Gold & Silver sell off - can you make any sense out of this?

reply to post by CosmicCitizen

I pretty much agree with that it doesn't surprise me at all to see across the board drops like this. I do think it's mainly the leverage coming out of the commodities that is causing them to fall. I've always been more on the deflation side of the inflationista/deflationist debate, mainly because we have already experienced the inflation in many asset classes.

I cant believe how stupid People are. Gold and silver have to be mined, and are in short supply. Dollars are printed, never a short supply, unlimited really. So why would anyone want dollars, that the fed can, and is flooding onto the global market. I predict the dollar will collapse, metals will soar, as soon as People brain up.

1) Global financial collapse...
2) You come to me offering gold or silver for food, I turn you down flat...

ANSWER: They are worthless too...

the government has declared all gold to be the cause of global warming. they'll take it off your hands to..errr..insure it doesn't cause any more damage.

*sarcasm end*

but seriously, they're probably going to seize everyone's gold in a last ditch effort to keep the nation afloat. the titanic is sinking, and they're claiming the life rafts.

btw. people thinking gold will protect them in the case of an economic collapse, you're wrong.

"how much is an ounce of gold worth?" i ask..they reply "it's worth $1500 and climbing!" "1500 what? you're not talking 1500 dollars that you're predicting will fail, are you? because that would be silly."

trade that paper in for guns and food. gold will be completely worthless. it's heavy, ugly, and almost completely useless.

it's about time that this darn gold bubble started to deflate. The gold bubble is just like all the other bubbles in the market, they build it up and then wonder why they burst. However that being said, if one wanted to get into gold and still thinks it might reach $2000 by next year, then buy while it's down. (not giving financial advice, markets are risky, do your own research)

Gold/silver = the last vestiges of our failing economic system. They've buggered up pretty much everything else, so now they're going to have a go at that. Once that's FUBAR and they've sucked dry the available pockets, you'd best lock-n-;load because the gig will be up, so to speak.

The reason is hypothetical ownership of gold as collateral by many creditors and layers of creditors.

See thread:
Gold "Rehypothecation" Unwind: HSBC (custodian of GLD) sues MF Glbl for gold owned by many

The subtle message is that GLD isn't backed by direct ownership of physical gold.

Also the EU is not stupid, they're not going to print euros like the Fed prints dollars. Once the Fed didn't mention QE3 and the EU indicated they won't print their way out, the speculative value of gold dropped.

Originally posted by Rigel Kent
Where is OBE1 when you need him LOL

Relax folks. How many times in the past 10 years have the naysayers called an end to the bull market ?. Just 3 months ago (3rd week of September) Gold corrected 10% across two sessions - from $1819 to $1631.

Bull markets don't end with a whimper after a prolonged sideways chop - they go-out in a blazing frenzy of buying activity...an orgasmic crescendo of escalating prices (my best Gartman impersonation )

Buy the dips stupid ! - not you RK...just a manner of speech

Cheerio !

Originally posted by conspiracytheoristIAM
reply to post by Rigel Kent

 

I agree ! How can gold and silver plummet, when they're one of the few assets that will have a value after a global market crash.....which seems to be hinged on the Euro zone failing first. I've got some and won't be selling off....seems like a panic is being created so the big guys can buy in cheap??

yup...it sounds insane..but big traders are getting margin calls and are selling gold to raise cash to meet margin calls

all commodities are getting slammed as people rush into ponzi fiat dollars


when you see massive liquidations like this..that is when you folks on the sidelines should be putting your fiat money to work

anyone can buy the highs..how many can buy the deep pullbacks?

loads of CNBC bashing of gold the last few days..they are trying to sell people on the idea of dumping all their gold

meanwhile 1% of population actually OWNS physical gold and silver in the USA

LMFAO

Fade Alf Field at your own peril.

Respectful, humble, unassuming - and when applying wave theory to precious metals...his record speaks for itself.

Alf Field Calls for $158 Silver

Alf essentially retired from writing in 2008 and since he remains a little known commodity outside of the hard core PM community - I'll include a link to his archived reports. For a detailed explanation of his recent Silver analysis click - New EW Silver Discovery - 31 January 2012

When Alf Field speaks - people really do listen.

Not to worry. Even though this is not New York - fuggedaboutit. Do your charting using the MACD and Ichimoku indicators. We're still bullish.