General post on gold What I see here is investor fatigue and dark sentiment (which is synonymous for most of this sector). I am not trying to be an expert because I am far from it. But, when the water recedes 200 yards from the normal shoreline it is not wise to run towards it. Once you learn that lesson from bitter experience … and live through it … you will always and forever pay attention.
All the signs are there, helped along most substantially by the a most powerful greed/power cartel’s hand, one could argue the most powerful in human history, that would try to defy gravity … and has been quite successful until now. But all the ominous signs are there, shouting at us, laughing at us and taunting us. Right about now, things are becoming quite tenuous the receding water line reverses.
The recent merger of giants Newmont/Goldcorp and Barrick/Randgold have set the stage. The also recent, all be it understated, plethora of mainstream Banks like GS, and the business news sites, investment advisers and the mainstream crowd … all seem to be grudgingly forecasting that gold, the hitherto most hated investment in the history of mankind … a useless, ancient relic … will be going up this year. Some of the same old excuses abound, like: “well, you know, everyone should have at least 5% to 10% of their portfolio in gold as a market hedge, a ‘safe haven’. Now, most recently I see GS saying that gold could go to $1425 this year and if it goes over that , to over $1750!). HUH! That happened fast! So, now we see the estimates changing daily depending on which sycophant mumbles them. Can you imagine what will happen to the share prices of above mentioned mergers?
That massive reverse head and shoulders formation in gold is something to behold folks. Who here does not think that the smart money is now going to try to squeeze into gold as fast as possible without tipping the ship! … Without causing the gold/silver shares to explode to the upside … the tiny, tiny market that would explode if only 3% of all the $ in the markets rushed into gold and silver!!! (What if it goes to 10% or god forbid, 20% !!!). We’re on the verge of this now. I have been waiting 8 years for this.
WHY DO YOU THINK BARRICK, NEWMONT AND OTHERS ARE BEING SMASHED RIGHT NOW? WHO IS DOING IT? WHY? WHO IS BUYING IT RIGHT NOW?
In my most ignominious opinion, what I see is the ‘cartel’ getting very edgy because they know they can no longer control the global, physical spot price of gold in the paper futures markets … leveraged well over 100 to one! So, they are now getting well entrenched in to the big gold miners and gold. Do you think it is remotely possible that it would be mere child’s play for them to rig the prices before they move much higher???