Golden Minerals Company

Precious metals and grains appear to be breaking out while equity markets are again at important resistance zones.

Regards - VHF

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Gold broke resistance last week above $1,265 to reach an all time high. Upside potential based on the previous trading range is to $1,384 U.S. per ounce. Short term momentum indicators are overbought.

Gold equities and related ETFs continue to strengthen relative to gold, an encouraging technical sign for both.

Shortly, seasonal investors in gold equities must choose to take profits near the end of September or to continue to hold until the end of December.

Silver added another 4.4% last week. Upside potential based on the recent breakout above $19.81 is $23.00. Silver continues to outperform gold.

Platinum finally broke above a four month trading range. Upside potential is to $1,731 where previous resistance exists.

Copper added 3.4% last week thanks to declining world inventories. Short term momentum indicators remain overbought.

Nice breakout by the grains ETN on Friday! The seasonal trade in the agriculture sector from mid July to December is far from over.

The CRB Index added 1.63% last week thanks mainly to strength in grain and precious metal prices. The Index has recovered to the top of an eight month trading range where resistance is indicated. Short term momentum indicators are overbought.

Crude oil fell 3.07% last week. Resistance was found near its 50 and 200 day moving averages. Short term momentum indictors have rolled over from overbought levels.

The U.S. Dollar Index fell 1.27 despite purchases by Japan’s central bank. It fell below its 200 day moving average. The Index is close to completing a “Death Cross” when the 50 day moving average moves below its 200 day moving average. Support is at 80.08. Short term momentum indicators are trending lower. Stochastics already are oversold, but have yet to show signs of bottoming.

The Euro added 3.26 last week. Resistance is at 133.34 and at its 200 day moving average at 132.86. The Euro moved above its 50 day moving average. Short term momentum indicators are trending higher. Stochastics are overbought, but have yet to show signs of peaking.

The Canadian Dollar added 0.36 cents U.S. last week. Support is near 93 cents U.S. Resistance is at 98.70 cents U.S. Short term momentum indicators are overbought but trending higher. Stochastics are showing early signs of peaking.

The S&P 500 Index added 16.04 points (1.45%) last week. Intermediate trend remains down. Support is at 1,010.91. Resistance is at 1,131.23. The Index moved above its 200 day moving average last year and tested overhead resistance on Friday. It actually hit 1.131.47 at the opening before all price changes were included. However, it was unable sustain that level. Short term momentum indicators are overbought, but have yet to show signs of peaking.

The Dow Jones Industrial Average added 145.08 points (1.39%) last week. Intermediate trend remains down. Support is at 9,614.32. Resistance is at 10,719.94. The Average remains above its 200 day moving average. Short term momentum indicators are overbought, but have yet to show signs of peaking. Strength relative to the S&P 500 Index recently turned negative.

The TSX Composite Index gained 67.47 points (0.56%) last week. Intermediate trend remains neutral. Support is at 11,065.53. Resistance is at 12,321.76. The Index remains above its 200 day moving average. Short term momentum indicators are overbought and showing early signs of peaking. Strength relative to the S&P 500 Index is positive, but is showing early signs of turning negative.

Long term treasury yields found resistance at their 50 day moving average. Short term momentum indicators continue to recover from oversold levels.

The Baltic Dry Index fell 10.7% last week. Not a good sign for international trade!

The VIX Index was virtually unchanged last week. Short term momentum indicators are bottoming.