Let’s focus on gold
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Great points guys. Cory – You are exactly right that they keep bidding gold up earlier in the day to suck in the new longs, then they short it and slam it back down to the range that is continuing to trudge along north or south of the 1200 mark.
Sure looks like we are heading down again. Too bad…it was looking pretty positive there for awhile.
Only miners going down in the pits to get more gold……………..
Rick,
You don’t have to worry about saying something encouraging to your subscribers.
Tell them this –
When this madness finally ends there is going to be a reset.
Gold will skyrocket.
Yes I know this sounds naive and fanciful, but I am persuaded more and more this will be the case.
Cory says he would rather have a steady rally in gold than these up moves and then down moves.
I no longer think this is possible.
I think the markets are now so far divorced from reality the moves will be swift, and violent.
I could be wrong but this is my position.
Rick, you tell Cory to look at stocks to see what a bull market looks like, I say look at stocks to see what a bubble looks like.
I no longer think charts matter. Oh yes they are what is calling the shots now, and I know you believe charts tell the story, and yes I agree, however I think when the reset happens the charts will get turned on their heads.
Tell that to your subscribers
Agree about bubbles. The tech bubble. The housing bubble–and the banks still have their shadow inventories and ignore GAAP (by not marking to market). Now the liquidity driven global stock market bubble. Question is where the bubble pops: USA, Europe or Japan. I’m betting a box of day old donuts that Japan goes first.
But disagree about technicals because the big banks’ super computers trade with proprietary algorithms that play off popular technicals used by retail investors.
What we have now is a market that caught the cancer.
Instead of operating and removing the cancer,drugs,ie. stimulus and bail outs were used to ease the pain.
The cancer may be in remission,but we all know it is going to come back.
Great analogy, John!
Now its miners up
gold down
migraine still present.. I personally think all this volatility and ability to knock it back down on a dime seems like bears are still in control and that is concerning.
People still waiting for / hoping for the great 30% global currency reset. Be careful what you wish for.
I doubt that it will happen all at once globally.
Argentina reset a few months ago.
Russia reset a few days ago.
Canada & Aussie in the process of resetting now.
Gold is up 10% one year measured in Rand.
Etcetera – kitco’s exchange rate tables are a handy way to see how currencies are being reset – priced in gold.
Oh, we’ll get our 30% reset all right, maybe a lot more. But it won’t happen everywhere at once. And people won’t even know what’s happening. They just say. “my my my, beer and nuts sure getting expensive; going to have to find the wife a part time job”.
We say Merry Christmas.
You would want to be holding bullion during times of competitive currency devaluation. Devaluation against gold would require a gold standard, or perhaps a fixed gold price with a ‘AAA’ asset rating in foreign exchange markets. What we’re seeing central banks resort to are negative rates on treasury bills.
Note that the Swiss don’t mention they could print francs and buy gold as a form of QE, as Dragi had mentioned. The central bank is all about aggressively pricing in negative rates and was engaged in this strategy during the gold vote.
All that being said, I think money markets are being flooded with short term bills in thE U.S., mostly in the attempt to stave off a market rout.
Have to say that I’m very satisfied with the $CAD gold price, a breakout would appear a lay-up on the weekly chart:
Dan Popescu has an interesting take on the Swiss no vote.
http://www.24hgold.com/english/news-gold-silver-gold-and-switzerland-after-the-referendum.aspx?article=6132925888H11690&redirect=false&contributor=Dan+Popescu&mk=1
I was thinking that Dragi might buy gold as a form of QE, in the interests of devaluing the Euro. Just keep buying good delivery bars until the currency faints as the Ruble did, and live with the consequences.
Russian oligarchs and the RCB were buying gold, perhaps this resulted in a devaluation, much like the Ruppee saw a crisis. They knew this would happen. They were gambling on a devaluation and were ready with central bank measures.
It would not come as a surprise that the U.S will follow suit as the Swiss did, but rates have to be negative at the short end of the curve before they can enact this strategy.
Again, THE CARTEL KILLED THE PRICE OF GOLD AFTER IT RALLIED THIS MORNING, even after they just made a NEW OIL (BLACK GOLD) DEAL with Cuba, that’s why the U.S. is trying to be friends again with Cuba, they want to price their NEW FOUND OIL in dollars, these CROOKS are so desperate to LIE and STEAL because of this BROKEN ECONOMY that it is so, so SAD !!!!!!!