Wednesday, November 28, 2012

THE PRICE OF APATHY

Black Friday shoppers fight at Wally World
Don't let your dignity or simple acts of decency get in the way of a Christmas bargain in the season of giving is the motto of the "greatest nation". After all it is "bargain time". Pictures of shoppers engaged in frenzied buying makes better copy for the "animal spirits" than pics of people living day to day on food stamps and unsure how they are going to pay for next month's heating bill. To add a touch of irony to the entire macabre scenes during the early holiday shopping season, you get to watch reporters wearing Cashmere coats and designer clothing reporting on hoards of people (whose monthly incomes couldn't pay for the reporter's tie) fighting for chance to purchase an $80 electronic device to play games on. Just look at what we are devolving into. Orwell would probably be shocked at just how quickly his "Orwellian totalitarian state" became reality and then some. Once the ball starts rolling it becomes impossible to predict and control. Even the move towards a globalized state becomes unpredictable and exceedingly more dangerous as the economic deleveraging clock ticks on. Make no mistake we have a rendezvoux with destiny. The next two years are the "hard down" years of the Kress cycle and they will not be kind to the debt bingers and the unprepared in line for flat screens. Many people are getting it however and they tend to be the more bright and more capable members of the society. They know there is a palpable fear but many have just not been able to connect the dots. It will require the washout for enough people to demand change and if they do then eventually it will come.....at least to some degree. Its the "in between" landscape that you will need to navigate.

Look around you at your friends and family. Most are mired in the distractions that have been developed over decades to distract them from the game. They spend 90% of their waking hours absorbed in mundane television programming, video games, sporting events, etc. How many billion dollar professional sports stadiums are there now in the U.S.? How many vampire movies have there been over the past 10 years? Look at the programming.......a vast desert of meaningless feces spread on the screen. Its not what the public demands.....its what the public is force fed. If you think its random, then just try and have a conversation about subjects that you are familiar with like the economy or the military interventions or the presidents of the PIGS.....etc. NO RESPONSE?? Of course there is no response. Pay attention to yourself and to your own. Pay attention to what YOU can do something about!

Back to the Casino. "Shocking" dump at the opening of over 15000 contracts of gold and an equally large amount of silver a little later.....no surprise given the precarious position that headline prices place on fiat AND the risk of bullion bank defaults. Hang tight. The game is going to get a lot rougher than this.




Saturday, November 24, 2012

GREETINGS

The next few weeks will be a time for us to spend with our family and friends. In many ways this site is also part of my family and friends and I give thanks for the priviledge of getting to know many of you through the comments during the past years. As the 120 year mega-cycle enters into the severe deflationary end during the next two years many of you will see and experience events that were thought to be impossible to occur in our controlled economic environment and certainly not entertained on any academic levels in the last 40 years. Some of the readers may be old enough to have lived in the aftermath of the last Great Depression and have sense of just how much it affected the psyche and habits of those that lived through it. That was the result of a 60 year deflationary wave. This will be worse according to many that have studied these cycles and their effects. I maintain that proper preparations and sensible precautions will give you the best opportunity to get through these times. Arrogance and greed will have no benefit to those entering into the next few years of change. It should be hard times ahead but not impossible times. Shed your debt and have sustainable shelter, food, water, and energy.

We have created a complex and interdependent system to support our crowded planet and its urban centers that give us exquisite cuisine, luxurious hotels and apartments. We can walk into shopping districts and buy virtually anything we desire in moderate to large urban centers, but this is also a vulnerability of our system. Simply put.......its crowded. Herein lies danger for the system if there is a breakdown of the JIT delivery of goods and services. Many of our East Coast readers know from first hand experience just how weak the system really is. Imagine a grid or two or three shutting down from a major earthquake or an Electromagnetic event or one of many other potential disasters. We have pushed ourselves into an unsustainable system economically and the cracks are beginning to appear. We will learn lessons from our mistakes and redundancy will be engineered into many of our weaknesses on the other side. You just need to get to the other side. It may be long hard slog for many of us. For those of you with health care issues I want you to try and look at your current access to health care and think about what effect not having access to your doctor or pharmacy for a few months and think what precautions you may need to take. Note that for many now its very hard to get more than a months supply of medication. Look what happened in Mexico when the Swine flu epidemic hit them a few years ago. NO access in many hospitals and ERs and people were dying in waiting rooms and sidewalks outside of hospitals.

We are going to maintain this forum as long as the PTB allow it. We will enter into the final deflationary wave next year. My best guess and its only a guess is they will hold the market until Spring. They have done a pretty good job of printing money over the past three years and most of the developed world is still in fair shape. However the cracks are showing up in many ways now and even the average citizen feels that things are "not right"..... even a foreboding is creeping into the pollyanna populace. Just to make the CONfidence more unstable the PTB have begun a campaign labelled the "fiscal cliff".  I won't speculate for you why they are bringing it into the MSM hourly NOW....but you can go back a couple of years when the same campaign began with the PIIGS.

Metals look like they are going to take them up but as usual it won't be straight up just like we talked about this summer when they came up for that leg. I believe we will get a confirmed buy this week. gl

Thursday, November 22, 2012

A NEW YEAR COMING

New year coming soon little ones
This is one of the big ones. 2013 and 2014....the bottoming of the Great Supercycle.This is where the ponzi gets to meet the cliff. Not the artificially created cliff that CNBS and Bloomberg and all of the MSM repeat hundreds of times daily to the populace....but the real cliff. Not falling off of it but running smack dab into it in a headlong charge to infamy. We are engaged in a kamikaze dive into the abyss. You have a front row seat to this history and you don't really want to miss the last act. This is your chance to catch the last act on the titanic from first class. You get to do it with style and class. Your individual contributions ARE important. You get to create your future and you can't let them create your future for you. YOU get to choose to be an individual. It IS a choice. Despair is a choice. The loss of energy that they want to take out of you with the constant corruption is yours to choose. It is NO accident that you should feel drained and weak, but you don't have to choose that road. Spend your time now living. Repair your relations with family and with neighbors and with friends and coworkers. Remember those better times. If you can recall them, then you can repair them. You are going to need all of these people to make it through the next years a stronger and better individual because that is what you can control.

Time is working against you but there is still enough time to lay the foundation that you want to help yourself and others close to you through a time that they have little idea is coming and no idea how to prepare for. This is not an end of times post since that is Nature's call, not mine. This is simply an economic supercycle event that is going to kick most fat, lazy, stupid people's ass. Unfortunately it is going to also kick some very innocent, hardworking, good people's asses too. Their sin may have been to be in the wrong country at the wrong time. Maybe their sin was believing and working hard in what their parents and teachers instructed them in. In short, you don't get to decide who gets hurt but you will have the opportunity to help some people through the hard times ahead. I believe there is another side after the washout and I do believe that many of you will be making a difference if you choose the correct path of justice and morality. IF you choose to the road less traveled it will be the right road. Symbolism is important and if anyone recognizes the importance of the picture above to our theme then you get two points.

Back to the game. PMs are still in correction with no confirmation of a new uptrend intermediate channel...but it may give a confirmation next week on an importan moving average cross... so keep your fingers crossed. Otherwise you're just an investor schmuck like I am here and sit tight. No shorting right here on PMs. That's my only advice if you are trading. If you're loaded long then you MAY be getting close to daylight. gl all



Tuesday, November 20, 2012

WORM TO TURN

I see silver!
You have to give credit to the masters of the universe. The beatdown and shakeout of the miner trade for the past two years has been masterful. Without this beatdown however I would never have been able to add the physical that they allowed me to accumulate. That was the game. It was always the game. It was always to expel the weak hands from the precious metals trade. Especially the leveraged play in the trade which is the junior mining sector. Its where the next monster move will be as they raise the metal prices, which will be done as the accumulation of the actual physical is the limiting factor for their price suppression. Back to the miners now. Shaking out the weak hands in the miners is the easiest task. It has virtually no downside risk to the cartel since supplying vast amounts of paper can be done easily through a variety of mechanisms. Just look at the all the ETFs to absorb the investment fiat in the miners. Just imagine if those investment dollars were actually going into the stocks of miners. The actual mines would be up exponentially already. Of course they are not, but eventually the market will be determining true price discovery when the game unwinds....and it will. Just be aware that paper is paper and owning common stock through your brokerage does not mean you own the stock certificate. YOUR stock investment is NOT ALLOCATED unless you possess the certificate.

Now let's return to the physical game. This move is starting to reach its next leg up from what appears to be the bottom formed this summer. We should run quickly over 2000/oz in gold and to 50/oz in silver before spring of next year. After this latest consolidation many of the holders will exit with their first hint of profit only to stand on the sidelines as the metal moves out of their trade. The same will be more true with the miners.

Thanking nature?


Some of you have sent me private e-mails regarding the end of days issues and I want to address that again for everyone. I do not have a strong prediction on this. I remain optimistic that we muddle through this with a lot of economic pain and political upheaval.....hopefully falling short of  an apocalyptic conclusion to this ponzi. After watching the dreadful events unfolding in the Middle East and recognizing what we are doing in Iraq, Syria, Afghanistan, Yemen,,,,etc... I become less sanguine regarding muddling through. So with that I say "trade on".....let's maintain our hypocritical game!


Will nature remember?



Sunday, November 18, 2012

2014

miners in spain fighting police in protest of austerity
No...the date is right. As discussed here for several years now.....it is not 2012 but the end of the deflationary supercycle and it confluence with several of the most damaging cycles that will take us all into the abyss economically and politically speaking. These cycles all converge on the end of 2014 and they will have their due......whether the Bernank or you like it. Just look at what is already occurring across Europe. It is truly becoming chaotic and a virtual daily circus of politicians and technocrats pronouncing the next new fix, when in fact the only fix they truly are going to implement is printing money through the ECB and the FED. Just look at the below clip this weekend from the Daily Mail.

Spanish miners fight furious battles with riot police as they protest austerity cuts to coal subsides

  • Nationwide strike organised by unions bitterly opposed to reductions in coal subsidies from €300 million to €110 million
  • Protesters set up barricades of burning tyres and launched home-made rockets at groups of riot police
  • Economic stagnation has pushed Spain's unemployment rate to above 24 per cent, the highest in the European Union
  • Prime Minister Mariano Rajoy said the country will stick to harsh austerity measures

Greece is going down into the abyss


Sounds to me like a problem here. On the other hand many of you recall the debates in 2008 that we all engaged in on whether we would actually break down into this type of chaos. Pundits pounded the table everyday on MSM outlets applauding the Fed's ability to control this very type of collapse by using all of their "tools" to keep the economy growing. Well the jury is no longer out. We're entering the "next phase". Will this deflationary washout deliver the promised reset and return to growth after it occurs or will it lead to something more ominous as the last deflationary cycle delivered in the 30's ie WAR! ?? Stay tuned because NO ONE knows. Violations of nature's law and the moral decay that ensues usually results in collapse....NOT JUST ECONOMICALLY but morally... as anyone that has their eyes open is already able to see in this country. Just look at the headlines on our "Generals". Aren't you proud? I know I want to wear two of those lapel flag pins to show my support for the "Generals".

We are all being slowly stripped of our collective and individual decencies. Its all being accelerated to prepare for the next phase. This is why the emphasis now is not to argue about whether we can just profit from the market but what do we do to preserve what is left of our own moral centers. What can we do as individuals to contribute in a "pay it forward" manner to help people that are struggling with this supercycle event.  I don't argue with people any longer about the future if they cannot see it after I give them just a few examples of the game......then they never will and I did try.....Last advice.....Keep your eyes on the sun. gl all

How unfortunate and how narrowing a thing it is for a man to have wealth who makes a god of it instead of a servant.
-Mark Twain in Open Letter to Commodore Vanderbilt, 1869



Thursday, November 15, 2012

DESPAIR

Images of despair and fear are rising faster than General Petraeus at a biography interview. Europe can no longer contain the economic damage with just bandaid monetary rumors and maneuvers. Its open wounds are beginning to ooze pus.....copious amounts of pus. The entire sordid mess called the Eurozone is starting to hemorrhage rapidly as it appears to be breaking apart at an ever accelerating rate. If the current demonstrations across Europe don't set off alarm bells with the pols and the cartel then you can begin heading to your bugout shelters soon. Hopefully another monetizing technique will be employed to slow the disintegration down but time is getting shorter and shorter. Middle East tensions provide some diversion for the peeps but unless we get all out war nothing short of an all out ECB printing frenzy will slow the fires of desparation burning across Europe. Maybe things aren't as bad in Germany, France, Brussels and other northern "states" but they are VERY aware of what has transpired in Spain, Italy, Greece, and Portugal and they know the contagion is coming to them soon. Its analogous to a leper at a nudist colony. You may want your fellow nudist to believe that you don't have the disease but it just not that easy to hide it anymore.The fear is growing and the numbers now on the streets are exploding. They know.
Rome yesterday
  We are well past the crossroads now. Printing will need to be expanded soon or a death spiral will rapidly develop. If the death spiral begins then the central planners will need to create a massive diversion. What that might be I'll leave up to you. If no diversion then blood on the streets will be the next step. That would be my first choice if I were in their place. It might succeed but it essentially will result in some type of marshal law across the Eurozone first. Once violence escalates in the streets then the police will respond with brutal force and impose internet/social media restrictions AND curfews. You can call it end days but it may serve to stabilize the collapse at least temporarily. Time is precious now so make sure to enjoy it everyday.

Paper beatdown is necessary now before the real fear begins and paper is exposed so spend your time accumulating.gl all


Wednesday, November 14, 2012

"AND THIS TIME ITS LEGAL"

"Why Johnny Ringo.....you look like somebody just walked all over your grave"
As if to place an exclamation mark on art imitating life the boyz slaughtered the hapless longs in the PM trade today. Using a series of bullish technical formations and fundamental stories as bait for the hungry PM longs the ambush was sprung today with a horrific massacre of the PM equities. Like the bullet from Doc Holliday that dropped Johnny Ringo so went the margin calls on the momo miner longs. Now don't misunderstand me, I still like the trade longer term but no one can deny that today provided some serious damage to the technical picture in miners. Of course noteworthy was the performance of the spot metal price holding its own in a severely bearish market move. THAT IS WHY YOU STACK. However many of us like to play in the casino with our paper and today was discouraging. 

Back to reality. It IS legal because THEY CAN. THEY are the house and they ARE THE LAW. You see.......this is collusion between the cartel and the gov......so don't be surprised and save yourself some anguish and accept the house rules. THEY ARE THE HOUSE RULES. You have been warned on this blog that you are in their casino. Now having made these statements I want to make another statement that you may find contradictory but I don't intend it to be. Even though they have seemingly no limitations to their power in this trade I would have to take some exception. THEY do have limitations. Yes......the same old worn out limitation......NATURE. You see....nature is not making anymore gold. A lot of very smart money knows this and they are accumulating physical just as fast as the cartel beats it down. In fact they aid in the beatdowns of the physical price. YOU SEE......there are more players in this game than us little retail sheeple. Of course the cartel still owns a monstrous amount of physical gold......(BUT NOT SILVER)...and they will only part will a limited amount of their physical even though they have and will continue to lease many times more than they control.....but most people will NEVER SEE THAT PAPER PHYSICAL......NEVER EVER! In fact in many cases if you read the fine print its EVEN LEGAL.....many people that believe they own allocated physical will either be left holding air OR they will be paid off in fiat. Fiat that may be virtually worthless compared to the metal they thought they owned. . My hypocrisy only goes so far.  Doc Holliday to Wyatt.  Of course for the Cartel there is NO "to far"....that is where the sheep always stumble believing they might have a limit to their evil. ......Once again I want to remind you the Law of Nature does limit them so have patience. 

Tuesday, November 13, 2012

BUCK UP SISSY BOYS

I was purusing some of the comments on other sites today and realized there aren't any answers, but there are an incredible chit pile of questions. Enough that it really starts to overwhelm you if you feel like you want to be responsible for your future or at least attempt to. WELL SORRY BUCKAROO!!!But there ain't gonna be no answers! This mess has taken years to develop and it damn well may take years to unwind. Your central planners are pushing this out to the extreme in an attempt to plug in just the right sequence of variable that unlock the the ultimate variable sequence equation to solve this 1.4 Quadrillion dollar ponzi. Yes.......I did say ponzi and I did not say it for hyperbole........you are waking up every morning on another Groundhog day nightmare ponzifochingdouchebag of a nightmare. Stephen Leeb was on KWN today and said   " I would also add that this period in front of us is probably going to be the most frightening period of my lifetime, and I’ve been around, and I can tell you the way for investors to weather this storm is going to be through the gold and silver space.”
I've known Leeb for years and he's a Wall Street equities guy.......NOT a PM guy.....so you know the SHTF scenario must be scaring the chit out of these guys.

I'm in the camp that it may take place but SO WHAT. You can only take the steps we've talked about and take care of the things that matter in life.......BECAUSE ONE THING IS FOR SURE!!!! NONE OF US ARE GETTIN' OUT OF THIS GAME ALIVE!! (sorry Jim Morrison)

So here we are. I can only speak for myself and I will tell you I plan on getting through this stronger than I was before and doing the best job I can to help my family and others through to the other side. I know there will be more than just bumps ahead but there are going to be some damn fine times in there too. I can tell you from my own personal discussions with Depression survivors that not everyone was destroyed physically and/or mentally by those trials. Many people found out what their souls were really made of. Hopefully many of you will too. I knew I said Wednesday but I found some time tonight. You're in an obvious consolidation from the move up over the latter part of the summer. That move was way overbot and I mentioned that numerous times. Trading it would have been nice if you made it but holding will be just fine in a few months. Don't be a sissy boy......this is life and you're in the middle of one big historic meltdown.....so LIVE IT UP! Don't let the scumbags suck you dry......gl in your trading.........carts to follow

Sunday, November 11, 2012

TIME IS THE ULTIMATE COMMODITY

We are nearing a day of reckoning and a some of us are feeling the pressure of time on our preparations for that ultimate meeting with the Kress Cycle. I received an E mail from one of you expressing concern that they may not be prepared for the next stage of the "economic crisis" or the "fiscal cliff" as the media is now calling it. I must admit that the CONSTANT pounding of the "fiscal cliff" makes me smile as I recount the endless reassurances in the past that have been the hallmark of our politicians and bankers.  Every time a voice of fiscal reason sounded an alarm in 2007 or 2008 they were shouted down by the Fedspeak soldiers and castigated as doomers. As we entered the "recovery phase" during the last three years every voice of economic reason questioning the lack of fiscal restraint was told they were hindering the "recovery". If you questioned the constant and every increasing manipulation of economic statistics and the market itself you were attacked. Many of you can recall Red, Joe, myself and others discussing the Kress cycle and the phases that we would enter. Most of you are wondering where we are now in the Kress cycle and its impact on your real lives as we enter the hard down phase of the cycle. If you recall over the last several years I have said there would be a phase of stagflation withing the deflationary collapse of the economy. My simple view was that the stagflationary effect of increasingly higher prices of essentials would be the limiting factor on the Fed printing that was going to be behind the the "recovery" phase going into the final hard down years of 2013-2015.
Will he protect the constitution?
The election cycle needed to be completed with the current administration left as intact as possible for the bankers to complete the final hard down phase, thus guaranteeing as much control as possible. This is why Obama's reelection was predictable. SHOULD YOU PULL ALL YOUR PAPER INVESTMENTS AND GO TO PHYSICAL?  I cannot tell you that answer because it really depends on a number of factors that are not available to me AND quite frankly I do NOT KNOW the course the "true power" is going to pick. I can guess at probabilities and take precautions. For instance...you need some paper available "under your mattress"........you need physical gold and silver IN YOUR POSSESSION......you need to pay down as much debt as possible and shore up all unnecessary expenditures that are NOT true necessities. I am truly sorry for our New York readers but they may be LUCKIEST ONES ON THIS BLOG. They have the advantage now to fully comprehend just how fragile this entire JIT delivery system is with its urbancentric emphasis. They know that Red wasn't just trying to frighten you with his warnings that the entire ponzi is hanging by a thread and you now know what I am trying to tell you when I talk about the control NATURE exerts on the entire game. DO NOT PANIC....just keep making the simple preparations above......accumulating cash...storeable food.....water purification.....bug out avenues and contingencies. I believe that we will get through this and I believe the U.S. is still survivable for us. Your job is to keep your strength for yourself, your family, and your friends. Some of you are probably being viewed a little differently by the very people that questioned and ridiculed your crazy proclamations that the "game was rigged".....so use your new found capital to help maintain their morale and their own awareness. Without that awareness then the next steps in change from within ourselves cannot occur. Don't forget most of us helped get ourselves into this mess.


 Will we be able to reverse the damage done to our rights by the same people that told you we needed to fight a war on terror by invading a country that had nothing to do with terror and occupying another country that had been effectively destroyed in one month??? Sorry to tell you the simple fact is NOT without a lot of pain and sacrifice. That's what true freedom means. A lot of people believe that simple phrases make you a patriot, unfortunately that is what has helped get us into this situation. We are an empire NOT a country trying to defend itself from "terror". Oh...there is terror alright.....most of created right here. Never forget the Rahm line...NEVER let a good crisis go to waste.  Our purpose is to try and make us all aware of the game AND the options that you have to improve your chances of survival and maybe even make a little coin. Keep your eyes and ears open and try to think for yourself. Quit swallowing the red pill. You have been told what the game is now use that knowledge.