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So far, the car has been driving in one direction, it's human nature to expect the car to continue to drive in the same direction, the car has momentum therefore we know it will at least carry on in approximately the same direction for a certain period of time. It's human nature to extrapolate the direction and speed and speculate on a destination.

 

No-one ever expects a car crash, when did you ever speak to someone that had an accident that said, "Oh, yes, well as soon as I arrived at the corner I knew the accident would come upon me"

 

In my experience markets at times tend to deliver what the majority least expect. The number of people expecting a car accident at the moment is almost negligible, and that, I feel, makes it all the more possible.

 

If the government doesn't like me driving at a certain speed along a particular road they have quite a lot of power to limit me, they have laws they can instigate, they can also interfere with the technology (margin) that allows me to drive at the speeds I like to drive.

 

If they they limit my speed whilst I'm flying along at 150mph then it could cause an almighty pile-up...

 

No-one is ever "100% correct", we all know this, intuition and experience teaches us this. I will never forget when Peter Schiff declared "I've never been wrong" - the phrase at the time seemed unutterably ridiculous, that was when he was at the peak of his powers and at that point he was then wrong. Why do I bring this up? Well, the bull market in Schiff has been over for quite some time. We now have a bull market in Faber as far as I can see, and from his recent inteview, I think the bull market in Faber has peaked.

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So far, the car has been driving in one direction, it's human nature to expect the car to continue to drive in the same direction, the car has momentum therefore we know it will at least carry on in approximately the same direction for a certain period of time. It's human nature to extrapolate the direction and speed and speculate on a destination.

 

No-one ever expects a car crash, when did you ever speak to someone that had an accident that said, "Oh, yes, well as soon as I arrived at the corner I knew the accident would come upon me"

So the movement from $1033 to $698 doesn't count as crash? IMO we have already been suffering the unexpected for the last year and half, in that we are yet to get higher than $1033.

 

"Groupspeak" on here currently has been that everyone is expecting a big crash and the dollar to strengthen. I am almost on my own expecting gold to take off now, those that believe it is about to take off are in the minority.

 

 

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Frankly I think you all have the wrong idea. A crash in gold would be a good thing. It means you can buy at lower prices!

 

All the weak holders get shaken out and I might get to buy physical at £500 (or something). The price is too high in sterling at the moment. :angry:

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http://www.fgmr.com/gold-october-2-2009.html

 

October 2, 2009 - There is a tug-of-war going on. On one side are those who want to buy physical gold under $1000 per ounce because they recognize both gold’s usefulness and the fact that it is undervalued. On the other side is the gold cartel, which though weakened over the years still remains a force to be reckoned with. The persistent selling in the $1010-$1012 area is clear evidence of their presence.

 

Who will win this tug-of-war? The market or the gold cartel? The following chart provides some important clues.

 

Gold%202%20Oct%202009.GIF

 

Gold remains in an uptrend; that is the salient fact. Given this clear trend, traders need only assume that gold will win this tug-of-war, just as it has numerous times over the past decade. The only question that remains for traders therefore is, when to buy?

 

This question is of course irrelevant to everyone accumulating gold to build their savings of sound money. Savings are always a good thing, particularly when you protect your purchasing power and avoid counterparty risk. Gold accomplishes both of those objectives, while the dollar accomplishes neither one. Savers should continue to accumulate gold, month-in and month-out in order to build their savings nest-egg. Traders don’t have it so easy because timing is always problematical, but the battle lines are drawn.

 

Resistance is at $1010-$1012. Support is $990-$992. Traders - For my specific recommendations, see Trading.

 

 

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...

"Groupspeak" on here currently has been that everyone is expecting a big crash and the dollar to strengthen. I am almost on my own expecting gold to take off now, those that believe it is about to take off are in the minority.

Not me, I haven't yet got my thoughts under control on this but IMHO I think the dollar may crash and there is a possibility that it will before the Euro.

 

The USD is becoming the top carry trade currency in people’s minds whereas before it was the Yen. Both the Yen and USD have been getting stronger with the need to unwind carry trades. Yen has been getting stronger as the trades are paid off by buying Yen but I don’t think that this is the case with USD. I think that the USD is being accepted as payment for commodity currencies, stock, companies and rights but where the value of the purchased item is not in USD. Its odd news items like the Chinese are buying AUD bonds with dollars or stock purchases of mines in Africa. It’s almost as if the USD is being emptied from within forming a hollow shell rather than slices of value taken away from the visible outside.

 

There again this may be complete rubbish and one of the brighter people on this site that understands international finance and capital flows will come up with the obvious that I have missed and negate my immature theory!

 

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Frankly I think you all have the wrong idea. A crash in gold would be a good thing. It means you can buy at lower prices!

 

All the weak holders get shaken out and I might get to buy physical at £500 (or something). The price is too high in sterling at the moment. :angry:

 

What are the chances of that happening dude? :unsure: I would love to buy more physical too, i am still buying every month. I would welcome the fall in price, but i do not anticipate it will materialize. Ever. Period. :( :(

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I have been thinking about the currency quantitive easing and the endless creation of paper money and why gold and silver, currencies that can't be eased, have not shoot to the moon. I think they have in fact been quantitively easing gold and silver in the paper market, by allowing the bullion baks to build such large short positions. Which in effect has created more gold and silver to go round, even if it is actually just paper.

 

Now that the chinese are trying to convert their massive dollar position to physical gold, along with other central banks around the world, it can only be a matter of time before gold does it's accounting and the massive paper ponzi scheme gets shown up for what it really is.

 

Got Physical?

 

 

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We're good contraindicators Pixel8r! :lol: All the people I pay attention to (Sinclair, The Mogambo Guru (Daugherty), Willie, MIDAS, Faber, Stiglitz, Greenspan et al) are in our camp, the vast majority of so-called analysts don't understand gold at all, and they certainly don't get the degree of manipulation going on. This coming dollar crisis will be accompanied by diversions such as war(s), plague(s), martial law, other planned dislocations. It is a real perfect storm brewing right now, and many folks here are re-arranging deckchairs, completely unaware (RH), navel-gazing about deflation and currency movements. Sod currency movements, KISS, they are all going down the pan together and gold has no option but to revalue upwards.

YOU ARE 100% CORRECT SIR.YOU ARE TRULY "ILLUMINATED".

NO RECOVERY PLANNED PERIOD 100% GURANTEED.PERIOD!!!!!!!

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Well let's hope so, time will tell, we don't have long to wait for some fireworks one way or another.

 

"HOPE" is for the hopeless "HOPE" is for the obama fans."HOPE" is for the ignorant.

There is an old saying "that you should always trust the man looking for the truth,never TRUST a man who says he's found it".

I feel and see people on this forum looking for the TRUTH so have time to listen to their opinion and reason.The value and relevance of that opinion is usually reflected in their understanding and experiences some have a little of both some have a lot.BUT for me history is our best guide to the future.You need to now where we have been to truly understand where we are going to.I am totally fluid in my mind to new ideas and good reason and logic. For me that lies in a return to honest money.The genie is now out of the bottle TIME SCALE is the only undeterminable factor.

"YOU CAN FOOL SOME OF THE PEOPLE SOME OF THE TIME BUT YOU CANT FOOL ALL OF THE PEOPLE ALL OF THE TIME"

sheeple on the other hand fall under a different category :lol:

 

 

 

 

 

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Midas1002B.jpg

Interesting that silver in pounds is displaying the same steps as gold in dollars. Also the same recent inverse head and shoulders formation. I wonder why that would be?

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"Ownership of gold is not about lust: it is about liberty of the individual. The gold standard is not a 'game': it is the embodiment of the timeless principle 'pacta sunt servanda' (promises are made to be kept). Official hatred of gold bordering on the neurotic appears less irrational if we contemplate that gold, and gold alone, is capable of exposing the ever-present bad faith behind the promises of the powers that be." - Get Gold!

 

I LIKED THAT ;)

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This is what Jim Willie thinks of GLD and SLV:

As always, avoid the Exchange Traded Funds of StreetTracks Gold (GLD) which is a near complete fraud with grossly inadequate physical metal. They are involved in COMEX fraud to cover paper futures gold contracts. Much the same fraud is committed by the Barclays ETFund for Silver (SLV), with wholly inadequate silver metal. Neither fund submits to independent audits. My personal preference is to invest in silver, but to use gold as the signal. The rise in silver price will be 3x to 5x that of the gold rise, which itself will be significant. Central banks sell no silver, and industry has almost no gold demand. Let gold fight the political battles, to clear the path for precious metals to rise in price to the heavens. Inquiring minds should take this cue on how to buy silver. "The Great Credit Contraction" e-book by Trace Mayer will serve as a classic someday, where this legal scholar claims the system will not collapse, but rather will evaporate. My term is disintegrate, very similar.

He thinks a systemic banking failure is approaching.

http://www.gold-eagle.com/editorials_08/willie100109.html

 

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Midas1002A.png

The manipulation by the cartel is getting so blatant, they don't even attempt to cover their tracks anymore, you could almost set your watch by their attempts. It is no wonder that it is now being used against them.

 

They must soon get the message that they are wasting their time and physical to let the price go to the next level, only to try again once a level of fear returns to the market.

 

I am very surprised that DrBubb and others can not see this, but I guess they would actually have to believe in the cartel at all first. I am also wondering what our own "gold insider" thinks, deflationary sell off or breakout?

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http://gold.approximity.com/since1968/Fede...s_Rate_LOG.html

Federal_Funds_Rate_LOG.png

 

An account that pays the Federal Funds Rate would have developed like below (adjusted for CPI). Falling parts are where real rates are negative.

 

http://gold.approximity.com/since1968/Fede...PI-adj_LOG.html

Federal_Funds_Rate_Account_CPI-adj_LOG.png

 

Here a broader comparison:

 

http://gold.approximity.com/since1968/CPI_...on_USD_LOG.html

CPI_adj_currency_comparison_USD_LOG.png

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Pixel, tbh, I would not waste too much time with charts, look at them at a macro level, at this point in time, I just threw 3 in to keep the morons here on this thread happy, if you are not 100 per cent in metals, you will rue the day. 

What's with the insults? Come on now - do you really think it is OK to insult people? Is that really normal behaviour? Be honest with yourself. Seriously.

 

Back on topic:

For the record, even though I'm essentially "100%" in metals (all my savings) I don't think that will be truly enough to fully protect yourself. Getting completely out of debt and living in a relative safe environment is higher on the list of priorities than metals. What good is a few krugs when your life is in danger? Saying that, PMs sure does make getting out of dodge a lot easier for some rather than others. I would agree with you on trading - too many potential black swans to make the "profits" worth it. I'm not greedy. In fact, I'm not even buying PMs these days because I'd rather spend some fiat on aquiring more land (recently been checking-out some forestry). But to each their own.

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.

Back on topic:

For the record, even though I'm essentially "100%" in metals (all my savings) I don't think that will be truly enough to fully protect yourself. Getting completely out of debt and living in a relative safe environment is higher on the list of priorities than metals. What good is a few krugs when your life is in danger? Saying that, PMs sure does make getting out of dodge a lot easier for some rather than others. I would agree with you on trading - too many potential black swans to make the "profits" worth it. I'm not greedy. In fact, I'm not even buying PMs these days because I'd rather spend some fiat on aquiring more land (recently been checking-out some forestry). But to each their own.

Some good points Fortune. I wonder about the greed thing though. Wouldn't you agree that some who rush into 100% bullion could themselves be greedy [not referring to yourself of course]... and those that restrain from this "all in" approach could have this emotion in check. What I am getting at is that no position has a monopoly on greed.... the opposite could be well argued where a cautious sober minded person chooses to keep their powder dry not because they are greedy for lower prices but because they are simply being prudent.

 

Also, the "all in" crowd often resort to "tptb" to explain why the price does not rocket to the moon, and why there are frequent "smackdowns". The obvious question is that if they believe this then why don't they keep some serious powder dry for the big "smackdowns". Pretty obvious who the morons are here. :lol:

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GREED??? How lame is that? This is nothing to do with greed, it's all about protecting your hard-earned capital from the pirates that are robbing you blind in the City and in DC!

 

If you can't see that, there is no hope for you. If you were not greedy you'd be enjoying yourself in Kiwiland rather than losing your Seoul in Korea with only this forum for a friend!!! LMAO! :lol: THAT is greed mate.

 

As for all in, I am not alone, just one of many folks that bought in at $625 or less and are totally protected, rather than gambler idiots waiting and waiting and hoping and waiting for an entry point that passed them by many many many moons ago!!! You will be the only moron going whipsawed broke in the biggest secular bull market in your lifetime!!! That really take some doing but you are half way there already!!! :lol::lol::lol:

Clearly, one unhinged individual, and completely missing the point.

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