Fear, Panic & Capitulation
Sounds like the perfect day for another TFMR Hat Contest!!!
Look, you can sit there and worry all you want. Santa's been warning you for days that things were about to get hairy. I warned you last Friday that, with the Chinese New Year, paper selloffs were bound to be more successful this week. The PM "markets" have now been driven to the same extreme oversold levels that we've seen at almost all of the bottoms/lows in the past. Though there may still be some follow-through selling as the momos attempt to take out $1600, who cares? What are you going to do? Convert your metal back into fiat? And if you do, which one? The Pig? The Euro or by extension, the Swissie? How about the yen? That'd be fun.
It all comes down to courage of conviction. Do you believe your own logic and analysis or do you believe CNBS? Do you trust your instincts or do you trust The Fed? I know you get tired of hearing it but here goes (again): You are being presented with a gift. That you can continue to accumulate physical gold and silver at $1600 and $30 is simply astonishing. Let The Forces of Darkness do their evil bidding. Five years from now, a day like today will be long forgotten. Meaningless unless you acted upon your beliefs and used this weakness to add to your stack.
Blast away of you want. If you need to vent, knock yourself out. Call me whatever you'd like, if that makes you feel better. But I do my best to keep everyone grounded. For example, we knew that at 98,000+ Cartel shorts, the silver market was likely going to get pounded. And it has. And without Asian demand in London propping up the physical market, paper shenanigans would rule the day. And so it's been. But this, too, will soon pass. Gold isn't going to $1500 and silver isn't going to break down through $26. And even if it does, who cares? If you're long and on margin (which I've cautioned you against for over a year now), then you obviously care. But again I ask you...Two years from now...Three years from now...Five years from now, none of this will have mattered. The only way you will recall this day is if you go full Gordon Brown and dump everything. Caught unprepared and buried in worthless fiat, you'll likely remember this day until the day you pass from this earth.
So, where are we? Well, I just checked and I see that, since I've been typing, gold has traded all the way down to $1596.70 and silver reached $29.73. They've since recovered a bit. That ought to do it. Maybe a retest or a slightly lower low over the 3-day weekend but things are now so deeply oversold that we've probably seen the worst of it. I could go on but I'm getting bored with it all, so, here are your charts. First, gold. Note the daily RSI and the presence of long-term support just below $1600.
And here is silver. Note that the long-term, primary trend that dates back to 2008 is in the vicinity of $29. Also note how many times The Bad Guys were unsuccessful at breaking it down through $30 late last year.
And here's a bonus weekly chart for you, created by Turdite "Mantis". Nice, simple, straightforward and easy to interpret.
Finally...The Hat Contest. Let's see, there is certainly no shortage of sages out there predicting big things by March, Santa being one of the most prominent. You've also got an abundance of mercurial newsletter writers predicting lower prices, instead. Keeping in mind that I've been
wrong delayed for months, I am once again optimistic that finally some of my "explosive & historic" developments will begin to show themselves in the next six weeks. So, what do you think? The Contest will once again have two categories, gold and silver. Your task is to accurately forecast the closing price of silver and gold on Friday, March 29. This will be the price indicated by the Kitco charts on the homepage when the Globex closes at 5:15 NY time. (When guessing, you might keep in mind that FND for the April13 gold is 3/28.) Please use this thread for your guesses. I will close it to further comments/guesses at 6:00 pm EST on Sunday.
So, anyway, I don't know what else to tell you today besides hang in there and try to keep your eye on the big picture. PLEASE do not convert your metal back into fiat. Just hang in there, stay focused and continue to prepare for the inevitable.
p.s. Sorry to sound like a shill but what the heck...If you're looking to btfd, these are awful perdy...https://www.silverbulletsilvershield.com/freedom-girl-one-ounce-medallion.html?___store=silverbulletsilvershield_en&acc=b53b3a3d6ab90ce0268229151c9bde11
And if you register as a member today so that you can enter The Contest, please relax when you don't immediately see your guess appear in the comments. All new member accounts get moderated until I approve them. It's set up this way so that we can keep out spam, etc. I will edit and approve as quickly as possible. Thanks for you patience.