Oldtent Archives 2010

GR

by aurum @ 22:57 pm.

I guess you missed my point in two areas.

First by peak gold I mean the same as peak oil. We have taken most of the gold out and we are on the declining slope of production - yes there is still a lot of gold but again according to peak ideas it is the most expensive to mine. The easy is gone.

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~ ~ ~ Yes, in that context……………well-stated.

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 I think this is why physical (or equivalents) will be the way to go. It may be that the XAU to gold ratio has gone to another level and will never go to where history would say it should. In other words, the miners are toast.

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~ ~ ~ As long as the PM stock charts are playing out almost exactly as the did in the late 70’s as $Gold plays out almost exactly on the chart as it did in the late 70’s……….I will be a holder of PM stocks for the leverage……………in fact, a holder of LT leverage to some of those PM stocks.

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Second, the fixation on the US $ is a distraction and is not relevant to what will happen regardless of how interesting the dollar chart is.

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IMO, that is only because the pricing scheme of the USD is not an accurate representation of Dollar Value once global competitive currency devaluations start in earnest to affect the pricing scheme.  The same was true in the late 70’s so I think a comparison of the USD index of the late 70’s to today is a worthwhile comparison to track to see that all of the different pieces of the puzzle continue to play out much like the late 70s.

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www.youtube.com/watch?v=I0oxkwvO4_4&feature=PlayList&p=F719EE6D29E186DC&index=54&playnext=4&playnext_from=PL

This might be of interest to you.

http://autos.aol.com/article/government-funded-flying-cars?icid=main|htmlws-sb-w|dl4|link3|http%3A%2F%2Fautos.aol.com%2Farticle%2Fgovernment-funded-flying-cars

I guess you missed my point in two areas.

First by peak gold I mean the same as peak oil. We have taken most of the gold out and we are on the declining slope of production - yes there is still a lot of gold but again according to peak ideas it is the most expensive to mine. The easy is gone. I think this is why physical (or equivalents) will be the way to go. It may be that the XAU to gold ratio has gone to another level and will never go to where history would say it should. In other words, the miners are toast.

Second, the fixation on the US $ is a distraction and is not relevant to what will happen regardless of how interesting the dollar chart is.

aurum

Great music links - we could spend an evening together - listening to music. Wait we have already.

I have bookmarked the links to re-listen tomorrow over the morning coffee.

aurum

www.youtube.com/watch?v=_7HvURBhMGE

I don’t think there is anything that can be called “peak Gold.”  Gold is just a constant value, but seen rising in terms of lower valued paper Dollars, no?  Unfortunately, there is no constant relationship between the Dollar Index pricing scheme and Dollar value.  What many will eventually call “Peak Gold” in the US, should really be called “Trough Dollar.”

stockcharts.com/h-sc/ui?s=:&p=W&yr=3&mn=0&dy=0&id=p42353288647

http://finance.yahoo.com/intlindices?e=asia

Two gaga fans in NYC ..Well my friends think I’m the instigator of mayhem but  really I am not  ,  let’s just say I give the ball a nudge to see how far it can roll..

Loreena is clearly the winner hands down but here is another  :

www.youtube.com/watch?v=4g5Q1p6C7ho

…gold is on a wild ride….dropped 25 bucks in seconds on the sneaky FEd announcement…..from 1125 to 1100….and It just bounced to 1107 in a couple minutes…..tomorrow could be the wildest day yet….this would be fun if it werent the World Financial System they were toying with

this US $ fixation and pog. Most are familiar with peak oil. Meaning that we will pass the point where more oil is used than produced and the oil being produced gets more and more expensive to produce.

We have already had peak gold.

aurum

Nothing will unnerve the paper gold shorts more quickly and do more to undercut their confidence than to strip them of the real metal and force them to come up with more hard gold bullion to make good on deliveries. “Stand and Deliver or Go Home” should be the rallying cry of the gold longs to the paper gold shorts.” –Trader Dan Norcini

Dear Comrades In Golden Arms,

The final Pillar in the gold bull market is a bear market in US Treasuries.

The increase in the discount rate to 0.75% is driven by market realities and a desire to be able to sell US Treasuries as foreign demand falls off.

The bull market in gold moved from $400 to $887.50 in the 1970s as interest rates rose from 3% to 14 7.8% on Ten Year money.

Once again the knee jerk reaction is to sell gold and buy the dollar. Be assured this must happen.

Because the final Pillar is falling while Gold is over $1000, you can look at Armstrong’s $5000 prediction as a realistic possibility.

Stay the course.

Respectfully,
Jim

If you and Sharon decided to go out for the night - well who knows what would happen. Even I am afraid to go to NYC with Sharon so I have our daughter go with Sharon. They stay in Times Square and party in Harlem.

for you: www.youtube.com/watch?v=0B7sH5QLyXY

Tonight will be an early night - tomorrow an art showing and then to my favorite restaurant (other than Lana Thai) for bok choy and shrimp (PLAE). (People Laughing And Eating)

Lana Thai - get your favorite meal (say grouper) in the panang sauce.

www.yelp.com/biz/lana-thai-cusine-fernandina-beach

aurum

Thanks Doc for the Neil Young!

Islandgold, I honestly believe Gartman is very much like the idiot Kramer. He is selling after he says he is buying and vice versa. Using his “fame”? to take advantage of the system.

Nobody can be that dum as it appears on his bad calls! Or can he?   lol.

www.youtube.com/watch?v=t0rG2ME4sAc

and the other:

News releases are done for their own purposes - those buying have already bought and those saying sell want to buy cheaper.

Also, there is on Soros the idea that there are different time windows involved. For example I think we will have an ugly dip in pm’s but that over the longer term a parabolic rise. Just a bet.

aurum

Sharon and I have something in common. I am gaga fan too. Can’t explain it really, she is just so out there as to be quite entertaining..maybe it’s her parodic humor  .. disco sticks and all

Something is up….  over the last couple weeks, we have Soros calling gold the ultimate bubble (opps.. we then find out he just increased his gold holdings ‘at the top” no less).  We had an increase in the cash margin requirements for gold and silver futures, the trotting out the IMF gold bullion “perpetual sale pending” plan and now a whole 1/4% increase lending rate to the banks and the traditional after hours market pounding…   and now playmoney Gartman buying gold and ‘everybody knows’ he has never been right and probally has a “following of contrary traders”… he say buy… everybody sells (he most be down to play money in his trading account for all his wrong calls he has made over the years… but one day, one day.. he will get his signals crossed and be right for once)…..   Now I know for most of us who have been around awhile, these “magician market tricks” seem to be from that same old show… but this time, instead of using their ”tricks r us” when gold has run hard and doesnt look like it will stop… or is topping and looks vulnerable…  and they want to stop a run…  they are now doing their show BEFORE a potentially powerful run occurs……   hmmmm…..  from my seat this is different….  island gold

PS…  With respect to the IRS Bomber I read his message and unfortunately he is right on his points and his last line should be a rallying call…   

Bought the 2008 futures today - two cases. But as someone pointed out - I should not be talking about spending that kind of money when in the world there are the problems. I mentioned this to Sharon who spends time each day volunteering at homeless shelters, humane society, etc. and she said I need to get out more I am not in tune with how it is “out there.” Trading is what I do though and so I spend too much time in front of the screen. But that trading allows me to give good amounts to these causes - I know a cheap excuse.

Winedoc you did not say and you should have Crosby, Stills, Nash and Young.

Look for Wooden Ships.

Note added: Looks like the wine futures are paid for.

aurum

ran sideways long enough to get the rsi back in line so a move to 8200 is very possible. looks like maybe a 5 point rpw down is forming.

rno

In addition to the companies others have posted, a rare earth co. is Hudson Resources/HUD.V  Another lithium company is Ultra Lithium/ULI.V

In case you didn’t catch this Lady Gaga parody I posted a while ago, it’s a must-watch after the one you posted.  Enjoy!

www.youtube.com/watch?v=iESKGuXsVJE&feature=popular

*GB