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The other side of the gold question with Jay Taylor

Big Al
October 26, 2015

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Discussion
27 Comments
    Oct 26, 2015 26:28 PM

    Jim Sinclair said the next PM rally will be one you will not sell! Be patient and have faith but gold will go up in the future!

      Oct 26, 2015 26:25 PM

      who is Jim Sinclair?

        Oct 26, 2015 26:58 PM

        FUNNY…………

        Oct 26, 2015 26:53 PM

        Who is Jim Sinclair?

          Oct 26, 2015 26:22 PM

          Big Al – This was a very good discussion today with Jay Taylor. He is a just a very wise, balanced, and positive guy with a great macro picture of the overall markets, economics, and the resource sector.

          As a shorter term trader, I stay focused on technicals most of the time, however, I still see the importance of how fundamentals can shift market sentiment, and thus may surprise or overwhelm technical indicators at times. (for example the Swiss de pegging, or Fukushima, or military confilcts, or foreign market movements like Europe and China, or even the insane behavior patterns that have developed over the last 5-6 years from investors reacting to fed speak).

          I would imagine that a number of buy and hold investors, that frequent this site were probably glad to get a break from the technical number crunching and charting. As always, your well-rounded approach and different commentators make this a rare beacon of information, in this investing universe. Thanks.

    Oct 26, 2015 26:30 PM

    Why would the “boyz” change their ways now? What will end all of this crap that goes on in the Comex?

      Oct 26, 2015 26:37 PM

      The comex can run out of physical gold IF some big players want it delivered.
      The comex can settle in cash for some, probably need a bailout for all claims. After that, however, there will be a run on physical, then physical will set the price.
      With no physical available but with an elevated demand from many claims and of course panic buying, the outcome is obvious. There will be some buyer of paper derivatives that will simply not consider investing in physical, and some physical holders that will sell if prices reach key levels. Overall the demand for physical and the actual rarity of the metal will be shocking.

      GLD will not be able to deliver, plus the gold is held in London, that won’t cross the ocean, that will settle in cash. It is doubtful, any paper claims will get filled after that.

      My guess is the government will intervene at that point, print up some money for gold at the ‘last good comex spot price’ then give it away blaming speculators are evil bankers. A year or two later, they’ll fine some banks.. Nobody goes to jail.. Then they are off to another scam.

    Oct 26, 2015 26:34 PM

    so wheres Gary..?

    Oct 26, 2015 26:40 PM

    Gary? Gitmo??The PPT took him out for talking about all their secret activities.

      Oct 26, 2015 26:58 PM

      Right Mary!

    Oct 26, 2015 26:56 PM

    I think there’s more support under gold than many think.
    http://schrts.co/HRlBVa

      Oct 26, 2015 26:00 PM
      Oct 26, 2015 26:01 PM
        Oct 26, 2015 26:08 PM

        MACD cross and RSI divergence = lower prices

          Oct 26, 2015 26:59 PM

          Actually, gold prices have risen in most currencies. The same thing happened when gold prices came out of the 2008 correction. One fundamental people are overlooking is a negative rate on 3-month bills in just about all EU markets.

          If it came out that the PBOC has finished diversifying into gold by selling US treasuries, then interest rates would decline again, flattening the yield curve.

            Oct 26, 2015 26:37 PM

            You mean most currencies have fallen against gold, I think, Fran. I don’t place a lot of weight on that idea though. The only one that matters is USD. I had a curious thought today, as an aside. If the Chinese have indeed acquired 5000 tonnes of gold its still only amounts to about 3% of all the known above ground gold in the world. Does not seem like much in the big picture. Not for the worlds most populous country either. Three percent is just a drop in the bucket. Funny how so much gets made of Chinese gold buying….like its the end of the world! Ha…makes you really laugh.

            Oct 27, 2015 27:57 AM

            I’m thinking the more important detail would be derivatives exposure in the precious metals than direct supply/demand. Another aspect would be PBOC diversification out of treasuries, which is more related towards interest rates.

            Oct 27, 2015 27:16 AM

            A listener……..I think most of the gold will not see the light of day, and the sheeple would do well , to expose themselves to the “last man standing”ie gold. No matter what you think, historically gold is desired by many , and that is not going to change.

            Oct 27, 2015 27:18 AM

            A quick study in currencies from around the world, will give insight to what happens to money, when it is no longer desired, or trusted.

            Oct 27, 2015 27:24 AM

            7 BILLION PEOPLE IN THE WORLD……….divide 180,000 tons and what does that give every sheeple.

    Oct 26, 2015 26:24 PM

    Typically, yes, but the MACD looks like it might become embedded. I don’t see an RSI divergence. It came down along with the MACD and price. The slow sto has been on a sell for a week.
    Regardless, support/resistance areas matter. Price action rules the oscillators not the other way around.

      Oct 26, 2015 26:24 PM

      That was for Mary.

    cmc
    Oct 26, 2015 26:06 PM

    Buy and holding for emergencies is one thing, and that’s great. But, making coin by short term trading at the same time until Armageddon comes is quite another thing. So, there is no need to look at it only one way.

    Oct 27, 2015 27:22 AM

    Great comments by Jay…