The Northbound Train Has Left The Station

One of my regular weekend research tasks is to review the Wall Street Journal's list of weekly changes in the "Major U.S. Stock Indexes". Attached here is this past week's final numbers from that list:

Given my recent columns here at www.suttonwatch.net, it may seem obvious to many of my readers why I included this WSJ chart today. However, for everyone else, you will please note that the Philadelphia Gold/Silver Mining Stock Index (symbol XAU) was up +3.07% last week. XAU was the only index that finished last week in positive territory! The S&P 500 Index was down 1.46% last week (which doesn't include a late Friday 5-point plunge (-0.25%) in the S&P 500 futures contract between the 4:00 PM Close of NYSE stock trading and the 4:15 PM close in CBOE option trading).

Philadelphia Gold/Silver Mining Stock Index (XAU) with Computer-generated Buy & Sell Signals

The Philadelphia Gold/Silver Mining Stock Index (symbol XAU) posted a 74% decline between December 2010 and November 2014. According to my computer trading program, the above weekly chart reflects several false starts for potential rallies following the December 2010 major top in XAU, but the latest weekly chart buy signal from two weeks ago looks extremely bullish.

Last week's exceptional gains among Gold/Silver mining stocks were experienced despite the fact that the U.S. Dollar Index was UP more than 1% on the week in foreign exchange dealings. In fact, if we were to consider Gold a real live currency (which I do), then Gold was the 2nd strongest currency in the world last year, only slightly behind the U.S. Dollar.

According to the latest research from JP Morgan, central banks are expected to monetize $1.30 trillion of debt in 2015, on the heels of $1.00 trillion monetized in 2014. If this 30% estimated increase proves correct (which is a near certainty), then I have no doubt the the #1 strongest "currency" in 2015 will be Gold !

At Friday's close, January 2, daily chart buy signals were triggered by my computer trading system in the following Gold/Silver mining stocks; AEM, AU, ABX, AG, EXK, GDX, GDXJ, GLD, GG, NEM, PPP, RGLD, SIL, SLW, and XAU.

For Gold and Silver stocks, the Northbound train has left the station !!