Sunday, February 26, 2017

THE DARKEST HOUR IS JUST BEFORE THE DAWN

We are on the cusp of an epic move in the precious metals. How do I know that? I don't. Not really a clue actually. I just pulled the headline out of my ass like a lot of KWN salacious headlines. By the way KWN has excellent guests but Eric does take liberties with his headlines. 

Everyone in the metals trade is on edge. After years of manipulation we had a massive bull run for four months with no significant pullback for the scared investors to buy in. It just went straight up in the miners until we were oversold on the weeklies for a one month correction then soared again. You know the story. Most traders that held had 4, 6 even 12 baggers on some of these beaten down paper trades. 




Do I know if miners are going up this week? NO. Do I think they are going up this week? No. The only think I believe is they will be going up in response to a number of factors that I have no control of. I do believe they are in a long term bull market now but it is going to be the hardest bull for you to ride you can imagine. In the end a lot of money will be made on these pigs if you stayed on the ride and if they keep the casino open. 

You can do this honey!


That will be the trick. To keep the casino open. Again, I have no answer for that. They may very well shut this game down with almost no warning for you. Risk is everywhere so be forewarned, playing in this game will be like no other time and at some point you need a plan to get out the door with your chips.

Last year I believed they would do what they did with the shares by letting no one in on the trade without a pullback and I gained most of the move and even with the pullback at the end of the year had a triple in my portfolio. I hope this year has a great bull run for all of you but it will not be without pain. Sell rips buy dips.









Saturday, February 18, 2017

I INHERITED A MESS!

As your President, it troubles me to come to you, the American people and tell you what our country faces in the days to come and how we got to where we are today. 

First of all, things are not what they seem. Many of you feel that something just isn't right, but you aren't able to identify what the problems are based on the statistics given to you by the financial media regarding our economy. Frankly you are correct. Let me give you the background as I understand it.


An Epic Battle Is Looming
James Turk: 
 “
Get ready for something spectacular, Eric. An epic battle is brewing in silver, and it is likely to be fully underway before the end of this week…


Our country made a deal with the devil after the 2008 economic crisis. We were controlled by a bunch of self dealing pedophile scumbags. A deal was struck with all of the World's Central Banks to prevent a deflationary cleansing by a coordinated printing of the Euro, the Dollar, and the Yen and then dispersing them into the largest banks by buying their securities that were worth perhaps 4 cents on the dollar for their full face amount. 



What ensued was a calamitous change in fundamental economic principles with a mountain of worthless debt being transformed into a mega mountain of debt. We bought not only worthless bank securities, but we began buying government debt, then commercial debt. Hell these bone smokers even bought common stock shares, while shorting gold and silver prices. We knew we had to create an illusion of recovery while keeping interest rates at zero. 


Barrons: Ominous Warning From Michael Belkin May Foreshadow A Stock Market Collapse


We basically destroyed free markets and price discovery. We chose to save the Wall Street gamblers and banks and sold the middle class and savers down the river. We chose the winners and losers. We chose stocks like Tesla, and Amazon, and Netflix, and Facebook to pour endless printed dollars into. Competitors were unable to obtain zero money loans to create a level playing field. We printed more money to pour into non productive areas of a bloated health care delivery system. Essentially what we did was destroy any semblance of capitalism.



Just about every statistic you've been given on our economy over the past 8 years has been a lie to some degree. We can't raise rates significantly or our debt will implode. We are screwed!!!!

Hmmmmm.... Do ya think that's what the speech is gonna be?..... Nah.....Its gonna be I'm gonna make America great again and we're gonna have tax cuts and spend trillions on infrastructure. We're gonna have the greatest military there is and we're gonna spend spend spend. 

My take on the miners is they may pull back hard during the next couple of weeks but it will be a buying opportunity if they do. Patience this year will be the only way to stay in what I think will be the only sane paper sector to bet on. Volume on the miners should pick up as the general equities correct this spring. Money managers will flood out of FANG stocks into safe havens and even the dumbest of these assholes will figure out where the flow is going for "safety"/ PAYOFF! .... gl to you all





Sunday, February 12, 2017

ITS BEEN ONE HELLUVA PARTY

You cannot deny it. Its been a helluva run. We went on an unprecedented 50 year spending binge using an unbacked fiat currency that could be printed at will to purchase the precious resources and services from hundreds of countries held captive by the largest military ever constructed. If you were one of these countries that figured out you were being handed counterfeit fiat and tried to obtain an "alternative", you were designated and "enemy of the state", demonized, and destroyed.


“George Tenet Award” to Crown Prince Mohammed bin Nayef 
                        New boss same as the old boss?

Please note that after the destruction another phase of resource theft ALWAYS occurred and that was the collection of tens of thousands of the destroyed country's "best and brightest". The "human resource" extracted from the country insured the country would remain weakened and allowed our multinational corporations to gain control of valuable and cheaper labor. So diabolical yet its simplicity was its genius. "Who would eva believe it"?  And of course most Americans sitting in their living rooms every night, eating their GMO infused meal and watching Brian Williams, wearing his GQ safari jacket, reporting from remote sites of our involvement in the rape of some developing country and you never had a clue. 




American exceptionalism was fed to them like slop to pigs. The wallowed in their ignorance and waved their flags while the global slaughter spread across a hundred countries. Never once did they even pause to wonder why we were killing millions of women and children in cities that were halfway around the globe and no threat to us. They just swallowed the slop fed to them by corrupt politicians and multimillionaires pretending to be "fair and balanced" journalists. More slop please. Just give me my pension. Just give me my free prescriptions. Just give me free health care. Just give me my EBT card. Just give me my farm subsidy (one of my favorites) . Moar bread and circus. I could go on but why bother no one really cares. Just get us through the next few years and someone will figure a way out.

Maybe they'll find a way out but probably not the way you hope. The only way out of this on the course that we are presently on is finding its natural resolution... and that will be very unpalatable to most of us. A very nice party it was. It was fun for some of us. Unfortunately its time to pay.









Sunday, February 5, 2017

SPEED KILLS

The Law of Nature has a big problem just ahead. Its called speed. Speed kills. The velocity of money that has always been the problem for the elite. Trumpflation is coming. With Trumpflation will come jobs. With Trumpflation will come higher wages. With Trumpflation will come higher costs of imported goods. By the way guess where most of the "stuff" we buy comes from? With Trumpflation will come a declining dollar. With Trumpflation will come an expanding National debt. With Trumpflation will come higher interest rates.


Embry – Criminal Banks & Commercials Now Short A Mind-Blowing Nearly 1 Billion Ounces Of Silver At The Comex!


All of these changes may begin taking place this year, even over the next six months we might see these changes exerting their effects on the real economy. I remember discussing on a Yahoo message board and on this blog that gold and miners were the place to invest after the collapse of 2008. I remember like yesterday stating that gold would do very well in deflation/inflation/WORSENING stagflation. I remember stating we were heading directly into stagflation. I remember stating the only economic environment that gold and miners did NOT perform well in was slow growth AND low inflation. Guess what picture the true power painted. Slow growth and low inflation. 


ALERT: Hedge Fund Legend & Multi-Billionaire Stanley Druckenmiller Just Bought Back His Entire Gold Position!





Stagflation indeed occurred and still is in force. What the true power was able to do was create a an illusion of 2% annual GDP and 1% inflation with improving NFP improvement. All of the headline numbers were a lie to create and illusion to maintain the illusion the fiat dollar and other currencies had value and could hold value against the ONLY competing store of value and that was of course GOLD. It worked. It really is that simple. IT WORKED. But at what cost? There's always a cost. In this case the costs were immense but I just want to speak to a couple of costs.




We expanded the debt on our sovereign balance sheets and our private corporate sheets (eg see share repurchases). We blew up our medicare/social security/EBT etc. Promises we can never keep up in the future. We kept the interest rates at zero and destroyed the retirement funds across the nation and made them basically Bernie Madoff Ponzi pumps.

Now we will see the collision of CONfidence loss and velocity of money. Velocity of money will begin this year to increase with Trumpflation. Chaos will precede AND follow this phenomenon. You must have patience this year, but I think in hindsight it will appear to happen very fast this year. gl