Bad Day To Quit Sniffing Glue

Thu, Sep 22, 2011 - 8:41am

It's also a bad day to be traveling, which I am. So I will be out and unavailable all day. I would heartily suggest you stop by the chatroom or "pailin's trading corner" in the forums if you're looking for ongoing discussion.

I can offer you a couple of pieces of advice here:

1) Gold and silver are still your only protection against the madness and chaos.

2) Remember, trading the PMs takes courage. To do it successfully, you have to curb your greed and your fear. The only consistently successful strategy is to sell some when everyone is buying and buy some when everyone is selling.

3) When buying physical, try doing it on a regular and scheduled basis. Sort of like the dollar-cost averaging your stockbroker used to talk about. That way, instead of always buying at the highs, you'll also catch a few lows.

The charts below are only a few minutes old but they are already obsolete. Crazy volatility will do that to you. Be patient. Don't make emotional decisions today. Let this all play out. Ask yourself: "Is QE over? If so, where will all the funding for the massive government deficits come from?"

Hang in there. More this evening. TF

About the Author

turd [at] tfmetalsreport [dot] com ()


Sep 22, 2011 - 8:45am


Donde 'good cop' Chilton? Time for him to appear on tv and make some half-baked comments accompanied by the requisite hand-signals.....

Sep 22, 2011 - 8:45am

Safe travels!

Safe travels!

Sep 22, 2011 - 8:46am

What happens if...

silver breaks through $37?

Sep 22, 2011 - 8:47am

Oh brother

This is tough to watch!!

Sep 22, 2011 - 8:47am

Looner, it just did...

Looner, it just did...

WheelerSilver Looner
Sep 22, 2011 - 8:50am

If Silver breaks through 37..

Look out below. I'm hoping not but if my unbiased non silver working self is talking, yes look out below! We have major support at 33... ouch... but look at it like a SALE!!!


~Handmade Quality Bullion~

Sep 22, 2011 - 8:52am

I really hope ~1740 will

I really hope ~1740 will hold,

Sep 22, 2011 - 8:52am

That's the silver I know.

That's the silver I know. Physical demand, meet JPM papergods. I wonder if Apmex will drop the premiums on those dragons now....

Perfidious Albion
Sep 22, 2011 - 8:52am

Stand &

Stand & deliver.......................................

Sep 22, 2011 - 8:52am

Dry Powder

Sure am glad for DRY POWDER in a case like this. All of the posts regarding that recently were RIGHT, congrats you guys.


~Handmade Quality Bullion~

Sep 22, 2011 - 8:53am

The strong hands for burnt?

The strong hands for burnt? the gold silver ratio is like almost 47 now.....

Sep 22, 2011 - 8:53am

Stock futures down

the /ym futures (DJI) are down 300. Looks like Wall Street is giving Bernank their vote again. Lately, stocks seem to drag the PM with them whichever way they go

Sep 22, 2011 - 8:55am


haven't seen the bottom yet...take some days/ weeks though, depends upon which one yu are talking about....take it iz...

Sep 22, 2011 - 8:55am
Sep 22, 2011 - 8:56am

Gold/Swiss Chart


Your chart showing the reaction of gold to hitting the trendline in Swiss was eyeopening .

It got me out of Gold. Please repost. Thanks

Sep 22, 2011 - 8:57am


Woe is me. I hope we don't land in the basement.

Sep 22, 2011 - 8:57am


Looks like today will be the day we find out if the WB is for real or just a bunch of BS! Silver looks poised to take out $36 here real soon.

Wish I has some dry powder left today, but sadly I do's all stacked up :) Best of luck to all, the end of this ride is going to be hard, hope your ready!

Sep 22, 2011 - 8:58am

Re: Stock futures down...

It seems there is a major wreck up ahead. Choose your lane wisely. I'll go with phys and Pb and personal high velocity Pb delivery systems.

Sep 22, 2011 - 8:59am

Thanks for the reassuring

Thanks for the reassuring words Turd.

Even though the PM are getting pounded now, they still have to be the the long run "safe haven". I'm holding on to my miners and Sprott funds. I may even order some more physical today.

Have a safe trip.

Sep 22, 2011 - 9:00am
argent rampant
Sep 22, 2011 - 9:01am

Follow the big dipper!

Still learning to be patient here. Good news is, the positions I opened yesterday were small and far enough out to recover before expiration. The gooder news is that I have dry powder to buy the dip. However, I will be very cautious before I commit.

Grading myself:

controlling greed: C-

controlling fear: B

Keep smilin'

Sep 22, 2011 - 9:01am


Good to hear from folks this a.m

Guess I will be adding a bit more to the stack here...

Sep 22, 2011 - 9:11am

Today a Gift ?

I am looking at todays developments as a gift from Bernank and Operation Twist, BTFD type of day, or even possibly BUTT (Back Up The Truck) LOL

Sep 22, 2011 - 9:11am

Still rubbing my eyes

just had a look at the gold, silver and copper prices and they are real ( or supposedly real paper prices)

The US $ up bigtime , the canadian loonie down, as for some reason the worlds biggest debtor , who is unable to pay their bills, is the safest place to be?

Some days i just dont get it. Really looks and smells like an engineered push up on the US dollar and a more than gentle push down on the commodities and stock markets.

Asia was red last nite, and i guess that was the signal for the PPT to smash gold and silver today. Not sure what to expect for tomorrow.

Sep 22, 2011 - 9:13am

Update BrotherJohnF

Silver Update 9/21/11 - GATA
Sep 22, 2011 - 9:13am
silver squirrel
Sep 22, 2011 - 9:14am


I seriously thought I wouldn't be able to stack much more after this latest foray into the sub 40's. Heading down to the corner coin shop again today. Winter is coming so must put more away for the long cold spell :)

Sep 22, 2011 - 9:17am

I hate to be negative

But it seems it's fighting to bounce back from $1730s..

It's likely it will go down a bit further to $1705..

Sep 22, 2011 - 9:17am

Silver I think will go all

Silver I think will go all the way down to the 200 day moving average at 35.95. Once we get that out of the way we'll have a firm base from which to launch our attack on 50 later this year. I'm saying end of year price of 51.

We're up against more than the EE in my opinion. We're in a deflationary environment at this moment. This is the real reason that the metallic atoms are struggling. Fear not however, even in true monetary deflation we can have rising prices (which is what most on this board are hoping for).

Here's a quick example of how you achieve rising prices in a monetary deflation:

Lets assume the only good in the economy is apples

In 2010, there are 5 apples in the economy, and 100 dollars in circulation

- Each apple costs 20 dollars

In 2011, there are only 3 apples in circulation, there are 90 dollars in circulation

- Each apple costs 30 dollars

In my simple example above we have production rates falling at a rate that is faster than the money supply is falling, thus rising prices over time.

ANY money printing move that Bernanke makes exerts upward force on prices. For rising prices, money printing is a rocket booster. For falling prices, the printing press is a parachute. As debt levels steadily increase, more and more money is leeched from productive uses, and is instead used to cover debts to keep the machine moving forward. The covering of debts is what causes there to be only 3 apples in 2011, instead of the 5 we had in 2010. The farmer couldnt hire workers to pick those extra 2 apples because he used all of his capital to cover loans that he took out to buy new equipment during the boom phase 5 years ago.

We will remain in deflation until Bernanke stomps the gas pedal so hard that he not only stops the deflation but creates over the top inflation. When this will happen who knows, but I'm sure as shit that it will happen. A deflationary depression pushes debtors. A hyperinflation rewards debtors. Being that we live in a debt based money system, which path do you think the bankers will take? To me its a lock. Just a matter of time. Get your wheel barrows ready.

Sep 22, 2011 - 9:20am


Donate Shop

Get Your Subscriber Benefits

Exclusive discount for silver purchases, and a private iTunes feed for TF Metals Report podcasts!

Key Economic Events Week of 5/20

5/20 7:00 pm ET CGP speech
5/21 10:00 ET Existing Home Sales
5/22 2:00 ET FOMC minutes
5/23 9:45 ET Markit PMIs
5/24 8:30 ET Durable Goods

Key Economic Events Week of 5/13

TWELVE Goon speeches through the week
5/14 8:30 ET Import Price Index
5/15 8:30 ET Retail Sales and Empire State Manu. Idx.
5/15 9:15 ET Cap. Ute. and Ind. Prod.
5/15 10:00 ET Business Inventories
5/16 10:00 ET Housing Starts and Philly Fed
5/17 10:00 ET Consumer Sentiment

Key Economic Events Week of 5/6

5/9 8:30 ET US Trade Deficit
5/9 8:30 ET Producer Price Index (PPI)
5/9 10:00 ET Wholesale Inventories
5/10 8:30 ET Consumer Price Index (CPI)