While the Dow and S&P were putting Olympian swan dives, both gold and silver and their related equities held steady. Not rising, not falling much, simply assuring their holders of A RETURN of capital - whether or not appreciated.
Unlike the markets that have been treading water and finally have begun gasping and going under, gold and silver are above the water and returning 30% plus annually, depending on how you are allocated. My own stock picks have included 10 bangers and a few 10% under performers but no big money losers in the resource sector.
How could you go wrong with gold and silver now?
As Buffet has often said - and I am no fan of mr. new world order - pick the right sector and getting great results comes easily.
The right sectors have been and will be:
Energy
PM's
metals
agriculture
water
alternative energy
resource based currencies
foreign real estate
The U.S. is a short - top to bottom, inside out - unless Ron Paul takes the white house. And I do mean takes the white house because it will not be given to him.
Ride this gold and silver bull for the profits of a lifetime, founded in honesty, and fear of man-made promises from those who have shown dishonesty at their core.
Gold and silver money is the way it was always supposed to be and will be again.
Be early, be rich. Be late, be irate.
Friday, November 9, 2007
Thursday, November 8, 2007
Gold and Silver more important than Water?
Much of the Southeastern United States has been drought stricken for over 2 years. Lakes are 15 feet below normal and heading down the drain fast. Watering bans in each county and city presage the complete climax of a dry state, a dry region, and thirsty populations.
While chatting with my good friend and fellow Libertarian, Chris B., I told him I was more concerned about water supply than the dollar crashing and economic issues. Once aboard the gold and silver lifeboat, they do the rowing to safety for you. Water on the other hand, has a more cloudy solution. Either we get a torrential rain, or go dry in 45 days.
4.5 million people without water. That would be a calamity of epic proportions and it is here and in living color- all brown.
Whether it was a political issue with the states fighting the Army Core of Engineers, or poor planning is just so much idle speculation. WE ARE OUT OF LIFE GIVING WATER.
My possible solutions include:
Moving
Using dehydrators with filters
Setting up catchment systems for a living.
Hoarding a huge supply of water - as I used to do in my hot tub. 360 gallons will hold you for a while.
Now that I look at all the ways to solve the problem, I realize that gold and silver is more important than water in that they can be used to get the equipment and the labor and the engineering talent to get the system working and providing the H20.
Should you find a man dying of thirst, I am certain he would part with much of his gold and silver fortune for the water. That is so rare an event that it only makes a parable, not a strategy.
With gold and silver, you have power in reserve. You have stored time and resources that can meld into almost all the functions you might need to overcome adversity, as in this case, such as drought. Or food shortages. Or medical needs.
At all times, in all places, gold and silver function as money. Perhaps not with the government, but then a criminals behavior is not worth emulating anyway.
So gold and silver are more important than water.
That's more than important enough for me to get some more.
Short-term outlook:
I expect a pullback/consolidation before we smash higher. Could be the options expiration date on 11/27 where we see a collapse in price, but that will be short lived. All bets are off if we attack anybody, including Iran.
Super-models are leading the exit from the smoking theatre where everyone watches the great Epic Dollar Swan Dive Triple Feature. Dumb blonds - NOT!
To all - a gold and silver day.
While chatting with my good friend and fellow Libertarian, Chris B., I told him I was more concerned about water supply than the dollar crashing and economic issues. Once aboard the gold and silver lifeboat, they do the rowing to safety for you. Water on the other hand, has a more cloudy solution. Either we get a torrential rain, or go dry in 45 days.
4.5 million people without water. That would be a calamity of epic proportions and it is here and in living color- all brown.
Whether it was a political issue with the states fighting the Army Core of Engineers, or poor planning is just so much idle speculation. WE ARE OUT OF LIFE GIVING WATER.
My possible solutions include:
Moving
Using dehydrators with filters
Setting up catchment systems for a living.
Hoarding a huge supply of water - as I used to do in my hot tub. 360 gallons will hold you for a while.
Now that I look at all the ways to solve the problem, I realize that gold and silver is more important than water in that they can be used to get the equipment and the labor and the engineering talent to get the system working and providing the H20.
Should you find a man dying of thirst, I am certain he would part with much of his gold and silver fortune for the water. That is so rare an event that it only makes a parable, not a strategy.
With gold and silver, you have power in reserve. You have stored time and resources that can meld into almost all the functions you might need to overcome adversity, as in this case, such as drought. Or food shortages. Or medical needs.
At all times, in all places, gold and silver function as money. Perhaps not with the government, but then a criminals behavior is not worth emulating anyway.
So gold and silver are more important than water.
That's more than important enough for me to get some more.
Short-term outlook:
I expect a pullback/consolidation before we smash higher. Could be the options expiration date on 11/27 where we see a collapse in price, but that will be short lived. All bets are off if we attack anybody, including Iran.
Super-models are leading the exit from the smoking theatre where everyone watches the great Epic Dollar Swan Dive Triple Feature. Dumb blonds - NOT!
To all - a gold and silver day.
Wednesday, November 7, 2007
Commercial Signal Failure in Silver or Gold?
The vaunted commercial signal failure refers to the market functions locking up in the Crimex - known in the ill-informed circles as the Comex. The commercials are heavily short and in serious pain while attempting to force their usual sell off. Some serious money is taking the other side of the bet, with the possibility of SWF's or Sovereign Wealth Funds from oil producing or surplus producing countries like the BRIC - Brazil, Russia, India, and China. Add to that Turkey and the middle-eastern countries and all the furnaces are stoked for more upside.
While they will eventually get a breather and some downside pullbacks, the momentum is so high and the light shining on the banks so intense that they will eventually have to clear out their shorts at higher prices. A small loss is better than a big one, while all loses hurt.
Speaking of loss - I have to confess to miss timing my options trade with Silver. I was right on about the call I purchased 270 or so days ago while Silver was at $13. A $15.75 call for November seemed a long shot and was priced accordingly. I bit. I held on and saw its time value go to nothing at the beginning of this month. Silver trades in the back rooms - not electronically. So getting quotes is taking a step back in time to making a phone call to Guido and getting the bid/ask spread for the option. Stinks to high heaven. Fortunately, I have made money with my options in the past and was willing to put up with the tiny silver market shennanigans.
This time I folded my tent to early, because I could have tripled my investment as silver has tapped my target and then some. The money lost was small. The lesson learned was large.
When you have taken most of your hit already on an investment, and their is an outside chance of riding a current favorable trend into profit - as there definitely was with Silver going higher weekly - be bold and risk the entire option for the potential profit.
I was not bold, I was defensive in trying to save the last remaining value in the option.
My only money losing option trade. Well, more profitable ones will follow.
Silver at $25 next year? I think so, as Ron Paul talks about silver and gold and ads appear everywhere. Then we are cooking with gas.
While they will eventually get a breather and some downside pullbacks, the momentum is so high and the light shining on the banks so intense that they will eventually have to clear out their shorts at higher prices. A small loss is better than a big one, while all loses hurt.
Speaking of loss - I have to confess to miss timing my options trade with Silver. I was right on about the call I purchased 270 or so days ago while Silver was at $13. A $15.75 call for November seemed a long shot and was priced accordingly. I bit. I held on and saw its time value go to nothing at the beginning of this month. Silver trades in the back rooms - not electronically. So getting quotes is taking a step back in time to making a phone call to Guido and getting the bid/ask spread for the option. Stinks to high heaven. Fortunately, I have made money with my options in the past and was willing to put up with the tiny silver market shennanigans.
This time I folded my tent to early, because I could have tripled my investment as silver has tapped my target and then some. The money lost was small. The lesson learned was large.
When you have taken most of your hit already on an investment, and their is an outside chance of riding a current favorable trend into profit - as there definitely was with Silver going higher weekly - be bold and risk the entire option for the potential profit.
I was not bold, I was defensive in trying to save the last remaining value in the option.
My only money losing option trade. Well, more profitable ones will follow.
Silver at $25 next year? I think so, as Ron Paul talks about silver and gold and ads appear everywhere. Then we are cooking with gas.
Tuesday, November 6, 2007
LIFT OFF FOR THE GOLD AND SILVER ROCKET! AND 10 Fallouts from All Candidates except Ron Paul
You read it here...the metals would rest, then they would launch. They did exactly that. Silver is heading for $25 an ounce so there is time before it rests. Gold will take a bigger breather. The ratio is already down to 53 from 55 and heading towards 40 while gold hits around 850 or $900. That leaves us over $20 per ounce. Sweet times indeed.
Now for some political points about what happens if anyone but Ron Paul is elected:
1. The SPP - Security Peace and Prosperity Pact will go into full force ending the sovereignty of the U.S. - including ending our constitution and bill of rights. Google it - see what Lou Dobbs of CNN has said about it.
2. The NAFTA super-highway tollway has already begun and will strangle all the links around the U.S. restricting movements with $65 tolls (Austin, TX to Dallas, TX - a 3 hour drive!), with all the tollways owned by companies in Spain, Australia, China- holding us hostage. Already being built in Austin and coming here.
3. A control grid with video cameras everywhere focused on faces and walks that can identify anyone instantly. Notice the cameras pointing at you in intersections, not at your license plates. Already in place in London, NYC, Chicago, Atlanta is finishing it now. Look up the Pentagon control grid plans or the domestic terrorism legislation controlling all media and calling for a police state control grid.
4. Socialized medicine enforced - including compulsory vaccinations, compulsory yearly inspections, and no vitamins or minerals sold without prescription. Check the Codex Alimentarian legislation (google this - unbelievable the restrictions!) and Hillary's plan - it's in black and white.
5. Destruction of the U.S. dollar and the start of the Amero - forcibly merging without approval Canada, the U.S., and Mexico into one worthless paper currency. Read what the Council on Foreign relations along with the SPP legislation and Lou Dobbs on CNN all have to say about it. Happening in broad daylight.
6. National ID act where we are required to present "papers" at check points including crossing state lines. Every communist and totalitarian government does the same thing. Lookup National ID act. See how the federal government will have to approve you for any and all jobs you apply for.
7. Destruction of the 2nd Amendment - the right to self-defense and to keep and bear arms. Your opinions may vary on this. No one can argue the facts of an unarmed populace is the first step to a complete police state - including Japan where they have a 99% conviction rate for anyone accused of a crime (accused = guilty = jail), or England where crime has soared with the complete gun ban and anyone who fights back against a burglar is arrested - including 75 year old women. Many reports of this - ixquick search for England victim punishment or crime increase.
8. Ending of Internet freedoms - multiple pieces of legislation attacking this including the domestic terrorism bills. Ixquick it and you will see.
9. Federal property tax for "Carbon and environmental rescue" for anybody with a certain size house or property value. Forgetting the bogus non-science behind the carbon tax issues, anyone who taxes your property owns it. It is a government control grab, nothing whatever to do with the environment. Even with a payed off mortgage, they take your property if you do not pay your tax.
10. All waterways - including the creek behind your house, or that pond in your golf course - go to the United Nations control. This is already in the works with the Law of the Seas treaty. Any sailing you want to do, or cruises will require you to comply with the United Nations. If you are a fan of the U.N. then you have little hope.
You can have only three opinions about these illegal acts coming our way:
Should you decide that you like the above legislation and totalitarian control already here and getting more invasive, may your slave chains weigh lightly on you.
Should you not care about the above legislation and totalitarian control already here and getting more invasive, may your slave chains weigh lightly on you.
Should you find the above legislation and totalitarian control here and planned completely unacceptable - then you must support RON PAUL with your time, your funds, your friends, and your spirit.
All the other candidates will bring all of these to pass, no matter what they may claim. Hillary, Obama, Thompson, McCain, Romney, Edwards, Guiliani, etc. will all march these totalitarian and illegal acts to your front door.
You are now fully awake. Welcome to the battle.
Let's March!
Now for some political points about what happens if anyone but Ron Paul is elected:
1. The SPP - Security Peace and Prosperity Pact will go into full force ending the sovereignty of the U.S. - including ending our constitution and bill of rights. Google it - see what Lou Dobbs of CNN has said about it.
2. The NAFTA super-highway tollway has already begun and will strangle all the links around the U.S. restricting movements with $65 tolls (Austin, TX to Dallas, TX - a 3 hour drive!), with all the tollways owned by companies in Spain, Australia, China- holding us hostage. Already being built in Austin and coming here.
3. A control grid with video cameras everywhere focused on faces and walks that can identify anyone instantly. Notice the cameras pointing at you in intersections, not at your license plates. Already in place in London, NYC, Chicago, Atlanta is finishing it now. Look up the Pentagon control grid plans or the domestic terrorism legislation controlling all media and calling for a police state control grid.
4. Socialized medicine enforced - including compulsory vaccinations, compulsory yearly inspections, and no vitamins or minerals sold without prescription. Check the Codex Alimentarian legislation (google this - unbelievable the restrictions!) and Hillary's plan - it's in black and white.
5. Destruction of the U.S. dollar and the start of the Amero - forcibly merging without approval Canada, the U.S., and Mexico into one worthless paper currency. Read what the Council on Foreign relations along with the SPP legislation and Lou Dobbs on CNN all have to say about it. Happening in broad daylight.
6. National ID act where we are required to present "papers" at check points including crossing state lines. Every communist and totalitarian government does the same thing. Lookup National ID act. See how the federal government will have to approve you for any and all jobs you apply for.
7. Destruction of the 2nd Amendment - the right to self-defense and to keep and bear arms. Your opinions may vary on this. No one can argue the facts of an unarmed populace is the first step to a complete police state - including Japan where they have a 99% conviction rate for anyone accused of a crime (accused = guilty = jail), or England where crime has soared with the complete gun ban and anyone who fights back against a burglar is arrested - including 75 year old women. Many reports of this - ixquick search for England victim punishment or crime increase.
8. Ending of Internet freedoms - multiple pieces of legislation attacking this including the domestic terrorism bills. Ixquick it and you will see.
9. Federal property tax for "Carbon and environmental rescue" for anybody with a certain size house or property value. Forgetting the bogus non-science behind the carbon tax issues, anyone who taxes your property owns it. It is a government control grab, nothing whatever to do with the environment. Even with a payed off mortgage, they take your property if you do not pay your tax.
10. All waterways - including the creek behind your house, or that pond in your golf course - go to the United Nations control. This is already in the works with the Law of the Seas treaty. Any sailing you want to do, or cruises will require you to comply with the United Nations. If you are a fan of the U.N. then you have little hope.
You can have only three opinions about these illegal acts coming our way:
Should you decide that you like the above legislation and totalitarian control already here and getting more invasive, may your slave chains weigh lightly on you.
Should you not care about the above legislation and totalitarian control already here and getting more invasive, may your slave chains weigh lightly on you.
Should you find the above legislation and totalitarian control here and planned completely unacceptable - then you must support RON PAUL with your time, your funds, your friends, and your spirit.
All the other candidates will bring all of these to pass, no matter what they may claim. Hillary, Obama, Thompson, McCain, Romney, Edwards, Guiliani, etc. will all march these totalitarian and illegal acts to your front door.
You are now fully awake. Welcome to the battle.
Let's March!
Monday, November 5, 2007
The Markets are Whispering - Can You Hear Them?
As gold rises and silver falls or treads water, the markets are whispering a telling message.
Stagflation this way comes. That tart cocktail of rising produces and reduced economic activity with recession or even depression level statistics while prices rise in many of the key areas of food, energy, travel, health care, education, insurance and even in the normally docile imported electronics, and clothing sectors.
Silver finds its way into multiple industrial goods and responds to industrial slowdowns - anticipated or real. Gold is primarily a monetary metal and will soar with inflation expectations and/or fear. Both will fall in general with a declining belief in catastrophic occurrences, or a rise in belief of business as usual.
So we are headed towards catastrophes, have lost most of our belief in business as usual, and expect higher costs with lower industrial or economic activity. Pretty much spot on with what is really happening day to day in the world.
The banks are imploding - faster the better for the health of the world and each of us.
Governments are distrusted corner to corner, their totalitarian hands have grabbed our collective throats from the marble foyers of state houses across the globe.
The metals with 5000 years of wisdom are whispering. Hoarse with age, powerful with insight. Heed their wisdom and prosper. Ignore them and perish.
Stagflation this way comes. That tart cocktail of rising produces and reduced economic activity with recession or even depression level statistics while prices rise in many of the key areas of food, energy, travel, health care, education, insurance and even in the normally docile imported electronics, and clothing sectors.
Silver finds its way into multiple industrial goods and responds to industrial slowdowns - anticipated or real. Gold is primarily a monetary metal and will soar with inflation expectations and/or fear. Both will fall in general with a declining belief in catastrophic occurrences, or a rise in belief of business as usual.
So we are headed towards catastrophes, have lost most of our belief in business as usual, and expect higher costs with lower industrial or economic activity. Pretty much spot on with what is really happening day to day in the world.
The banks are imploding - faster the better for the health of the world and each of us.
Governments are distrusted corner to corner, their totalitarian hands have grabbed our collective throats from the marble foyers of state houses across the globe.
The metals with 5000 years of wisdom are whispering. Hoarse with age, powerful with insight. Heed their wisdom and prosper. Ignore them and perish.
Silver's Plan to Reach Parity with Gold in 5 years
By now many of us would have expected Silver to have ridden along with gold to an equivalent point in it's historic cycle, such as the $800 spike in Gold taking silver to around $40 in the 1980 Hunt brother's rush. Unfortunately, we are no where near that level and not threatening it anytime soon?
Why?
Supply and demand, and heavy shorting are the culprits. When those limits are cleared, silver will soar faster then gold, and more forcefully from a volume standpoint. We are only going to see that when there is a pervasive acknowledgement that Silver is more rare than gold. When that happens, we might even look for parity, making anyone with a few silver bars and instant millionaire, in almost any currency.
Take a 500 oz grub steak of silver at current prices, you have a mere $7000 stashed away. Enough for a months rent in Manhattans less tony areas. But if we went to parity between gold and silver, then that same 500 ounces would give us enough to buy a third of the condo, or more as the real estate market sinks. With gold at $1500 per ounce, probably a 2009 occurrence, we will be on our way to a millionaire in uninflated dollars. Silver wealth building abilities will be once in a lifetime for those in now or earlier.
Dreaming is easy. Profitably calling trends is tough. This one will only come to pass when we see advertisements and general acknowledgement of the value of Silver.
Militarily, Silver might even be classified as a strategic commodity, then all bets are off. It probably already is classified, but no policies are enforcing it and forcing the market higher. Once we see some more shortness in the supply end, where first 1000 oz. bars get scarce, then down the line to 100 oz, and finally coins - probably a 2008 or 2009 phenomenon, then we will be close to awareness of the rarity of silver.
Awareness comes long before the metal will catch up with the reality pricewise. With a penetration of the old highs at $50, when there is still a deficit, perhaps because of nationalized mines, more technologies in the solar arena or militarily, or bioscience needs, then we will see the dramatic launch just when people are think we are in a commodity bubble, Silver will soar in all currencies.
For those of us with many thousands of ounces, we will enjoy a wealth kicker we could not of even dreamed of . Hopefully, dear reader, you believe some of what you read and invest accordingly.
Why?
Supply and demand, and heavy shorting are the culprits. When those limits are cleared, silver will soar faster then gold, and more forcefully from a volume standpoint. We are only going to see that when there is a pervasive acknowledgement that Silver is more rare than gold. When that happens, we might even look for parity, making anyone with a few silver bars and instant millionaire, in almost any currency.
Take a 500 oz grub steak of silver at current prices, you have a mere $7000 stashed away. Enough for a months rent in Manhattans less tony areas. But if we went to parity between gold and silver, then that same 500 ounces would give us enough to buy a third of the condo, or more as the real estate market sinks. With gold at $1500 per ounce, probably a 2009 occurrence, we will be on our way to a millionaire in uninflated dollars. Silver wealth building abilities will be once in a lifetime for those in now or earlier.
Dreaming is easy. Profitably calling trends is tough. This one will only come to pass when we see advertisements and general acknowledgement of the value of Silver.
Militarily, Silver might even be classified as a strategic commodity, then all bets are off. It probably already is classified, but no policies are enforcing it and forcing the market higher. Once we see some more shortness in the supply end, where first 1000 oz. bars get scarce, then down the line to 100 oz, and finally coins - probably a 2008 or 2009 phenomenon, then we will be close to awareness of the rarity of silver.
Awareness comes long before the metal will catch up with the reality pricewise. With a penetration of the old highs at $50, when there is still a deficit, perhaps because of nationalized mines, more technologies in the solar arena or militarily, or bioscience needs, then we will see the dramatic launch just when people are think we are in a commodity bubble, Silver will soar in all currencies.
For those of us with many thousands of ounces, we will enjoy a wealth kicker we could not of even dreamed of . Hopefully, dear reader, you believe some of what you read and invest accordingly.
Thursday, November 1, 2007
Believe the Words on Gold and Silver
Predicted yesterday here, happened today. There was a major downdraft of both gold and silver, just anticipated. The next updraft is also predicted. The timing is less exact but not far off.
One concern is the overall liquidity driven nature of the up and downturn of the metals along with the stock markets. Not what we want, but works for the upside. Gold, silver and the related stocks must decouple from the overall stock market, not travel in the same wagon.
Gold and silver are fundamentally competitors to the stock market. In the zero sum game with metals, there will be a pull of the funds from the stock markets to the metals complex and the related equities. Unfortunately, most of that has yet to occur.
My expectation is that gold will have to run past $800 and the dollar will have to blow through 70 before people notice. Not sure, but a major spanking will have to occur.
Then gold and silver will be the story. We are not far off. Early next year with an attack on Iran. There are almost no more horrific financial stories out there to shake the dollar tree, they have already happened. The next leg down will be geopolitical and it will probably be Iran related.
Be in the metals before then or be prepared to learn how to beg.
One concern is the overall liquidity driven nature of the up and downturn of the metals along with the stock markets. Not what we want, but works for the upside. Gold, silver and the related stocks must decouple from the overall stock market, not travel in the same wagon.
Gold and silver are fundamentally competitors to the stock market. In the zero sum game with metals, there will be a pull of the funds from the stock markets to the metals complex and the related equities. Unfortunately, most of that has yet to occur.
My expectation is that gold will have to run past $800 and the dollar will have to blow through 70 before people notice. Not sure, but a major spanking will have to occur.
Then gold and silver will be the story. We are not far off. Early next year with an attack on Iran. There are almost no more horrific financial stories out there to shake the dollar tree, they have already happened. The next leg down will be geopolitical and it will probably be Iran related.
Be in the metals before then or be prepared to learn how to beg.
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