Saturday, March 13, 2010


As gold and the PM miners go through a consolidation pattern for the past 4months we discuss ad nauseum support and resistance levels. Probably overtrading positions rather than maintaining a solid core and holding cash for evidence of a nice tradable bottom. Alas most of us trying to "maximize" positions and are sick degenrate gamblers.

I want to post a link today that underscores just what a mess the PTB have with gold right now. Its a problem for them and it is not going away. This may also play into a near term move up in gold but time will tell....

From a chart perspective, gold has been building a solid base. It has risen steadily in euro and sterling terms since its late December correction, while dollar-priced gold has been on an upward trend since a dip to 2010 lows in February.

"Clearly gold has been based as something of an insurance policy," said Sean Corrigan, chief investment strategist at Switzerland's Diapason Commodities Management.

And buyers of physical gold, who typically lend strong support to the market, are more comfortable with prices above $1,000 an ounce, dealers say, putting a solid floor in prices.

Now gold has proved it can hold its own in a rising dollar environment, any change in that trend may prove explosive.

"If dollar gold prices manage to hold up under the prior circumstances, how are they going to perform when the U.S. dollar is back under pressure again?" said Klapwijk of GFMS.


  1. I've come to the conclusion that bodybuilding is a waste of time, I'm sick of hitting the gym, eating 5 meals a day, and taking in creatine and amino acid tablets and constantly hydrating. I was out tonight at a bar, and essentially spent all my time pointing people to the bathroom since they assumed I was on staff for security. If I was born 20 years earlier it would be easy, this society sucks. I'm sick of it personally, I think this is just a function of a sick society. This is all just a function of the weak, where attitude gives you leverage unless someone with power calls you on it. BS, nothing more. Just venting, but I could have torched that fucking place by the time I left. This society is screwed, it is all corrupt and cannot be retrieved. - Analyze.

  2. Analyze like many things a purge needs to occur at times. Society is long overdue.

    If you look at gold compared to the Euro it has made a new high.

    I attended a Thai wedding today. Each time I go to one of these events I feel like I am at a drug deal. The amount of cash and gold that is exchanged between the bride and grooms families is amazing.

    If I had know this earlier I would have brought my daughter here and had her marry a thai guy. hehehe

  3. Temo, I agree, I think society reflects the market ponzi. Just like stock prices have gone up on thin air, so have people's attitudes. Generation Y rebellion where everyone feels like they are seconds away from being famous and deserve everything for nothing. Yet they have zero talent. We talk about the law of nature crashing the stock market, really the law of nature will crash society IMO. - Analyze.

  4. Kli, you can delete or edit out my earlier comment, or this entire string for that matter, this is a trading blog and we will keep it to that, commenting on society gets us nowhere in the general scheme of things. - Analyze.

  5. Analyze....the stock marke,society,economy all are intertwined in the Grand Supercycle and their fates will undoubtedly be dealt with in this debasement of humanity. The stock market/economy are only symptoms of the actual problem that Joe refers to when he talks about individual responsibility. We have a complete moral breakdown that must be cleaned. A populace the debates a stated policy of torture to achieve its safety is more bankrupt than its central bank.

  6. Agreed, we are in dark times. To pretend that is not the case is naive. - Analyze.

  7. "If dollar gold prices manage to hold up under the prior circumstances, how are they going to perform when the U.S. dollar is back under pressure again?" said Klapwijk of GFMS.

    Well, if Friday was any indication, gold prices will remain contained when the U.S. dollar is back under pressure. It defies logic but don't most things today?