Harvey Organ today.
http://harveyorgan.blogspot.com/
Today we experienced what technical analysts call an outside day reversal. This is when a commodity or stock opens to the downside and is crushed early in the session only to reverse and go solidly to the upside and finish at its zenith. Both gold and silver accomplished this today.
You can also have the reverse where the stock or commodity rises in a hugely positive fashion only to reverse in the middle of the day to finish at its nadir.
The former is called an upside "outside day reversal". The later is called a downside "outside day reversal"
These events are rare. Prior to 2010 we did not have a upside "outside day reversal" in over 10 years. This year I believe we have had 4 major ones.
Today, gold closed up by $9.90 to close at $1306.00. Silver closed at $21.69 up 33 cents on the day. Gold early in the session reached $1286.00 and silver reached $21.06.
The wall or barrier to the rise was $1300.00 on gold and $21.44 the previous high for silver. Both were smashed today which is extremely bullish and this act will send our bankers into another of those midnight oil sequestered meetings.
They will have a lot to talk about. The open interest on the gold comex skyrocked by a monstrous 10,565 contracts to rest tonight at 616,130.
The silver comex OI rose to 151,888 for a gain of 1160 contracts. Please remember that this is basis Monday night as we are always 24 hrs behind.
Tomorrows data will be a dilly.
