Can the Fed stop the natural fall of the conventional markets
Click download link to listen on this device: Download Show
I listened to his interview here on Al’s show a couple of weeks ago. At that time he said he was selling positions and expected a tough summer for the sector. He said there were still too many walking wounded that needed to be put out of their misery. I took that to mean that he was expecting another move down that would put those final impaired companies out of business and that would give us a final bottom.
Gary, there was an interview with Rick Rule on King World News just about 10 days ago.
His quote and he mentioned the saucer bottom.
Anyone who is negative on precious metals will be destroyed. RR
Hope this helps.
Negative doesn’t mean short, it means on the sidelines until I think it’s time to buy.
Maybe your right but he sounded very bullish to me.
The other way is if you are negative and it takes off
without you in a major move.
Right now I have colleague’s who have been buying yesterday’s
decline. Highly shrewd guys friends of mine. FWIW…..IMVHO
Happy trading
Any move back above $1331 signals the rally is back on and that’s the spot to start buying. No way I ever get left behind unless I have no intention of trading an asset. Every cycle has pivot points that tell you if its in decline or still advancing. A move above $1330 would indicate the cycle is still advancing.
Thanks Gary, appreciate the kind reply.
I notice your cautious about protecting your capitol. Really,
thats number one in my book. No doubt about that.
There might be a distinction (misunderstanding) between buying the metal versus the companies?
Duke, I listen to everything that Rick Rule and Eric Sprott say and I am a customer of their firm. Since the double bottom formed in December, they have said the gold/silver bottom is in period. No hedging on that call this year. Yes, Rick says half the Junior stocks have to “go away” (i e out of business, bankrupt etc)) That does not mean a capitulation leg in gold……..corrections yes. Bad summer for Juniors, yes. I too, have heard the “saucer bottom” theme from both of them.
Gary and the guy from Weiss Research are two calling for a capitulation leg this Spring to my knowledge.
I think what Gary is missing is that anyone who wanted to get out of gold did so when it dropped below $1200. The people that held probably are very strong hands who are probably start accumulating below $1300 to however far down the market drops. Below $1300, is where value investors are buying gold now.
Thanks Kyle K, I do happen to agree with you.
Best
unless it was another “imposter type” there was a fellow saying yesterday he was selling everything as he found out the market is criminal.
Maybe Ann Bernhart(sp?) got to him. lol
I guess the question I would have for him, bb, is “so what is your alternative”?
There are other forms of wealth, obviously, we just have to understand what our most beneficial option is
For me,its metel.
But nothing wrong with owning an oil well,taxi,fishboat,farm,apt building etc etc.
Its understanding what wealth actualy is. This is what I have found so many people don’t understand.
Don’t blame them, that knowledge has been removed from our education system.
Little question Ive asked a few times, ever notice rich keep getting richer?
That’s because they know what wealth is.
Incredible how many people Ive spoken to are stunned when they realise that.
Wow, stunned by that? That is rather amazing to me!
My point of course is there are still people out there that will sell.
Here in Calgary we just had a dealer close down a couple months back, no buyers,only sellers.
And there always will be, bb.
What a load of crap! I live in Calgary and I am not aware of any reputable dealer that has closed down. The only decent dealer in Calgary is Albern coins and they are sold out of most items and have only limited quantities of others.
I guess you leave yourself an “out” so you can say he was not “reputable”?
He was basically right next door to Albern. oh maybe the last two years. And I over the past 12 years have only seen Albern out of PARTICULAR stock maybe twice.
Obviously for guys like yourself that take a forklift there might be an issue.
For anyone that is interested Albern # 403 276 8938
But there are loads of places other than albern not in Calgary you can buy pretty much all a person could want. Silver Doc,Boarder Gold,NW Mint,Euro Pacific etc etc
But then, I suppose the day could come when they do say, sold out.
Maybe , just maybe he failed because he wasn’t any good at operating a business? To yap off about it being a lack of demand is crap and you know it!
Grow up child.
Maybe I am a child, only children get into heaven you know.
Sure of course he was lousey at operating a business his marketing could definatly have been improved, you obviously didn’t know he was there.
Out of interest SD bullion was advertising at 69 cents over spot, ANY quantity.
On the other hand, maybe Albern tells you they are out because they just don’t like you?
No shortage, never was.
Gary just learned today that the Fed has been propping up the market? Hello…is anybody home????
The Fed and their agents have been propping up the stock market since the March 2009 low. Why all of a sudden in April 2014 would they stop now? not gonna happen.
YES FRED ! GARY NEED TO LUCK DISS GARY ? http://www.mining.com/year-to-the-day-of-200-shocker-another-strange-gold-price-plunge-64597/
Gary didn’t just figure it out, he is talking about WHEN they do it.
Just learned today?
Heard about the Bernanke Put? the jellen Yellen Put?
Following this site has really exemplified people don’t hear what people say, they hear what they want to hear.
Also, I believe its very easy to be misunderstood, I think its the syllables.
When you put emPHA sis on the wrong sylLAble the meaning of the word can change.
Yes they certainly can bb!
Bird, you mention yesterday nobody appreciates you? Somethin like that.
I read pretty much all you write, sometimes I might miss one of you 6 pagers tho.
Anyway, you asked whats left to drive gold higher?
How about the Russians being frozen out of swift?
Maybe they and others start using the system put in place when Iran was sanctioned.
Sounds like a few countries are interested.
Putin also has threatened using a gold backed Ruble.
If a few nations find out they don’t need dollars for oil etc how many go back to the states?
Drop in value in the dollar if you ask me, and up goes gold.
Cannot disagree with you, bb
The Ameicans are making brilliant moves in the Ukraine, they are basically forcing nations to drop the dollar.
Genius.
Paul Craig Roberts has written some excellent article on whats happening.
Ron Paul has been commenting his usual common sense too.
Too bad those guys are too old to start the third party.
Wisdom…..comes after experiencing failures,,, either of someone else, or one’s self………………Uncle Wally….1988
Uncle Wally is one smart dude!
Too old? Unfortunately I have to agree! Someone else will come along though!
It takes a well informed stubborn investor to ride this bear market and I say bear market because of all the negativity concerning the metals. In my view the mass of the public are not in this market and they are still dumping metal. The other day I saw a small stash of gold and silver at the Hock Shop in Barrie Ontario. I have not seen any real evidence of the public lining up to buy metal. In my view it is just a small minority of contrarian investors and wealthy people getting in on the ground floor since 1993 when the metals bottomed out with silver at $3.56 .
If there is a bull market in the metals it is either in the future or it is wearing a bear suit.
Steven, the answer is probably “in the future”.
But, you know so what?
The question I believe is how far down will/can the price be drivin.
That’s why the question, “where is the gold coming from” is important.
The other important thing is how long does the world put up with American/western printing.
The protection is with Gold & Silver bars & coins. The solution is not more bond purchases, broader monetization programs, more liberalized bank reserve rules, or suspended accounting rules. The solution is liquidation of the big dead zombie banks, and a return to the Gold Standard. It will be put in place. It will be installed. It will arrive with a vast new structure of legitimacy. It will include barter systems and decentralized mechanisms. It will include new Letters of Credit based in Gold Trade Notes. But the East led by Russia, China, and followed by India, Japan, and South Korea will be the promoters, installers, and architects of the new strong stable equitable Gold Standard system that the Untied States dreads and fears. The West will continue its rapacious confiscation of wealth and its vicious devotion to war until the platform they stand on built of USD ceramic tiles and USTBond cables and SWIFT pylons collapses. The return of the Gold Standard will relieve the global economy of the burden and wreckage of central bank ruinous and criminal actions. The damage will be extensive. The survivors will be owners of Gold & Silver. The rest will become debt slaves in a nasty fascist state.
If Mr Willie (and others) are correct, its not if but when, and price doesn’t matter, up down sideways means nothing. Owning physical is the goal.
I am reminded of Stewart Thompson, “when you look at your trading account, what your seeing is not money, its pixels on a screen”
Its not money until you have changed those pixels for fiat, and changed that to gold.
We should put out a PIXEL ALERT……………
Pixel alert?
“it is not money…..till those pixels are changed for fiat”…….
Someday, when you wake up and the pixels, have disappeared from your screen, and your server no longer operates, due to circumstances beyond their control.
The pixels,,………will vanish………along with one’s paper wealth……….and guess who owns the pixels?……..PIXEL BANDITS…..or PIXEL BANKERSTERS
Remember Cyprus and the Russians, THE PIXAL BANDITS, were at work, and the little people did not get their pixals renewed immediately.
That is certainly true, Jerry, it certainly is!
You cannot read a chart without pixels. Lots of them !
Great post bb!
bb…………enjoyed Willie’s articles………..thanks………..ootb
The market should see new highs into the end of 2014. IMO there will be a significant (15-20%)correction along the way. What’s that most famous Wall St. adage? Oh yeah, “Don’t fight the Fed!” (Submitted respectfully.) 🙂
Here are some additional thoughts as I am in Canada and waiting for our SPTSX to play catch up to the rest of the worlds’ indexes.
NYSE CAD has not topped and then we should see the US indexes make all-tme new highs in 2014 or 2015 and then we should see the SPTSX make all-time hew highs.
The 2 most recent examples:
spring 1998 – CAD line tops – all-time new highs
Early 2000 – SP500/DOW top – all-time new highs
spring 2000 – NASDAQ bubble top – all-time new highs
fall 2000 – SPTSX tops as oil hits $37/barrel
june 2007 – CAD line all-time hew highs
fall 2007 – SP500/DOW all-time new highs
summer 2008 – SPTSX all-time new highs as oil spikes to $150/barrel
The NYSE CAD line surpassed the 2007 high in July 2011 and has been making all-time new highs into early april 2014 and is set to make all-time new highs in the very near future.
Here is something to think about, the Cad line topped in the fall of 1928 and as we know the DOW topped in Oct. 1929. The CAD line did not surpass the 1928 high till 1944.
The NYSE CAD line gives an advance warning of 4-6 months at a minimun of a top in the US stock indexes.
Regards,
I’m overall bearish on the S&P. The monthly charts are overbought. And because the fuel (QE) that caused this entire rise is now being tapered, soon to be 0. Sure the S&P can go higher, but w/out fuel I don’t see how it can go higher in a significant way. Not something for me to trade in, and certainly not something for me to invest in either.
In contrast, I’m bullish on precious metals. The monthly charts are oversold. When the monthly chart of $GOLD gives me a buy signal, I’ll be buying bullion. And trading wise, although GDX is on a sell signal at the moment, I wouldn’t be surprised if it starts to turn up right here/now, making a “higher low” as compared w/last Dec. Notice that today we didn’t go lower (intraday) than yesterday.
The thing that scares me the most is waking up to a scenario where the gold bullion in the west is gone or nearly gone, and that physical bullion is now used to price gold. Manipulation/mgmt of gold’s price will instantly be lost. Prices would really take off when (not if) that transpires, IMHO. This is why I’m now considering Turk’s advice to buy a little every month.
Not a bad idea in my opinion, Bill. (That is not investment advice!)
We may have to wait just a bit longer but ultimately the precious metals stocks should do very well after the stock indexes have entered the next bear market.
Here is some interesting facts from the 1920’s and 1930’s:
1924 Homestake Mining – trades at$50/share and pays $5/share dividend
1929 Homestake Mining tops at $100/share as DOW tops in Oct. 1929
CRASH
1931 Mining stocks bottom and head higher but DOW continues to decline into a bottom in June 1932, Silver bullion bottoms in Dec. 1932, Gold fixed price at$20/ounce
1933 – Roosevelt Banking holiday – Gold price adjusted from $20/ounce to $35/ounce
1935 – Homestake mining trades at $550/share and pays $56/share dividend
Should be good times ahead for mining sector but a bit more patience. Many mining sector stocks monthly MACD giving buy signals.
Regards,
As long as one can walk into any dealer and pick up all the gold they want this myth about shortages is just that, a myth. In 2008 you couldn’t buy gold …anywhere. That was a real shortage. We aren’t to that point yet.
Gary that’s true today, yes. And maybe it is a myth, and stepping back that’s what I really hate about this whole currency/gold world. There are myths and there are truths, and it’s just darn hard or maybe impossible to confirm/deny stuff. Like, is the gold market manipulated? Is there gold in Ft Knox? Is there gold in GLD? Is gold money? Some of these can be proved w/facts, but it’s hard to find 1st hand info. And some of these are beliefs. But I have to tell you, historians like James Turk, a man of impeccable integrity, has been in my opinion spot on answering and revealing the truths behind this stuff, and he would probably say that gold is running out in the west. If/when that happens, it’s checkmate for anyone trying to play catch up. But you’re right, we’re not there yet. But we will be, and I for one am not ready.
I appreciate your comment especially the one about James. Thank you!
… I’m not ready because I’m still stuck in the rut of wishing that none of this were true. I wish govm’ts and people would live within their means, and not borrow and leverage and make bets. Just an honest dollar for an honest days work.
But, if/when the monthly gold chart gives a buy signal, it’ll be time to engage to protect my family.
I completely agree with your entire comment. Thanks Bill
I’m an American living in Japan, and there’s an old saying to not worry about one’s beard when one’s about to loose one’s head. That’s how trading feels to me – worrying about my beard – when I’m about to loose my entire life savings, if I stay in the dollar. At some point, that will be true, history shows.
How do you like living in Japan? Very interesting people!
Gary, also I wonder, why can’t Congress honor Ron Paul’s request to have an audit of Ft Knox? Seems a simple request, but it’s denied. Why? Also, why can’t Germany get it’s gold back? These things aren’t right/straight. Something is wrong here.
I’m done now – sorry to write so much. Just the uncertainty of this all makes it hard to know what’s going on.
No such thing as too many comments. And, no such thing on this site as being sorry about it!
… but Venezuela COULD get their gold. So you see, I have NO IDEA what’s going on here. W/out inside information, speculation is just a waste of time. Like QE, all that money printing, well my dad says that they are LOANS, to be paid back, and I remember that many of the banks that were bailed out DID pay back these loans, so net net is it’s NOT inflationary. Just like a house loan is not inflationary as long as the loan is paid back. Gotta look at the whole picture, which I do NOT have.
Man, I just don’t know about any of this. I’ll shut up now. 😉
My suggestion: Go out; sit down and relax; have some great sushi; and, enjoy some great saki!
Bill, your thinkin too much. imo
5-10% on a monthly basis of INVESTABLE income into physical gold.
Easy and no worries.
Jim Rickards did adjust his thinking a little tho, awhile back he said 20% was aggressive, now I think he says 30%
Germany hasn’t wanted their gold back, (Rickards) Venesuala got their gold because there was no problem sending to them.
The answer to all your quearys (sp) are there with a little research.
It sounds far more difficult than it is.
If you don’t have bullion maybe consider buying some, then go to a % monthly.
All gold is supposed to do is presearve purchasing power, altho spikes and drops happen.
Silver, very volatile, need to be able to handle that.
Trading is another matter.
bb, thanks mate! too much coffee for me today!
The FED can continue printing as much money as they need and hold down the gold price for as long as they want and hold up the stock market without allowing major corrections. It is all rigged and you don’t need further proof: 2009 to 2014 rally.
Absolutely nothing is forever!
Gary (or anyone),
Gary said that Rick Rule is now calling for a capitulation in precious metals and then a V recovery?? I listen and read pretty much everything he puts out and have not heard that. In the last 2 months he has repeatedly said he thinks the bottom is in and that this is a saucer shaped recovery with higher highs and higher lows with a real bull market coming in 12-18 months. Can you please show me a link showing otherwise?