romans holiday Posted September 23, 2008 Report Share Posted September 23, 2008 Money IMO is 1. Store of value 2. Medium of exchange 3. Measure of value. Currently I am using gold for purpose 1. and am beginning to use it for purpose 3. I beleive it is now the best money for long term saving. Nicely stated. And I would add the dollar as money is breaking down at the moment. 1. is problematic, 2. is seriously in trouble with the liquidity freeze, watch 3. As the dollar devalues, I think we will then have the mother of all currency crises. Gold will truly come into its own as money then. Link to comment Share on other sites More sharing options...
id5 Posted September 23, 2008 Report Share Posted September 23, 2008 Nicely stated. And I would add the dollar as money is breaking down at the moment. ... And when it does it will become just commodities, paper and base metals Link to comment Share on other sites More sharing options...
kernull Posted September 23, 2008 Report Share Posted September 23, 2008 this looks like a parabolic gold move to 1140 at least Link to comment Share on other sites More sharing options...
Steve Netwriter Posted September 23, 2008 Report Share Posted September 23, 2008 May I respectfully disagree 1250 I'll do a chart when I get time. Link to comment Share on other sites More sharing options...
romans holiday Posted September 23, 2008 Report Share Posted September 23, 2008 this looks like a parabolic gold move to 1140 at least That is one stunning chart! Well shows the battles between the forces of economic "good and evil". Edit: There may still be some profit taking to come with further weak hands shaken out, but as investors get increasingly nervous with the dollar and gold continues on a parabolic path I reckon it will break out soon. Link to comment Share on other sites More sharing options...
romans holiday Posted September 23, 2008 Report Share Posted September 23, 2008 And when it does it will become just commodities, paper and base metals Yep, but might hang onto a little for posterity.... may have some numismatic value. Link to comment Share on other sites More sharing options...
jinbal Posted September 23, 2008 Report Share Posted September 23, 2008 I did some analysis a while back and found that a lot of the time gold bounces off the 200 day MA. But sometimes (and knowing when is the trouble) it doesn't, it just goes UP ! If you look again you may notice that when it does does slice through it oftens comes back to retest the 200 from the other side before moving on. I know of a trading system that uses the "first time back" combined with candlestick analysis to initiate trades. Link to comment Share on other sites More sharing options...
Steve Netwriter Posted September 23, 2008 Report Share Posted September 23, 2008 this looks like a parabolic gold move to 1140 at least I'm going to change my mind. I agree with RH, it is an interesting chart And I've failed to 'prove' my $1250 point. I have done these though: Link to comment Share on other sites More sharing options...
Steve Netwriter Posted September 23, 2008 Report Share Posted September 23, 2008 If you look again you may notice that when it does does slice through it oftens comes back to retest the 200 from the other side before moving on. I know of a trading system that uses the "first time back" combined with candlestick analysis to initiate trades. I think the original discussion was started by Cuthbert when he wrote and article with this chart: showing this decades bounces. I then had a look at the 70s, and did these: I'm just thinking that sometime we might enter the same sort of up trend. Link to comment Share on other sites More sharing options...
Steve Netwriter Posted September 23, 2008 Report Share Posted September 23, 2008 This is a great read: Michael Maloney: "Be Right and Sit Tight" 9/21/2008 by John Rubino http://www.dollarcollapse.com/iNP/view.asp?ID=76 This is the third time in history when the general public became buyers of silver. The first time it forced the U.S. government to abandon silver in its coinage because it failed to keep the price below $1.29 in the mid-1960s. In 1979, the government tried to suppress both gold and silver by selling the metals into the markets. It failed and both rocketed. Since then, governments around the world have continued selling, getting rid of what used to be enormous stockpiles. This has depressed the price to the point that through the '90s I don’t think there was a single primary silver producer that made a profit. They all survived by issuing stock. A few are starting to show a profit at this price, but the vast majority can’t. The U.S. government has unintentionally made everyone think silver should be cheap when in fact it should have been in the $20 range all through the '90s and there would have been enough supply coming to the market to balance things out. So we’ve come to this critical juncture where the above ground supplies of silver have dwindled to just a fraction of what they once were. There’s about a tenth as much silver available for investors to buy as there was in 1980, and currently there’s less silver than there is gold, all courtesy of the U.S. government manipulating the price, causing us to think silver should be cheap. Now we’re about to have a gold and silver rush, and for the first time in human history the amount of silver available for investors is less than the amount of available gold, probably about one-fifth the amount. Yet silver’s price is currently 1/60th the price of gold. The markets will bring back an equilibrium, and that will require silver to outperform gold for an extended period of time. It’s a buying opportunity, a gift from the world’s central banks and the commercial banks that are manipulating these markets. As Jesse Livermore used to say, be right and sit tight. Link to comment Share on other sites More sharing options...
hotairmail Posted September 23, 2008 Report Share Posted September 23, 2008 Looking at the behaviour of gold over the last day, do you think the markets are: 1. Frightened the bailout won't go ahead. 2. Frightened the bailout won't work. 3. Relieved the bailout may not go ahead. Link to comment Share on other sites More sharing options...
HPCsoYESTERDAY Posted September 23, 2008 Report Share Posted September 23, 2008 Looking at the behaviour of gold over the last day, do you think the markets are: 1. Frightened the bailout won't go ahead. 2. Frightened the bailout won't work. 3. Relieved the bailout may not go ahead. all 3? is the instability and uncertainty now providing a floor regardless? Link to comment Share on other sites More sharing options...
romans holiday Posted September 23, 2008 Report Share Posted September 23, 2008 Looking at the behaviour of gold over the last day, do you think the markets are: 1. Frightened the bailout won't go ahead. 2. Frightened the bailout won't work. 3. Relieved the bailout may not go ahead. I think the markets are as confused as you! Your avatar cracks me up. Link to comment Share on other sites More sharing options...
Bobsta Posted September 23, 2008 Report Share Posted September 23, 2008 is the instability and uncertainty now providing a floor regardless? Jim Sinclair certainly thinks so. I was quite stunned that given the torrent of abuse he apparently got during the last pullback that he's now opening himself up for more by categorically stating there's a hard floor under gold. I note he wasn't foolish enough to specify exactly where that floor was. But still, the guy's got balls! Link to comment Share on other sites More sharing options...
Steve Netwriter Posted September 23, 2008 Report Share Posted September 23, 2008 Jim Sinclair ..... But still, the guy's got balls! Yes, but better than that. He's got gold Link to comment Share on other sites More sharing options...
hotairmail Posted September 23, 2008 Report Share Posted September 23, 2008 I think the markets are as confused as you! Your avatar cracks me up. Thankyou. I chose it to match. Link to comment Share on other sites More sharing options...
POTATOES Posted September 23, 2008 Report Share Posted September 23, 2008 That is one stunning chart! Well shows the battles between the forces of economic "good and evil". Edit: There may still be some profit taking to come with further weak hands shaken out, but as investors get increasingly nervous with the dollar and gold continues on a parabolic path I reckon it will break out soon. Expect some resistance at 945-950 Link to comment Share on other sites More sharing options...
POTATOES Posted September 23, 2008 Report Share Posted September 23, 2008 I'm going to change my mind. I agree with RH, it is an interesting chart And I've failed to 'prove' my $1250 point. I have done these though: Great charts. Link to comment Share on other sites More sharing options...
kernull Posted September 23, 2008 Report Share Posted September 23, 2008 I'm going to change my mind. I agree with RH, it is an interesting chart And I've failed to 'prove' my $1250 point. me too. Tom O'Brien said it is going to 1250, but I was drawing and drawing lines , adding and substracting numbers and could not get this target Link to comment Share on other sites More sharing options...
kernull Posted September 23, 2008 Report Share Posted September 23, 2008 my gold update for next trading days, not sure about the exact timing though Link to comment Share on other sites More sharing options...
tomas Posted September 23, 2008 Report Share Posted September 23, 2008 The spread in NY is $16 as opposed to $5 or so in London/Zurich. Wouldnt it make sense for them to buy in London/Zurich or are they wedded to the dollar? Can someone elucidate? Link to comment Share on other sites More sharing options...
Bobsta Posted September 23, 2008 Report Share Posted September 23, 2008 The spread in NY is $16 as opposed to $5 or so in London/Zurich. Wouldnt it make sense for them to buy in London/Zurich or are they wedded to the dollar? Can someone elucidate? On what market? Who's "them"? If you're referring to BullionVault then the spread changes all the time based on activity. If only one buy offer and one sell offer are on the table and they're $50/oz apart, then the spread will be $50. Link to comment Share on other sites More sharing options...
dom Posted September 23, 2008 Report Share Posted September 23, 2008 no, That's a shame. Link to comment Share on other sites More sharing options...
azazel Posted September 23, 2008 Report Share Posted September 23, 2008 this looks like a parabolic gold move to 1140 at least I hope you are right but you could draw all sorts of lines on that chart and come up with any thing you like. Gold goes up and down and seems unaffected by resistance and support levels. Link to comment Share on other sites More sharing options...
kernull Posted September 23, 2008 Report Share Posted September 23, 2008 That's a shame. not at all, bond market is on its 50 year high (or so) , a lot of room to short yet. Link to comment Share on other sites More sharing options...
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