By Karen Starich
On August 1st last year I wrote in an article titled “Gold Breakout Is Here“ illustrating a Saturn transit to the chart of the Federal Reserve that had the potential to propel the metal to a new high of $1650. I also described how gold would continue to move higher within days. Gold broke $1650 the next day, and it did keep going all the way up to $1900 on August 22nd. Since then the metal has lost it’s momentum falling back to under $1550 for most of 2012. Silver has likewise not been able to maintain it’s highs in 2011 and continues to limp along under $29.
Pluto rules mining and is currently retrograde in the sign of Capricorn since April 10th of this year, and will continue to produce effects that are like an undertow in the economy until September 17th when it will then move direct. In January 2013 Pluto moving direct will enter 10 degrees Capricorn for the first time since 1767 when the original Tea Party was gaining momentum.
In the Fall, after Pluto moves direct, there could be a very positive change for both gold and silver, gaining new momentum to make new highs. I will also add that Pluto at 10 degrees Capricorn is very positive for the United States, the economy, and mining, and we could see some very powerful moves that could propel gold over it’s previous high of $1900.
For the short term we could see a pullback in both metals from their recent gains. Beginning July 5th- July 19th we could see a pullback for gold and silver with an opportunity near July 20th for a long position into the end of July. Watch out on August 2nd, there could be another big drop of $100-$150 on gold.
For the long term, the pullbacks can be great opportunity to purchase the metals at a discount.