Big Al and Trader Rog talk, what else, gold.
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I believe you are absolutely correct, Marc,
Big Al
Always good to hear from TR.
So we are almost at sell in may then the doldrums. Could boreing be an improvment?
Yep he is a good guy!
Big Al
Agree. Great comments, Rog.
Looks like G&S are going on sale again. I like the charts that show the rounding tops and parabola drops for gold although they were not encouraging for price in the near term. Still not calling my broker for call options yet.
Dan
They certainly are slacking off right now, Calgary Dan
Big Al
This is something you will not see in the American press!!! Still trust the Devil Incarnate?
Note this was an administration decision BEFORE the sequester, and actually was a REAL CUT, not simply a cut in the growth.
Thanks for posting here also, cfs
Big Al
At the lows the other day, gold tested support at the top of the original bull market price channel that lasted from 2001 until January, 2006. The bottom of the channel is currently just under 1100. The bull market is intact.
If people understood gold the way they understand groceries, they’d be buying this sale!
Matthew,
As always, Thank you for your invaluable insight! I LOVE the last line……so TRUE!
great comments…..matthew……tally ho……….ootb
Thanks Matthew
Big Al
Big Al, No comment on Obama’s 45% cut in domestic bombing prevention, while re-allocating money to buying hollow point rounds of ammuntion?
1.6 billion to be precise!
Now back to gold:
Buy PHYSICAL Gold. NOW: The Discount of a Lifetime: Or Why You Must Abandon the Fake Paper Gold Market
http://news.goldseek.com/GoldSeek/1366215941.php
I wonder if Bart Chilton is now worried about rotting in hell with the rest of JPM and the gang. Say a prayer that this manipulative bunch will be tried by man and The Lord. Your money and cushy life will do you no good where you are going.
Dan
I did comment earlier.
Big Al
Of course it will not, Calgary Dan!
God bless,
Big Al
I am so tired of that lazy a@@ Indians are buying gold spin.
Do you realize the INR has crashed and gold is near the all time higher there. It is more expensive this season then last season because their central bank is not raising rates with excessive inflation and their currency has fallen through the floor.
It sound good but if you actually WENT there you would know what I am talking about.
That is all.
Falling rupee adds fuel to India’s crisis
http://www.deccanherald.com/content/193602/falling-rupee-adds-fuel-indias.html
When your currency is falling, you can’t buy more gold because ding ding – it costs more.
Go long USD.
That is all.
From the article:
The rupee is under attack. Indian Rupee, last Friday, nearly breached the Rs 50 per dollar mark and closed at 49.90 – its weakest since May 14, 2009. Since July 27, when the Rupee was at Rs 43.85 a dollar, it has lost 10.21 per cent or Rs 6.05 against dollar due to sustained dollar demand from banks and importers in view of the firm dollar sentiment in the New York market.
Substained USD demand – how can that be? The world is dumping the USD, right?
USD up 1% – did not see that coming.
this is one reason why BOOTS ON THE GROUND IS GREAT……thanks….
On the other hand, I notice that when something is going up in price most people buy because they expect it to go higher.
Plus if my currency was going down, I might indeed want to get out of fiat, and it is a lot easier for the average person to buy gold than go short anything.
They want USDs. I had $900 with me and the hotel paid me $1050 equivalent INRs for them. I was Goa last year. Lovely place – getting a visa is a major pain in the butt thou.
Scary thing was – buy the time I left – 3 weeks – they hotel got a better exchange rate. LOL. Their currency fell 22.3% the time I was there.
I thought you were off to CAPE TOWN…..best …..ootb
This weekend. But thank you. Just trading now. LOL. 203 trades today.
That is all? I’d say that’s quite enough. The dollar is DOWN 80% vs. gold since 2001. It is down more than 98% since FDR.
I can cherry pick too. Since 1989 the USD is up 2% vs gold.
Har and Matthew,
Common guys, we all know that you can get numbers to prove anything you want!
I learned that in junior college before I became a big boy!
Big Al
You’ve got to be kidding me, Har (and AL). Let me state it this way. The dollar has lost nearly all of its original value. It buys less of everything, not just gold. Gold, on the other hand, buys at least what it always did. A Ford Model T, for example, was about 30 ounces of gold. 30 ounces now is still over $40K. The average dollar price of a Model T was about $600. What can you buy with that? Whether we’re talking wages, healthcare, tuition, or most commodities, the value of gold has been remarkably stable.
Since 1989, the dollar is not up 2% vs. gold. It is DOWN about 70%.
You guys are too much!
Breaking News: Boston Bomber spotted on Video; “darker skinned individual male.”
Matthew,
You are wasting your time with HAR. He thinks, since he is a “WORLD TRAVELER” he has got the dynamics of global economics” down pat. We will see…we will see. 🙂
Thanks Marc, but he voted for Obama so he must know what he’s talking about!
(ha ha ha ha ha ha ha ha ha ha ha ha ha)
I just want you all to realize this. On Thursday of last week before the drop I could have liquidated 179 oz of US junk silver for $5150. Came this Monday I was able to liquidate that same amount of silver for $5000. How much did I lose priced in $USD.
Did we really have a huge price decrease in Physical Silver?
I only real difference I see between this week and last week in physical silver, (although it is a few dollars-not sigificant) is actual availability.
Gold is different story here in the USA. It available. I only saw that apmex changed it price to higher premiums for gold on Monday morning then switched back to its normal pricing later in the day.
I wonder if the GOLD/SILVER Ratio attitude is different in other countries? I never hear about people outside of the USA stacking silver, it is always gold. In USA it is silver silver silver.
Afternoon Brooks Brothers,
By your experience it would appear not a major decrease in the price of silver.
The precious metals markets aren’t making a lot of sense to me right now!
Big Al
Sharp, one reason why you might not hear about silver outside the US, is that in Europe it tends to be VAT taxable, except for currency, which is legal tender in that particular country.
The 20% +/- of VAT tax pretty much eliminates speculation.
CFS does that apply to gold also? How does that work in Japan, China and India,(if you know)?
That was something else I wanted to mention. India taxes the crap out of PM. I think it is 12 or 15%. Another reason why Roger’s the INDIANS ARE BUYING I think is a little overstated. Currency crash, high tax does not equal more sales.
You make some interesting points, har!
Big Al
Roger got that comment off me…..I asked when the wedding festivities would begin,,,and that no one had mentioned the INDIANS….,
BUT,,,even if they tax the heck out of them,,,,12% is better than 25% retracement….
after reading the above….by har,,,,I see why no one has mentioned the INDIANS…
The Indians from India.
If you listen to the podcast….
Look at the Indian jewerly maker stocks down an average of 10% this week. Wonder what that means?
Look at Muthoot the largest financer to the jewlerly makers, Down 41% in one month. 41% in one month and gold sales are suppose to be screaming?
I DON”T THINK SO.
You continue to make interesting points, har!
Big Al
Funny bout the Indian market, an Indian friend of mine says gold,gold ,gold. Thinks silver is nuts. Knows full well about the seasons. We tend to see the world thru our own eyes, lol.
Anyway, you make a great point Har, and there is lots of PM available, no shortages here. Only thing is, some dealers are not selling gold, I think they dont want to sell at a loss. go figure.
Just a few thoughts;
Rick Rule talked about gold going from $35 to $200, then dropping to $100 before taking off to around $900 If the same thing happened today, logic would have gold dropping to around $950 before taking off for the moon. How may people would stick that ride out?
The article on how much gold really costs to produce, shows gold at around $1400 Could this explain part of the lack of interest in gold miners and prospectors in general today. Could they fall a lot further?
Why do people think that JPM, GS, and others are ideologues, and are part of a cabal to keep the sheeple downtrodden. They care about making money. They make money shorting gold. Then they make more buying low and riding it back up, where they lather, rinse, repeat, ad infinitum. It would seem that they would be more interested in where it’s going rather than where it is and a slow steady climb works wonderfully for them.
They say the market can act irrationally longer than you can stay solvent. My current thinking is that I’m getting an awful lot of paper cuts, and a few gashes.
I believe along with Rick Rule that long term, the better stocks will ultimately reward the bold quite handsomely if we don’t bleed to death first.
Gig, Gold peaked in July, 1975 at 193, and bottomed in August, 1976 at 100 for a 48% decline. A 48% decline from the 2011 high of 1923 would give us 1000. This would scare out nearly everyone since the lowest rising trendline from 2001 is now near 1100. However, 1000 is an area of massive horizontal support. I would absolutely HOLD/BUY through such an experience.
For what it’s worth (really nothing), I don’t think a dip below 1300 would last for more than hours.
Remember the worn out Mark Twain quote: “History doesn’t repeat itself, but it does rhyme.”
The materials stocks are beaten down again and may approach last November levels. I follow UYM (etf) and like buying it around the 28 to 30 area. It has come down from 40 to about 33. It has a small % in miners.
Thanks for the blog readers points. I learned from a Bloomberg story that India now has three gold buying festivals. Trading in this volatility has proven nasty for over six months. Keep in mind we only need a handful of good trades and prob a few weeks to make a good year. The hard part is stay out and avoid the rough markets that eat your lunch. I’m down a bunch just like 2008, but then I traded back to even trading gold futures for the last 60 days of 2008 to break even and was happy to get there. I think the same stuff happens this year but some stocks can be good for you but you better be pickey and have good timing. Noticed a good essay on all the Presidents legislation failures. Things are going bad in Washington DC very quickly. We did forecast the events of Q-4 2013 and Q-1 2014 and they are setting up to happen on huge pressures and scandals. Step back and think once in a while and look at the big picture. Sometimes boring markets are good ones. I expect a very good year this year but you have to earn it. Most action comes in Q-4 from my viewpoint. Be careful out there. Don’t get mad… get smart and deal with the messes. Be a situational analyst. Figure what the leaders do and work with it. Normally they all do they wrong things so its not too difficult to figure this stuff out.
Traderrog http://www.wavelengthpublishing.com
Stay long or be wrong.
1. Nothing worthwhile (being right) in life is never easy.
2. Deception is everywhere
3. It intensifies as the “enemy” becomes MORE threatened
4. Fear feeds on itself
5. Halt the fear and keep in the fight
Conclusion?
SIT TIGHT, BE RIGHT AND STAY IN THE FIGHT
Easy to say and hard to do?
Maybe…but, are long-term financial health COULD very well depend on it.
All the best,
Marc