After experiencing its “death cross” – when its 50-day moving average crossed below its 200-day moving average – GLD saw its Relative Strength Index fall below 30. Although this is considered the “oversold” range and is interpreted by many investors as a “buy” signal, keep in mind that the MACD is continuing to sink even further below the zero line, which would suggest more downward momentum. By finishing Friday’s session with a 0.23 percent gain, GLD could be developing some support at $152. We can expect a good number of eager goldbugs looking to “buy the dip” in anticipation of obtaining a bargain before the sequester hits and the European situation deteriorates. Fed’s Job Complete, Gold Holds Above Spike Low
The following is a summary of how precious metal spot prices and ETFs performed from the close on Friday, February 15 until the close on Friday, February 22:
SPDR Gold Trust ETF (NYSEARCA:GLD): -1.79%, This ETF reflects the current price and trends of Gold Bullion and so offers exposure to the gold market within a brokerage account. The gold spot price for NYSEARCA:GLD is determined by the 24 hour global over-the-counter (OTC) gold market. The SPDR Gold Trust ETF (NYSEARCA:GLD) is the world’s largest gold ETF and second largest ETF in existence.
iShares Gold Trust ETF (NYSEARCA:IAU): -1.85%, This ETF reflects the current price and trends of Gold Bullion and so offers exposure to the gold market within a brokerage account. The iShares Gold Trust ETF (NYSEARCA:IAU) is backed by gold held in trusts located in London, Toronto, and New York. The gold spot price for the iShares Gold Trust ETF (NYSEARCA:IAU) is set by the London PM Fix Price for spot gold as determined by the London Bullion Market Association.
iShares Silver Trust ETF (NYSEARCA:SLV): -3.46%, This ETF reflects the current price of silver and trends of Silver Bullion and so offers exposure to the silver market within a brokerage account. The iShares Silver Trust ETF (NYSEARCA:SLV) is backed by real silver and the silver price is set by the London PM Fix Price for silver as determined by the London Bullion Market Association.
ProShares Ultra Silver ETF (NYSEARCA:AGQ): -7.01%, This ETF reflects the 2X daily return of the current price of Silver Bullion. The ETF is priced in US dollars based on the afternoon closing price of Silver in London. The ProShares Ultra Silver ETF thus offers double exposure to the silver market within a brokerage account.
ETFS Physical Platinum Shares ETF (NYSEARCA:PPLT): -4.24% This ETF reflects the current spot price of physical platinum and so offers exposure to the platinum market within a brokerage account. The price of platinum is specified by the London Platinum and Palladium Market (LPPM) rules and is backed by Platinum held in vaults in London, UK and Zurich, Switzerland.
Bottom Line: Although gold had a bad week with a loss approaching 2 percent, things were worse for silver, which experienced a 3.75 percent loss at the spot price and a 3.46 percent decline for the iShares Silver ETF (NYSEARCA:SLV). Platinum took a severe drubbing, with a loss of 3.92 percent at the spot price.
Source
The chart below depicts the trading activity in the SPDR Gold Trust ETF (NYSEARCA:GLD) during the past 180 days (Chart courtesy of Stockcharts.com).
After experiencing its “death cross” – when its 50-day moving average crossed below its 200-day moving average – GLD saw its Relative Strength Index fall below 30. Although this is considered the “oversold” range and is interpreted by many investors as a “buy” signal, keep in mind that the MACD is continuing to sink even further below the zero line, which would suggest more downward momentum. By finishing Friday’s session with a 0.23 percent gain, GLD could be developing some support at $152. We can expect a good number of eager goldbugs looking to “buy the dip” in anticipation of obtaining a bargain before the sequester hits and the European situation deteriorates. Fed’s Job Complete, Gold Holds Above Spike Low
The following is a summary of how precious metal spot prices and ETFs performed from the close on Friday, February 15 until the close on Friday, February 22:
Gold ETF Update:
Gold Spot Price: $1579.60/oz, -1.94%SPDR Gold Trust ETF (NYSEARCA:GLD): -1.79%, This ETF reflects the current price and trends of Gold Bullion and so offers exposure to the gold market within a brokerage account. The gold spot price for NYSEARCA:GLD is determined by the 24 hour global over-the-counter (OTC) gold market. The SPDR Gold Trust ETF (NYSEARCA:GLD) is the world’s largest gold ETF and second largest ETF in existence.
iShares Gold Trust ETF (NYSEARCA:IAU): -1.85%, This ETF reflects the current price and trends of Gold Bullion and so offers exposure to the gold market within a brokerage account. The iShares Gold Trust ETF (NYSEARCA:IAU) is backed by gold held in trusts located in London, Toronto, and New York. The gold spot price for the iShares Gold Trust ETF (NYSEARCA:IAU) is set by the London PM Fix Price for spot gold as determined by the London Bullion Market Association.
Silver ETF Update:
Silver Spot Price: $28.70/ oz, -3.75 %iShares Silver Trust ETF (NYSEARCA:SLV): -3.46%, This ETF reflects the current price of silver and trends of Silver Bullion and so offers exposure to the silver market within a brokerage account. The iShares Silver Trust ETF (NYSEARCA:SLV) is backed by real silver and the silver price is set by the London PM Fix Price for silver as determined by the London Bullion Market Association.
ProShares Ultra Silver ETF (NYSEARCA:AGQ): -7.01%, This ETF reflects the 2X daily return of the current price of Silver Bullion. The ETF is priced in US dollars based on the afternoon closing price of Silver in London. The ProShares Ultra Silver ETF thus offers double exposure to the silver market within a brokerage account.
Platinum ETF Update:
Platinum Spot Price: $1,616 /oz, -3.92% Time to Buy Precious Metals NowETFS Physical Platinum Shares ETF (NYSEARCA:PPLT): -4.24% This ETF reflects the current spot price of physical platinum and so offers exposure to the platinum market within a brokerage account. The price of platinum is specified by the London Platinum and Palladium Market (LPPM) rules and is backed by Platinum held in vaults in London, UK and Zurich, Switzerland.
Bottom Line: Although gold had a bad week with a loss approaching 2 percent, things were worse for silver, which experienced a 3.75 percent loss at the spot price and a 3.46 percent decline for the iShares Silver ETF (NYSEARCA:SLV). Platinum took a severe drubbing, with a loss of 3.92 percent at the spot price.
Source