Thursday, March 4, 2010

CRITICAL METALS MOVE update I

If precious metals move higher over their moving averages here and confirm this up move with Gold crossing 1150 then all hell CAN break loose. This set up is being compounded by a issue that has been pushed behind the curtain by the central banks and the fiat cabal that tries to control precious metal's prices. What is this nasty secret lurking in the dark that is about to arise its ugly head???? In my humble opinion the long term Heavy short positon in the Comex is under tremendous pressure in the next few months as gold moves off its recent low of 1045.

The strains on the massive short position of JPM could be disastrous. So stay tuned. There is another additional fly in the ointment now for the gold haters that has developed and I am fascinated how this could play out. That is the Sprott physical gold PHYS that is now listed. This new gold holding actually allows you to take physical possession of the position if its 400oz. Supposedly they will have verificatiion of their actual holdings. Stay tuned. They had their first major delivery this week reported. Could this be accounting for some of the price rise in the yellow metal? If this new physical/paper gold development plays out it could be huge. Look for the central banks to try and crush it....If they cannot then realize that a lot of retirement accounts will be able to invest in this whereas before they HAD to invest in paper only. The "paper only" trade is how the lid is kept on the gold price by the cabal. So for risk of redundancy....this is big.

http://www.caseyresearch.com/displayGsd.php?id=106

http://finance.yahoo.com/news/PHYS-Another-Golden-Choice-etfsa-3310172888.html?x=0&.v=1

Update. as a request I want to mention a segment of a speech recently given regarding the outrage that the business community and true capitalist have over our current state of affairs. Every friday we recieve the news of the failed banks. It should actually be called "banks too small to save friday". We have essentially made the "too big to fail" a moral hazard that is a violation of the "law of nature". In other words we have taken the best of our banking system that plays by the rules and have thrown them to the wolves. The system that is responsible for the nuts and bolts of society. Instead we have made whole at their expense the very part of our capitalist system that betrayed the country. It is called Reverse Darwiniism. The worst survive....as a cancer to continue to grow within our body.

21 comments:

  1. Ability to take delivery of 400 ounce gold bars? Would that be tungsten-based gold coated bars by any chance?

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  2. Kli loved reading your blog when you talked about market movement in general. You are obsessed with gold and miners lately...wish you'd come back to basics.

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  3. When it comes to PM's if you dont hold it you dont own it.
    I read on Casey where some funds are using fractional reserves against the gold they sell.

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  4. I am still waiting patiently for a setup to come to me. I have watched the miners rally all week. Very tough sometimes to sit back and watch, but I know I am right.

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  5. I print what I see....and the market is a total ponzi here...will advise what I see as the best longer term trades...that is PMs .....gl to you.

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  6. CBS,

    CENX, SGY and SWC came to you last week, and they gained almost 20% to 30% since then. How cheap did you expect to get them?

    Joe

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  7. Kli,

    Now you know why I was yelling at you for selling ALU too early, glad you picked it up at $3 again. Timing for buy at 2.70 was right on, look at it now.

    Joe

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  8. Hey Joe,
    I am right to wait when I am not sure. That is the best thing for me right now.:)

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  9. I've learned never to act when I don't have conviction although I still make that mistake from time to time. Worst thing is to allow emotion into the equation.

    Reporting back on my SLW options (Mar 15 calls) from the other day. Bought them at .59 on the morning gap down Monday and finally sold them yesterday at .94. Not exactly what my original intent was but a successful mission regardless.

    Keep up the good work fellas (& gals).

    -C

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  10. CBS,

    You are right and wrong. The point I am trying to prove is the article from couple of days ago on Wall ST and why most retail traders are not capable of making a killing. It's all about mentality, very few can THINK LIKE BIG BOYS, it's dark BUT that's what's required.

    Joe

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  11. CBS, speaking of thinking like BIG BOYs, if you look at CENX as an example, it droped from high of $18 to low of $11, do the math, what percentage drop is it, BIG BOYs thinking would say, created enough FEAR and dropped the stock almost 35% to 40% to make sure retail traders do not touch it and then bring it up 30% and higher so fear is replaced by greed and keep doing it again and again.

    Joe

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  12. All,

    If you want to make money from market, you need to be COLD, RUTHLESS, CALCULATED, and NO EMOTION.

    Joe

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  13. Mr. Market (the boyz) will use your emotions if you are not ruthless in your trade. They know full well what the average trader can tolerate.

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  14. The big boyz have an uncanny ability to know the human emotional breaking point. They obviously read this in how a particular stock reacts when they are pumping or dropping the price. So many times, I've hung in a position that's gone the wrong way only to sell and watch it immediately reverse after I sold.

    That's not by accident.

    Human nature and emotion compels us to buy when something rises and sell when it goes down but good trading requires the exact opposite. Discipline, discipline, & discipline!!!

    -C

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  15. CBS,

    Another example is ALU which is one of the largest Telecom companies in the world, in October it hit the high of almost $5, since then it retraced to 2.70 couple of weeks ago, lot of traders were waiting for $2 or lower for entry which is EXACTLY what BIG BOYs want to hear. I told kli it's time to start buying. No emotion, no feeling.

    Joe

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  16. Thanks a lot. I appreciate your words. I have done this, just focusing now on consistincy.

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  17. Proof this market is rigged...bad news is "good" and good news is even better! TXB

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  18. Did you buy phys today? I took a smallish position, but am considering moving auy to phys. Please comment, thanks, Nancy

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  19. not yet nancy ...plenty of time.....at least a month...hehehe

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  20. Kli wish you would have given that topic it's own header.

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