Loading ...If gold goes to $660 it will drag a lot of other commodities lower. Gasoline, Oil, all other metals, lumber steel etc. It would shut down too many US commodity production businesses.
Cheaper imports, and more welfare for non US countries at USA expense.
re part:
“The Government is certainly trying to control things to excess”
Comment:
The gov’t is your neighbor. Story reminds me of too many of our neighbors that have fetishes. They hate SUVs, Hunting, Guns, etc. They gleefully enjoy those traffic lights that mail you a ticket if your front wheel does not make a full stop before turning right on red.
Some of them (disciplinarians) ride slow in the passing lane at the exact speed limit just to control everybody. Some of the bozos also fight for rights of illegal immigrants.
They complain about EVERYTHING and love to punish and control fellow Americans and especially small businesses. They like Animals better than people. Animals can do no wrong.
Ned Davis: $660 gold?
By: John Waggoner October 1, 2014 4:14 p
A client of respected market research firm Ned Davis Research asked the question: If gold follows its 1980s market path, what kind of gold price would we be looking at?
The answer: $660.
Share this image:From the January 1980 peak to the February 1985 trough, gold lost 65.8%, according to a note posted today by John LaFarge, commodity specialist for Ned Davis. So far this cycle, gold is down -35.7% from its August 2011 $1888/oz. peak. If it follows the path of the 1980s bear market, it lands at $660 an ounce.
Gold’s biggest foe back then is the same as it is now: The soaring value of the U.S. dollar. Gold fares best when paper money is losing its value. But the dollar has surged against the euro and the yen, in large part because U.S. interest rates, low as they are, are higher than those of other major countries. And gold, after all, pays no interest or dividends.
To get an idea of how strong U.S. rates are against foreign currencies, consider this: The U.S. Treasury’s 2-year note yields a measly 0.52%. But Germany’s 2-year government note yields -0.09%. In other words you have to pay the German government 0.09% simply to hold your money. So it’s no wonder that money is flowing out of Europe and into the U.S. dollar.
Wouldn’t it pay to be a contrarian and bet against the dollar, and for gold? Not if history is any guide, Ned Davis says. The dollar reacts well to positive sentiment, and those who stand in its way tend to get trampled. “Gold is not worth additional capital at this point. It is oversold, but is trending poorly,” the Ned Davis note says.
Uncle Bernie says he’s an independent, but he constantly rips the repub party in his posts. Not a peep about what loser the Dems are too. He’s effectively hijacked the Independent party platform, what it stands for and tries to confuse issues.
Minimum wage reform for example
I don’t understand how we are suppose to raise minimum wage in this country and not cause inflation. I mean shite, if wages for people that are the lowest common denominator in the workforce goes up… of course I’m raising my hourly rates. But my dumb socialist union loving bro in law thinks everyone deserves better. Just print it and hand it to them you know. I think we need to break the US into new camps. Those who want to work for an honest days wages and those who just want to get by strong arming.
What don’t I get here?? People should get what the free market bears. ANYTIME you impose rules and minimums such as these there’s a cause and effect.
Ok, the last 10 trading days??
a) $5.00
b) $10.00
c)$15.00
d) $20.00
e) $50.00
f) nothing, just flat.
Hope that you picked f) flat.
“However, the bears relentless selling appears to be stalling out. If they are going to smash it some more then why are we stuck in place??”
Best guess is they are just waiting for news, whether good or bad. Then there’s an excuse.
We no longer rally on reports that are USD negative because it’s a given to moronic traders that the Fed will hike rates. Whenever we go sideways as we have now for a week in gold, it resolves to the downside. All they need is news, then they can sell and say see!
I hope I’m wrong as hell, but in my jaded view the boyz just need a reason.
PM shares are OK today, the boyz are just saying, c’mon in, the water’s fine”
A black President from Africa solves africas Ebola problem by bringing Ebola here !
That way the US has to solve Africas problem !
Maybe we can solve Americas problem by sending him to Africa !
There are other considerations…
MACD is crossed up
RSI is well below 50 and its EMA 50
AROON is and has been trend down
HUI is below thick resistance around 250
It has notable support at current levels
A higher low to 2008 is still in place
A trend is a trend until it is broken, and it is down on all time frames
A lot of people think TA sucks because a lot of TA’s try to baffle people with b/s, ascribing greater power to charting than it deserves. Still, it is a handy tool as it irrefutably gave warning signals on the bear market. Signals 1, 2 (which is when NFTRH went into full risk management mode as HUI lost 460 in November of 2012) and 3.
Dial ahead to today. A final and terrible drop may indeed come about. But here again I remind you not to take anyone with just a chart and an overly bullish or overly bearish thesis too seriously. It stimulates the greed and fear response and right now everyone in the gold sector is well gripped in fear. There is much more to any given narrative.
For reference on why charting in a vacuum in not good I trot out to you my one time 888 projection for HUI (I just love owning this one ) based on a pattern that was every bit as bullish as Mr. Fat Head is bearish. Just as I ask you now to take 100 for what it’s worth, I noted the same thing for the 3 Snowmen (888) back then. Targets are just targets/measurements, not directives.
http://www.gold-eagle.com/article/reacquainting-wmr-fat-head…aka-hui-monthly
are just another form of TAX Collection…
Ebola decontam site here please
I knew there was a reason for me NOT to mow the Lawn…..see what you did !
All these problems could have been avoided if Bernanke had decided to use the smaller Banks as competition to the Largest banks instead of trying to save the worst simply because they were big. He should have given each small bank 100 million and told them to keep 5 % for themselves but required to prove they lent out the rest at any interest rate necessary even 1/4 % simply to get the money out there in the private economy.Borrowers could have borrowed to pay off mortgages of high interst rates and would have avoided the whole mortgage crisis.Housing prices would have stayed up without panic dumping on the market .
Smaller banks could then go back to the Fed and repeat the process to get another 5% profit up front and prove they lent out the other 95 %,rinse and repeat until the Mortgage crisis is over and small banks grew larger and big bad banks disappeared with the new competetive enviornment.Bad mortgage lenders would have disappeared including Fannie Mae and nobody would need a bailout.Using the private sector to fix the problem would heve been far better than trying to perpetuate the bad corrupt prictices of big Financials..Big is NOT better !
Liquidity would have been restored to the private sector .The current problem is lack of liquidity and purchasing power in the private sector.
Interest rates would have gone nearly to zero in any case ,the difference is the LIQUITY would be in the HANDS of the PRIVATE sector instead of BIg BANKS.! Thats the DIFFERENCE !
The Administrate says the problem is private sector hoarding of money ! What complete idiots ..Hoarding what money if 50 % are on food stamps ? Academic egg heads or pin heads is more descriptive.
As soon as it attempts to rally, the deluge of sell orders start–I’d like to say it has something to do with the job report–but it’s been going on for a while
Just went out and mowed the lawn…Gold was 1218 bid when i left….now I come back and it has lost 5 bucks on no news, just as the SM has rallied.
Just as Buygold says, the Algo’s push all mkts all day, no matter the news. They reckon they have got the perfect answer, just take the mkts to where, they can keep saying look at the mkts, the world is perfect.
I mean that Fed stooge Hilsenrath, was saying ystdy that Bernanke deserves a Nobel prize, for turning on a black box !!!!!! but you almost have to admire their chutzpah, as they keep fineing the banks for wrong doing, when they are at it 24/7…….then again the fines are probably just their cut.
I need drink.
Cheers.
There seems to be a serious mental disorder among the Administration .they have a excessive compulsive disorder to control other peoples actions including the price of Gold & Silver to excess .It seems some competition to the Dollar was a worry justifably .. but but it wasen’t the fault of the buyers and sellers of metals,they are simply trying to protect themselves and the value of their savings.They were one of the effects of Government mis management not the cause of it.It seems now The administration has lost its sence of proportion of cause and effect so much so that they are in need of psycological assistance .They have fears of excessive Power needs and are Social menace to an orderly society . Every would be Power grabber ,dictator wants to have perfection and engages in compulsive actions on innocent people .
They make life a living hell for decent people who tend to accomadate the excessive behavior to avoid conflect. They need to be called out and exposed for their excesses.They know what they are doing ,but are powerless to control themselves .So the Chief of Staff ,Generals and Cabinet members need to get together and impose controls on the Presidents bad behavior.It takes a Socialpath to want the job to start with so we need to have controls,in place when someone like that gets elected. The Government is certainly trying to control things to excess ,its not necessary and not needed.Competition serves that purpose in a free market.Whoever in the administration is so fearful of losing control that they are so compulsive at the slightest move in precious metals that sends them into a mental reaction to pound down metals unnessarly .Their situation becomes untenable but they don’t have the common sence to resign peacefully .
I can’t take it to the Bank just yet…that is for sure until we get some confirmation. However, the bears relentless selling appears to be stalling out. If they are going to smash it some more then why are we stuck in place??
yeah, this goes on pretty much every single day. I’m convinced that the futures market controls the price action at night until the Crimex opens and the SLV and GLD control the pricing during the day.
SLV especially. There has been a seller of 40-50K shares sitting on the ask all day long every penny up to absorb any and all bids until the bids finally get exhausted.
There is absolutely no reason for pm’s to be down on a day when the USD is finally weak and the SM is down, yet silver can’t hold a bid and gold can’t get past $1219.
The other thing is that the algo’s hit everything at the same time, shares and metals, all at once. It’s a no win game.
As soon as it attempts to rally, the deluge of sell orders start–I’d like to say it has something to do with the job report–but it’s been going on for a while…I just think there are a lot of buyers out there that wanna take PMs up but when they step up to the plate they are met with a deluge of sell-algos
Dec’14 gold–1224.0 1209.1 1217.3—gold has had a $15 range today
“34,000”
That’s looney for sure. How many have ebola? Odds are ….
D’oh!
The person who decided to release him should be forced to have a big sloppy kiss with the patient.
not just that apparently he may be an illegal/on a visitors visa only……..
We haven’t closed our borders either and have just let in @ 34,000 students from West Africa, to return to colledges for the Autumn term !!!!!!!!!
http://www.cis.org/vaughan/dallas-ebola-patient-was-another-visa-mistake
yeah, I want the scum to break too, but not from Ebola either. I don’t think gold will help us in an Ebola breakout. I DO think it would be a convenient excuse for Obama and the neocons to institute martial law though.
The Yen is giving our pm’s every opportunity to rally today, seems like it’s pretty much now or never. We have to break $1220 right here, right now and then maybe we can get some shorts to cover.
I dunno, every time we start to get some traction an endless stream of sellers show up.
hospital released the patient with a prescription // as she had no insurance ..
\
It’s almost incredible that the patient in Dallas was released to go home with just some antibiotics even after they knew he was from Liberia. Amazing!
What was that Einstein said?
“Two things are infinite: the universe and human stupidity; and I’m not sure about the universe.”
― Albert Einstein
Flash from the past. I made a few bucks on Denbury many years ago. 
“Storage” Yes I guess with this method you need your power plant to be close to underground caverns of some sort.
I don’t want this to happen, but Ebola may be the break point for the scum, as it may cause a meltdown in the SM, which not even they can control
100 poss infections in US already !!!!!!!!
http://www.zerohedge.com/news/2014-10-02/doctor-boards-atlanta-flight-hazmat-suit-protest-lying-cdc