Thoughts on gold and silver from Big Al and Marshall Berol
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As I posted a couple of weeks ago the break should occur around the beginning of November (I think it was Nov 4). The confirmation for the breakout is $1804;
a breakout through $1800, as many writers have been saying, wihout going through $1804 is a head-fake.
Again despite what writers have been saying, my TA does not call for a market crash. The TA really is not saying much; if anything a meander downwards in the short-term….
I notice an interesting article in the telegrapg today:
http://blogs.telegraph.co.uk/finance/ambroseevans-pritchard/100020504/multiplying-europes-fiscal-suicide-technical/
and also one on the UK yesterday:
Read the articles, cfs. Thank you.
Judging from what is going on today (Thursday) you could very well be correct re: a breakout!
Big Al
Agreed, Jed…very much….Irish, where in the Sam he___…is my guinness…I am THIRSTY…please pour into a SILVER cup…..please…yes…99.9 silver…no crud cups! :).
Sorry Marc,
I am now in possession of ALL of Mr. Irish’s silver cups.
Big Al
BTW, I met Marshall Berol at the CRIC last February in Palm Springs…a very intelligent guy and moreover, I was impressed how he communicated one on one with me.
Marc
Marshall always has time for the “challenged” individuals!
Big Challenged Al
Latest from expected returns blog:
Starting in 2009, a new trend developed where the economy is “bad”, but assets in general rise. Different people purchase different assets to protect themselves from inflation, and by and large they will do well with most non-bond assets. However, there will clearly be winners and losers in the tangible asset arena. In that vein, the chart below is telling: stocks will do well, but they will underperform gold, real estate, and commodities. And out of all these assets, gold will probably be the leader.
We are in a period of asset inflation, which of course is different from demand-induced inflation. Analysts are confounded by current asset movements because they are still stuck in the cost-push and demand model of inflation. Most analysts have only known a period of mild inflation, and if inflation did occur, it was because of increasing global demand. They do not understand high levels of inflation during a recession/depression. For investment purposes, understanding asset inflation is paramount.
The one and only culprit during a period of asset inflation where everything rises is government. When a boom is concentrated in one sector, this evidences a simple reallocation of capital to a hot sector. However, when everything rises, this mean the currency is depreciating and people are losing confidence in the government. This is without a doubt the situation we’re in now, and we’ve been here before, most notably during the 1970’s. Back then commodities took the lead as everything rose in value; this time around it will most likely be gold that outpaces all other assets. The trend is already in place for those with eyes to see.
This is a buy and hold environment, as long as you are not holding bonds. The rally in “everything” should last at least another 5 years, so the best route to take is the Old Turkey route. Buy on corrections, hold, and wait this bull market out with patience.
“the rally in everything should last 5 years”. “. Maybe 3 or even possibly 4 more years, but 5 is too long; it pushes cycles out too far.
Basically what Jim Rogers told me in Germany back in about 1996.
Thanks Paul L,
Big Al
One last thing…I am a HUGE follower of Jim Sinclair…not myopically….that is dangerous…but, I do pay attention to him….please read this note on QE: http://www.jsmineset.com/
All the best,
Marc
Paul L.,
I agree with you wholeheartedly…here is an article that pretty much spells it out for all of us:http://www.silverbearcafe.com/private/10.12/comingnext.html
Jim sinclair is a good guy to read. This is all unfolding just as forseen, described as a wealth transfer I see it like that more all the time.
IMHO, EXACTLY….Benb!
Over at ..”GATA”….GOLD HUMILATIATES……………………LOOK at the figures, & you will see why i am so crazy about silver, & keep shouting ..BUY SILVER.
IRISH!
EVERYBODY should have that plastered on their wall!
US DOLLAR VS ONE OUNCE GOLD OVER 12 YEARS – GOLD UP 516%
US DOLLAR VS ONE OUNCE OF SILVER OVER 12 YEARS – SILVER UP 540%
Need we say more!
Everything else is just N-O-I-S-E. 🙂
Marc
Keep your eye on the dollar now. I mentioned last week that I expect the dollar to move up over the next few weeks. It’s now beginning that ascent and will pressure the PMs. However, it shouldn’t pressure them significantly to the downside but the PMs should move sideways more then down. It’ll give investors a real good chance to continue to add to their portfolios mining shares.
Richard,
Thank You for your comments.
Jody D
You’re welcome.
Evening Doctor!
Also, have you seen the Indian rupee lately? It’s really picking up steam. So, your statements about gold going more sideways is spot on to me. True the dollar might get back up to 81.60 – 82.50, but if the rupee keeps strengthening, gold isn’t really going to slide much. Give things a few weeks to consolidate.
Be good!
I perused the 2012 Forbes Billionaire list where it is stated the Rothschild family has 30,500 TONNES of gold.That is the reported,public consumption figure only.
Can you imagine how much silver they took from the Indians and Chinese in the 1800’s…
End game can occur in a Rothschild moment,ye faithful.
The people that the list excludes are the fact that they are trillionaires: No Rothschilds, Rockefellers or Morgans its just for billionaires. Oh yes just found out that Mitt Romney`s name is listed on Annotated Bilderberg 2012 Member List, that said its OK to vote for Ron Paul in California because Write-In`s are counted there, so yes what I`m voting for Ron Paul, sorry Al, I just can`t stand Romney though he`s probably better than Obama. If my dear Ron Paul had been on the ballot in every state I think Obama/Romney would have been toast by election time. The only thing that`s scaring Democrats are Ron Paul`s rhetoric concerning ending the FED, The more I talk to democrats they love Ron Paul for us leaving foreign lands pulling out our troops out in war torn lands. There needs more talk about the danger that the FED poses in the down fall of our country on banking reform and returning America to Americans. These big banks must be taken out. I think if we left the middle-east and stopped what these privatized banks want, it would stop most of the hatred aimed at us through out the world. Most of the democrats that I`ve talked to would have voted for Ron Paul which would have left perhaps an easy victory for the GOP. If people here in California were told that voting for Ron Paul could make a difference in the national election then there would be a chance that Romney could win after all, and a new third party would be born out of the ashes. http://vidrebel.wordpress.com/2012/06/03/annotated-bilderberg-2012-member-list/ the Who`s Who for those who want a one world government….
Dennis. . . While write-ins may be counted, they will never be reported. Only ballot selections will be counted and reported. I can’t understand why Ron Paul supporters will not get behind Gary Johnson (Libertarian) who advocates all of Paul’s policies. He is on the ballot in all the states I think, California for sure. Like here in Washington, if you are not voting for Obama, your vote does not really count because of the electoral collage. My thinking is if Gary Johnson got even 5% of the vote it would be a gigantic statement, and a perfect setup for a Libertarian to win some congressional office in 2014.
Pixie, It truly was a shame that Johnson was not allowed to participate in the circus last night. I for one am waiting to hear who Ron Paul is backing. I would like to hear more of what Johnson believes in.
Good point Pixelbill. I do think; however, that a bit more than 5% would be needed to make a statement.
Big Al
Morning Dennis F,
Don’t apologize to me for voting for Ron. I may very well do exactly the same!
Big Al
Yes, it would appear, Matt that it could.
Big Al
Same pattern as the last 4 or 5 months. I expect a new breakout higher as we had in September.