So here I am yapping about the old chart thing such as the H&S, double bottoms etc. ., wherein I trap my self into believing that such is the way it has always been and the way it will be. So we are still basing future performance on past historic cycles etc.
Well, I am wrong in doing so because the charts we are relying on are all based on BS and thus can no longer be relied upon for future guidance. It’s a criminal Ponzi scheme, having taken money from one source (the future) to pay for another (today) … and with frightening leverage that has never been seen in the history of man. Everything is rigged … all the stats (see John Williams Statistics). Obtaining funds based on future potential that is impossible to fulfill has reached the very final end game. It should have all collapsed in 2008 but it has now only been made so much worse that there is no way out. At some point in the near future the exploding fraud fails when it loses its viability and cannot deliver even a fraction of its obligations. Expansion of debt is at its end … and your politics don’t mean a dam. Revolutions are on the horizon with the pointy end of the spear in France. Where are we seeing a chart on that?
With over $Quadrillion in global derivatives sitting on global debt of at least $150 trillion (no one really knows anymore) one major default (Deutschebank or corporate junk bonds?) and its ti.ts up folks. A cascading flood of defaults looms. So, how can one depend on charts based on all that fraud? It is impossible. The only thing possible is to lie and try to convince the masses that all is well. Many cities, sovereigns, states, businesses and consumers are already bankrupt or near bankrupt by the official definition.
So, we all know gold is money and everything else is debt. The charts (technicals) are based on vapor created by the Fed and alias central banks, algorithms, high speed trading, naked shorting, hedonics, Wall St., ‘stabilization teams’, 'The Put' under thmarkets, media, the ‘deep state’, UN, BIS, LIBOR, Hedge Funds, London Gold Pool, gold theft, sold 'allocated gold', Gold counterfeiting … it just keeps on going.
Where does that leave gold, gold mining companies and explorers? The big merger race has now started with the biggest miners in the world such as Newmont/Goldcorp and Barrick/Randgold scrambling. Their production fell by 15% in 2018. Why? Production is down (globally) and trending down rapidly now; costs have risen due to depleting mining reserves, lower grades, higher extraction costs, no more large scale discoveries as gold is harder to find, more onerous and lengthy permitting, geopolitical concerns and more. Large scale discoveries have ended. Many large miners have extracted the highest grade ore from their mines … and they stopped exploring years ago. Peak gold has arrived as gold supply was down 4% last year (of course, even the World Gold Council fudges figures) … that we know of. By 2025 production is estimated to be down by 1000 tons/yr to 2500 tons. The future pipeline is devoid of world class projects according to mine supply analysts.
Large miners will be looking at the Juniors now for gold deposits/discoveries. And of course as the diminishing supply problems swell while demand jumps the potential exponentials are mind blowing.
So, charts based on fraud can only last as long as the fraud can keep going and that, my friends, is where you and I come in. How much longer can the numbers be rigged? How much longer can the $US levitate? How much longer can gold, leveraged 100 to 200 times for every available ounce, be capped by the COMEX futures paper bets as the spot price globally diverges? How much longer can gold go up in as many now as 72 other world currencies before it also goes up in $US?
So, I submit that my H&S chart means nothing now. The day that the gold spot price leaps in divergence from the COMEX price we will have our answer. The day gold goes ‘no bid’ and the day no one will accept $US for gold on contract expiration/rollovers … will be the day no chart has warned us about. I contend that the price of an ‘ABX’ share will be multiples of today’s price in the not too distant future.
What about DEC and so many others?