Gold’s Major Signal Breakout
Not only is gold in a bull run, but it has entered the phase which can be compared to a bank run
Not only is gold in a bull run, but it has entered the phase which can be compared to a bank run
The creation of the Federal Reserve Bank and the so-called Second World War, was among the most important events and actions that contributed to bringing the world to a situation where a new international order was required/possible.
In other words, the world was ripe for a new monetary order that could be forced upon it, due to the vulnerable condition it found itself in. The order that was forced upon it was not in the best interest of the majority, but those of a special ownership class.
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Gold, silver and cryptocurrencies will feast on US Dollar weakness like hungry lions on weak prey.
We are still early in this rally, so we could see a huge move
For now, they all provide “crisis value”, by simply being an acceptable fiat alternative to many.
There were two other periods in history that similar situations occurred, but gold actually was warning of a system collapse (or system bank run, if you will)
The conclusion to draw from this: things take longer in the current period, but they go higher.
The point is that silver is still really cheap
there is a relationship between significant Gold rallies and the US Dollar index.
We are now just after the Dow peak in the current cycle. If the Dow peak in Feb 2020 was indeed the top, then we are likely to see a Silver rally that will at least match the x10 during the period from 1977 to early 1980.
During each credit cycle, Silver and Gold prices mostly loses relative value to assets like general stocks and commodities.
Since the current stimulus (increase in Fed balance sheet) is likely to fail, due to the massive deflationary forces , they are likely to just keep on pumping more and more.
So, for the Silver investor, what the US Dollar index might do over the coming years, is a very important question to answer.
Choose to likely get X10 returns with silver or face the risk of getting your general stock market investments cut by at least 90%, in my opinion.
Gold and the Debasement of Currency Con 29 April 2020 It is reasonably well known that many Roman emperors debased their currency (coinage). This was a very bad practice, since it is really a reflection of the debasement of the value of the kingdom (empire or country); going from a honest and just society to…
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Bitcoin is one of the assets that historically benefits enormously from central bank money printing. Right now central banks have gone crazy with pumping out cash to stimulate their dying economies.
Due to these almost perfect conditions, margins for gold miners are looking great and will likely continue to get better.
South African gold stocks leading the charge.
With the 2008 actions they were able to avoid the collapse until now. Will the current actions yield the same results, or will we see a completely different outcome?
Silver is still in consolidation mode since early September, but it appears ready to rally over a sustained period of time. Below, is a chart of silver: On the chart there appears to have formed some fractals. The current one has also broken out at the black line recently (just after point C). As expected,…
Gold Stocks are confirming this Gold Bull Market.
Once interest rates had bottomed, there were always going be extremely favourable conditions for a gold bull market
This will be the third wave since the peak in the Dow/Gold ratio, and it is often more intense than the first
So, in terms of US dollars in existence, silver is trading at 1.24% (14.84/1193) of its 1980 high – it is the bargain of the century.
Here are a few reasons why gold should be accumulated at these levels: 1. Rising Interest Rates Although gold rose significantly from 2001 to 2011, it was not really the ideal conditions. There were many reasons for conditions not being ideal, such as: rising stock markets and major commodities like oil (more markets rising means…
Silver is currently trading around $17 an ounce. This is around 34% of its 1980 all-time high of $50. However, this is an incomplete representation of what silver is really trading at, relative to US dollars. When you look at the silver price, relative to US currency (the amount of actual US dollars) in existence, then it is at its lowest value it has ever been.
Silver Prices 2018/2017: How Silver Could Rally Significantly Over The Coming Months The silver price and the US Dollar/South African Rand exchange rate (USD/ZAR) have a very interesting relationship that goes back a long way. In the long run, the two move in opposite directions. When the USD/ZAR rate is moving up, the silver price…
Silver in South African Rand The South African Rand is often a leading indicator for where silver (in dollars) is going, as previously explained. Furthermore, the chart of the silver price in rands can often provide very clear signals or patterns of what might happen to price. Currently, the silver price in rands provides the…
Gold Price Forecast 2017/2016 The gold bull market is still very much intact. In fact, it appears that the all-time high could be taken out real soon. However, on the chart there is an obstacle that the gold price has to overcome. Another failure at this obstacle, and we could have a bigger drop than…
Silver Price Forecast and Gold Stocks Forecast 2017/2016 Silver is one of the goods with the most potential to rise in value over the remaining years of this decade. While silver increases in value, it will be increasingly difficult to add to one’s silver ounces. Below, is a chart (from macrotrends.net) that illustrates silver’s potential…
The existence of this pattern, and its recent breakout confirm that the December 2015 bottom in silver is actually the bottom for the correction since 2011.
Why do I think it is too expensive? Because I think there is a way of getting it at the equivalent of $345 an ounce, by buying silver instead.
Gold stocks need very specific conditions in order to perform well. The last time most of these conditions were present was during the Great Depression. However, conditions are currently shaping up to be even more ideal.
Silver Price Forecast: I have written extensively about how the current silver bull market is similar to the 70s. Despite these similarities, silver will (ultimately) perform much better than during the 70s. The fractal analysis of the US Dollar Index (below) shows some more similarities and differences between the 70s era and now. I believe…
Silver Price Forecast: The 1929 Dow crash marked the start of the infamous Great Depression. We currently have a repeat of the pattern that led to that great crash in 1929. This pattern is basically a huge stock market rally (after a period of stagnation) that is driven by a huge expansion of the money…
Silver Price Analysis 2016: During the previous silver bull market, interest rates and silver moved in the same direction. This makes sense, given the fact that silver and interest rates move together in the long run – for the last 100 years at least. The current silver bull market (since 2001) has seen a big…