Saturday, June 6, 2009


If you don't read this in its entirety then do NOT invest in SLV. This waterloo will have a high probability of occurring as the Greatest PONZI in history unwinds. There are alternatives not discussed in this article for paper asset choices and that is the Miner stocks...that will be later for now enjoy and play SLV...but you will have to move out for safety is a tease

With the holdings of these bullion-ETFs rapidly approaching the total annual production of precious metals miners, and already being larger than the national stockpiles of almost every nation on Earth, this obviously-suspect “business model” will attract increasing doubt and skepticism among informed investors – until even blind/deaf/dumb “regulators” are forced to conduct a reputable audit of this sector.
For those hoping to read precisely when and where the Manipulators will meet their final defeat, I suppose you will be disappointed. Sorry, but I'm an “economist” - not a “psychic”. However, hopefully readers will derive some use out of this commentary.
First, because of depleted inventories, it is much more likely that it will be a silver default which “kills” the Manipulators, instead of a gold default. Secondly, as precious metals investors wait for this inevitable occurrence, you are reminded that there are three potential developments to watch for – and not just a “failure to deliver” at the Comex.
In the meantime, any/every investor who continues to add to his (or her) precious metals positions (preferably during short-term dips) is guaranteed to be richly rewarded. Given the extremely uncertain times in which we live, the reward of financial security


  1. Why shouldn't we join the Ponzi scheme. We can bail before it all comes crashing down.

    Your calls on FAZ and SRS were like pissing money down the toilet. I too thought reality would trump GS, Obama and the rest of the scammers running this country. But now I'm done fighting it just like you. I want to see SPX 1000 or 1050. If you can't beat them, join them.

  2. jay only trouble playin equities long the scum are gonna jerk the rug out........also expect commodities to correct with them.....but it is obvious that is the long term play BIG TIME gdx ung gld slv.......long term

  3. As for commodities you can trade around a core position, it's just a little trickier than normal equities, but then equities have not been normal since mid-March. If natural gas does a short term commodity spike short of the 200 dma and the S&P is starting to show exhaustion short of the Oct07-May08 trendline, I would consider taking profits and sitting on the sidelines. Not sure if I want short anything anymore, squeezing shorts against their stops has reached a new art form even if you are right. Sidelines is best and maybe take some chips to go by some physical hedges like food and ammo.

  4. Kli, before posting this: you have to know how contango and backwardation affect the commodity etf's.

  5. Here is another trader calling for commodities...

    "Dollar Crisis Looming — Don't Short the Market: Jim Rogers"