The Message From The Gold Market
CIGA Eric
It wasn’t long ago when the newswire were populated with headlines suggesting caution towards gold. Now that prices have soared, fear has been replaced with greed. That’s how it works. That’s why it’s best to ignore the headlines and listen to the message of the markets.
Message of the Market:
(1) Gold is clearly attempting to break upper trading channel from 2001. The probability of parabolic or accelerating trend increases substantially once the linear channel has been broken. A quick review of the silver chart illustrates what’s taking place in the gold market right now.
(2) The retest of resistance as support tends to follow a technical breakout.
(3) Gold and silver are becoming increasingly volatile. Get used to it.
Gold London PM Fixed 
Headline: and Mining Gold Prices at New Record, Silver Hits $40
Gold prices were hitting a new record Friday and silver prices touched $40 an ounce as the precious metal bulls came out in full force.
GOLD Gold for June delivery was adding $12.40 to $1,471.70 an ounce at the Comex division of the New York Mercantile Exchange. The gold price hit another high of $1,474.50 an ounce. The spot gold price was jumping more than $12, according to Kitco’s gold index.
Source: thestreet.com
What’s Driving Oil?
CIGA Eric
The price of oil is not solely a manifestation of risk and fear from the Middle East. Currency devaluation, referred to as push inflation by Jim Sinclair, is playing a far-more significant role. Real (currency adjusted) oil prices remain within a down cycle since 2008. In other words, the magenta line crossed the median zone (came out of the red box) in late 2008.
West Texas Intermediate Crude Oil (OIL) AND Oil to Gold Ratio (OILGLDR): 
Headline: Oil at the tipping point
Rising oil prices have become a fixture. The IMF declared this week that costly oil is here to stay, after a 12.5% average annual price increase over the past decade. Wall Street is betting the ranch on further increases. With crude hitting $110 a barrel in New York Thursday, up 17% this year, it’s not looking like a bad bet.
But for all the talk of global economic growth and unrest in Mideast oil hotspots, there are signs that oil prices are already too high for pinched consumers to bear. U.S. gasoline demand, for instance, dropped 3.7% over the past four weeks — which energy tracker Stephen Schork calls a "material decline."
Source: finance.fortune.cnn.com
