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Rightly or wrongly I have long since viewed gold as a stable currency which fiat paper moves in relation to. It made things easier in my mind to treat gold as a stable currency or a constant and I know that I am not alone.

 

An interesting piece here about gold, the way that many of us view it http://econompicdata.blogspot.com/2010/10/...erspective.html

 

edit; sorry, wrong link. This is the source piece http://www.crossingwallstreet.com/archives...ce-of-gold.html

 

I think most here would agree that gold was at such an extreme low valuation in 2000 that valuation of other assets using gold as a baseline would not give accurate results.

 

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I think most here would agree that gold was at such an extreme low valuation in 2000 that valuation of other assets using gold as a baseline would not give accurate results.

 

I agree, that would be cherry picking of dates but he has back tested the theory 15 and 30 years.

 

The theory, although interesting and open to backtesting/debate, was not really the point of why I posted it.

 

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I agree, that would be cherry picking of dates but he has back tested the theory 15 and 30 years.

 

The theory, although interesting and open to backtesting/debate, was not really the point of why I posted it.

 

 

Low/negative real interest rates are here now so gold is the best saving medium.

 

2000 is a cherry picked date I agree, and gold is not so grossly undervalued now.

 

With QE and living in an insolvent country I feel safe with gold.

 

The paper money is plainly rubbish and more people will suss that out as time passes.

 

 

 

“Of all the contrivances for cheating the labouring classes of mankind, none has been more effective than that which deludes them with paper money.” Daniel Webster

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I am quite surprised by the action thus far this morning.

 

+$20 and +$0.45

 

Is the correction over? I wouldn't conclude too much from one day, gut this looks like strong price action.

 

gold.gif

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The other thing to remember is that tomorrow the 26th is options expiry day for the metals. If we close into this one higher again it means the game has really changed and we shouldn't be expecting the same massive commercial induced selloffs.

 

Just think of all the physical gold and silver the bullion banks now have to get there hands on to satisfy their 100 to 1 paper market sales into their usual options expiry attempts to take the price down. This will be the 3rd month that the price has closed into OE day higher!!!

 

20101025-psf5c2ay7jbg94qk6x46piffa5.jpg

 

 

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A late downturn, may mean a later bottom to the post-October dip.

comex.png

 

Please take this with a grain of salt, since it is unlikely to exactly fit the historical seasonal pattern.

By saying "ideal low" who do you mean it would be ideal for? All the gold bears?

 

 

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I am quite surprised by the action thus far this morning.

:angry: WHERE is my cheap gold now??

 

EDIT: People promised me bubble tops, double tops, seasonal tops, sell-offs, you name. I say: WHERE is my cheap gold!? I want it NOW! :angry:

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The US has pulled out all stops at G20 to keep the dollar low against the other currencies. Doubt this can last for long though.

 

Trend still looks down, though my mental "reverse stop loss" may be hit soon to trigger a buy.

 

 

trend-1.gif

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:angry: WHERE is my cheap gold now??

 

EDIT: People promised me bubble tops, double tops, seasonal tops, sell-offs, you name. I say: WHERE is my cheap gold!? I want it NOW! :angry:

They seem to have a history of being wrong but it doesn't stop them predicting.

 

BTW as if you didn't know it is still really cheap.

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Double top?

 

If one looks at the gold chart in USD, GBP and many other currencies there have been "double tops" all over this past decade. The "double tops" will continue as gold sets new highs, retraces, goes back to the recent high, and then beyond.

 

That chart also looks like a cup-and-handle; and the cup-and-handle interpretation is supported by the fundamentals of monetary debasement.

+1

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I see that obviously copper/brass theft is a problem..however being the cospiracy nut I am, I find this quite sinister.

I'm going to put this onto the 1984 thread too. I see this as the thin end of a wedge from a PM angle!

 

Ps - went panning again at the weekend and I'm going to have to go to the assay offfice now (lol). Actually, eaxch time I have gone I have basically doubled my total gold found. I must be getting better, or luckier.

 

http://www.bbc.co.uk/news/uk-11616870

Police call for more powers to tackle metal thefts

25 October 2010 Last updated at 05:01

BTP say the problem is one of the biggest threats that they face after terrorism, but they are working with outdated legislation. At the moment stolen metal, in effect, is laundered.

 

It is taken to an unscrupulous scrap dealer who does not check too closely where it has come from, or who the person bringing it in is.

 

From there it is sold to legitimate dealers who have no idea they are buying stolen metal.

 

Now police want tougher powers to clamp down on the problem.

 

Police want to see CCTV brought in to record who brings in the scrap metal, with the seller having to provide a photo ID to prove who they are.

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Actually, eaxch time I have gone I have basically doubled my total gold found. I must be getting better, or luckier.

That means you'll pretty soon own all gold in the world! :P

 

As for scrap metals, in the UK there are these wonderful massive iron fences around public parks ...

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BTW as if you didn't know it is still really cheap.

:) As long as the medium to long term perspective is the same, it can never be cheap enough.

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That means you'll pretty soon own all gold in the world! :P

Nice! 38 more visits should do it :D

 

If I have 1 gram now (say) and the gold already mined is 160,000 tonnes (160,000,000,000 grams)

Then, let's say I keep doubling my gram at every visit...

 

2^x = 160,000,000,000

 

so.... x ln(2) = ln(160,000,000,000)

 

so x = 25.798/0.693

x=37.227

 

If only!

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Lot of talk about whether the Fed will [be able to] deliver the expected trillion or so of easing. Looks to me even the mighty US government could be getting squeezed here; fiscal stimulus untenable due to domestic politics, and "shock and awe" easing becoming untenable due to international politics.

 

Say they dropped a bomb of a trillion or so of easing on the market, other countries would no doubt mobilize against this and erect some capital/ trade barriers. There's a good chance the Fed doesn't live up to the great expectation the market has priced in, which could see the dollar go higher.

 

 

dg-4.gif

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What other choice do they have?

 

There's a good chance the Fed doesn't live up to the great expectation the market has priced in, which could see the dollar go higher.

 

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What other choice do they have?

I wouldn't be surprised if the figure is lower than the market is expecting. They have done a great job of talking the market up, but will they really deliver "shock and awe". We'll soon find out.

 

The market may already have a sniff of this, which would be why the dollar's threatening to strengthen here.

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So we're back to "not so bad news" is now the new good news... I'm not convinced, I don't think the market is as gullible as it once was. It looks to me as if $USD will bounce off 80 and then continue rattling down the channel.

 

I wouldn't be surprised if the figure is lower than the market is expecting. They have done a great job of talking the market up, but will they really deliver "shock and awe". We'll soon find out.

 

The market may already have a sniff of this, which would be why the dollar's threatening to strengthen here.

 

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So we're back to "not so bad news" is now the new good news... I'm not convinced, I don't think the market is as gullible as it once was. It looks to me as if $USD will bounce off 80 and then continue rattling down the channel.

Sounds right.

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Great article from Hugo Salinas Price;

 

News from the Galaxy

 

It has been revealed to me that there is life on a planet within our Galaxy. Among the living creatures on this planet are humanoids – that is, beings that bear a great similarity to humans on this Earth, but who do not appear to be intelligent, as we humans are, but rather sub-human in their reasoning faculties.

 

These humanoids are at present quite busy building large structures such as bridges and tall buildings with concrete, which they invented many years ago, but without the use of reinforcing bars, or rebars, as we call them.

 

Of course, since we are intelligent, we know what has to be the result of their efforts: continual collapses which cause these poor humanoids great grief and disappointment.

 

It appears that in the remote past these creatures did use rebars in concrete constructions, but an influential politician whose name is recorded in their history as “Nicson” finally decided that concrete did not require rebars to give it tensile strength, and therefore banned their use.

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Ps - went panning again at the weekend and I'm going to have to go to the assay offfice now (lol). Actually, eaxch time I have gone I have basically doubled my total gold found. I must be getting better, or luckier.

 

I always wanted to go panning. Spent a lot of time researching and pouring over maps of the uk several years ago. I weighed up the costs involved and had to write it off since I live to far from anywhere that would be worth a visit. Where abouts do you go?

 

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I always wanted to go panning. Spent a lot of time researching and pouring over maps of the uk several years ago. I weighed up the costs involved and had to write it off since I live to far from anywhere that would be worth a visit. Where abouts do you go?

Oh, it's definitely un-economic for me too! Southern Scotland (Leadhills area)... but it gets me out, some vitamin d and a bit of excitement.

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Oh, it's definitely un-economic for me too! Southern Scotland (Leadhills area)... but it gets me out, some vitamin d and a bit of excitement.

It's the only thing that'll get me working when i get back to NZ... that or my own little enterprise. Stuff working for wages. <_<

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