gold-eagle.com / By Adam Taggart / November 3, 2013
Gold finished Friday down -7.20 to 1315.30 on 1352.50 on moderately heavy volume, while silver dropped -0.05 to 21.86 on moderate volume. The gold/silver ratio dropped -0.21 to 60.17. Gold was sold starting in the afternoon in Asia through mid-day in NY, being particularly hard-hit after the 1000 EST ISM report release, touching a new low of 1305. It rallied back above the departure point of the ISM plunge, which is a positive sign. Silver moved hardly at all during the day, trading within a tight range. Miners were crushed, with GDX off -4.06% on heavy volume, while GDXJ was down -3.14% on moderately heavy volume. Both closed near the lows of the day. The ratio GDX:$GOLD looks to be on its way to retest its low, which is bearish.
Gold has dropped 4 of the past 5 days, on moderate volume, at the same time the USD has rallied for the past 5 days. I don’t think this is a coincidence. The current linkage is, dollar up = gold down.
On the week, gold was down -37.20 [-2.75%], silver down -0.73 [-3.23%], GDX -8.51% and GDXJ -12.25%; all components more or less wiped out the gains from last week and then some. There’s no good news here.
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