Getting Out of Hand

204
Thu, Dec 20, 2012 - 10:09am

Well, what are ya gonna do? I suppose you can be angry with me and everyone else because I certainly don't know of anyone who saw this coming. But the thing has taken on a life of its own now and there's really nothing anyone can do about it.

Would it be worth the time to sit here and bang out all of the reasons again why you own precious metal? Do I need to discuss the fundamentals again and all of the attendant rationale for doing what we do? Nah. Probably not. You've heard it so many times now I'm sure you could repeat everything in your sleep.

I could probably tell you about the short-term technicals and how oversold they are. Just a couple of days ago I mentioned that major selloffs typically don't begin from the oversold levels we were at then. And now look at things!

Maybe I should even waste a few moments going over the physical demand in London and how this will, inevitably, turn paper price around, lead to a stabilization and then a rebound. I could do that but why? You already know that.

In the end, this is nothing new. We saw this in May of 2011. We saw it in September of 2011 and again in December of last year. We saw it in February of this year, too. The metals rally. The Cartels sell all the way up by creating unlimited amounts of unbacked, paper shorts. Eventually, the rally runs out of steam. Some profit-taking ensues. The Cartels give things a shove and down she goes. Soon, the momo-chasing HFTs take over and really drive price down. Into this selling, The Cartels cover nearly all of the shorts they created on the way up until, presto/chango, we are right back to where we started.

Wash. Rinse. Repeat.

Only two things can possibly break this cycle:

  1. The toothless, hapless and corrupt commissioners of the CFTC will, one day, have to act upon the undeniable evidence before them. (Don't hold your breath.)
  2. Physical depletion continues until the market simply breaks. (And this is where we come in.)

Your job today is to relax. Yes, this manufactured event will likely continue but it will also end in the same way the other manufactured corrections have ended. Soon, there will be a very sharp, snap-back rally. It will emerge suddenly and catch traders by surprise. That rally will run out of steam and the shorts will attempt to re-assert themselves. Price will dive again but, ultimately, fail to make significant new lows. From there, a double or reverse H&S bottom will form and price will begin to recover.

In the meantime, head down to your local coin shop and add to your stack today (if they'll actually sell to you at these discounted prices). The only way we can be assured of victory is by taking action ourselves. The fraud that is the CFTC cannot be counted on to help us. Only we can help us.

Keep the faith. Persevere. Be strong and BTFD (again).

TF

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silverwood
Dec 20, 2012 - 2:24pm

Let's hope the Mayan got it right

To quote Hugo Salinas Price "Fiat money is the child of the arrogance of human intellect, which has sought to invalidate the laws of human nature which have regarded the precious metals as money for thousands of years, and sought to substitute an intellectual construct for the real thing." And building on rowdyboy's end game post in 2012 we saw all of this, mortgage fraud, banking fraud, derivatives fraud, stock fraud, fiat money/debt fraud, Comex fraud, LIBOR fraud, hypothecation/rehypothecation fraud, voting fraud, mainstream media fraud, labor statistics fraud, CPI fraud, anthropogenic global warming fraud, carbon credit fraud, weather war, currency war, gold war, trade war, cyber war, info war, proxy war in ME, police state, spy chips, surveillance grid, fiat law, fiat healthcare, gun grab happening during the year. Let's hope the Mayans got it right and 12/21/12 marks the end of the world as we know it. So let us all hope that 2013 will be the beginning of a new paradigm where people become awakened to usher in an new golden age. Mele Kalikimaka

Maximillion
Dec 20, 2012 - 2:19pm

Blimey, has the price stopped dropping already?

Guess that drop will have lowered the number of longs! Only problem for TPTB now is how to stop new buyers? Oh, hang on a mo, I forgot, the mints stopped selling real stuff til Jan, how convenient LOL. Come on Blythe, smash it some more, if you dare:-(?

Karankawa
Dec 20, 2012 - 2:07pm
GS_PHYSBeastly Stack
Dec 20, 2012 - 1:54pm

Hey Beast, That was good

Hey Beast,

That was good trade.

I would like to follow your trades. Willl keep tab. Hope you are right...!!!

my mothers keeperAnonymous
Dec 20, 2012 - 1:52pm

30-year cup and handle criteria question

i've looked around and haven't found a definitive guide to the correct criteria for a cup and handle...can someone here 'splain it? what are the guidelines? thank you in advance. litf

Nico Romanov
Dec 20, 2012 - 1:52pm

Getting Out of Hand

Getting Out of Hand Thursday, December 20, 2012 at 10:09 am

"Well, what are ya gonna do? I suppose you can be angry with me and everyone else because I certainly don't know of anyone who saw this coming."

Well I do. Eric Hadik predicted a low for gold of 1633. some time ago by Dec. 24 or 26, still not a bad call. Also predicted the previous high near 1800. well in advance, then a decline.

Key Economic Events Week of 5/25

5/26 8:30 ET Chicago Fed
5/26 10:00 ET Consumer Confidence
5/27 2:00 ET Fed Beige Book
5/28 8:30 ET Q2 GDP 2nd guess
5/28 8:30 ET Durable Goods
5/29 8:30 ET Pers Inc and Cons Spend
5/29 8:30 ET Core Inflation
5/29 9:45 ET Chicago PMI

rowdyboy
Dec 20, 2012 - 1:50pm

Endgame?

endgame?

mortgage fraud, banking fraud, derivatives fraud, stock fraud, fiat money/debt fraud, Comex fraud, LIBOR fraud, hypothecation/rehypothecation fraud, voting fraud, mainstream media fraud, labor statistics fraud, CPI fraud, anthropogenic global warming fraud, carbon credit fraud, weather war, currency war, gold war, trade war, cyber war, info war, proxy war in ME, police state, spy chips, surveillance grid, fiat law, fiat healthcare, gun grab

...or coincidental?

Excalibur
Dec 20, 2012 - 1:47pm
sideshow03
Dec 20, 2012 - 1:42pm

@treefrog

I thought the same thing yesterday....

treefrog
Dec 20, 2012 - 1:35pm

i smell a bottom!

if i'm right, it's bad news and good news

the bad news is that bottoms usually smell like shit

the good news is that we stop going down and (maybe) begin to recover.

since about 11:30/11:45 est, metals and miners have stopped going down. some are just going sideways, some are moving up. i smell a bottom. i'm not yet sure that i see one.

"waiting will fill" -v.m smith

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Key Economic Events Week of 5/25

5/26 8:30 ET Chicago Fed
5/26 10:00 ET Consumer Confidence
5/27 2:00 ET Fed Beige Book
5/28 8:30 ET Q2 GDP 2nd guess
5/28 8:30 ET Durable Goods
5/29 8:30 ET Pers Inc and Cons Spend
5/29 8:30 ET Core Inflation
5/29 9:45 ET Chicago PMI

Key Economic Events Week of 5/18

5/18 2:00 ET Goon Bostic speech
5/19 8:30 ET Housing starts
5/19 10:00 ET CGP and Mnuchin US Senate
5/20 10:00 ET Goon Bullard speech
5/20 2:00 ET April FOMC minutes
5/21 8:30 ET Philly Fed
5/21 9:45 ET Markit flash PMIs for May
5/21 10:00 ET Goon Williams speech
5/21 1:00 ET Goon Chlamydia speech
5/21 2:30 ET Chief Goon Powell speech

Key Economic Events Week of 5/11

5/11 12:00 ET Goon Bostic speech
5/11 12:30 ET Goon Evans speech
5/12 8:30 ET CPI
5/12 9:00 ET Goon Kashnkari speech
5/12 10:00 ET Goon Quarles speech
5/12 10:00 ET Goon Harker speech
5/12 5:00 ET Goon Mester speech
5/13 8:30 ET PPI
5/13 9:00 ET Chief Goon Powell speech
5/14 8:30 ET Initial jobless claims and import prices
5/14 1:00 ET Another Goon Kashnkari speech
5/14 6:00 ET Goon Kaplan speech
5/15 8:30 ET Retail Sales and Empire State index
5/15 9:15 ET Cap Ute and Ind Prod
5/15 10:00 ET Business Inventories

Key Economic Events Week of 5/4

5/4 10:00 ET Factory Orders
5/5 8:30 ET US Trade Deficit
5/5 9:45 ET Markit Service PMI
5/5 10:00 ET ISM Sevrice PMI
5/6 8:15 ET ADP jobs report
5/7 8:30 ET Productivity
5/8 8:30 ET BLSBS
5/8 10:00 ET Wholesale Inventories

Key Economic Events Week of 4/27

4/28 8:30 ET Advance trade in goods
4/28 9:00 ET Case-Shiller home prices
4/29 8:30 ET Q1 GDP first guess
4/29 2:00 ET FOMC Fedlines
4/29 2:30 ET CGP presser
4/30 8:30 ET Pers Inc and Cons Spend
4/30 9:45 ET Chicago PMI
5/1 9:45 ET Markit Manu PMI
5/1 10:00 ET ISM Manu PMI

Key Economic Events Week of 4/20

4/20 8:30 ET Chicago Fed
4/21 10:00 ET Existing home sales
4/23 8:30 ET Weekly jobless claims
4/23 9:45 ET Markit flash PMIs
4/24 8:30 ET Durable Goods

Key Economic Events Week of 4/6

4/8 2:00 ET March FOMC minutes
4/9 8:30 ET Producer Price Index
4/10 8:30 ET Consumer Price Index

Key Economic Events Week of 3/30

3/31 9:45 ET Chicago PMI
4/1 8:15 ET ADP Employment
4/1 9:45 ET Markit manu PMI
4/1 10:00 ET ISM manu PMI
4/2 10:00 ET Factory Orders
4/3 8:30 ET BLSBS
4/3 9:45 ET Market service PMI
4/3 10:00 ET ISM service PMI

Key Economic Events Week of 3/23

3/24 9:45 ET Markit flash PMIs
3/25 8:30 ET Durable Goods
3/26 8:30 ET Weekly jobless claims
3/27 8:30 ET Personal Inc and Spending

Key Economic Events Week of 3/9

(as if these actually matter)
3/11 8:30 ET CPI
3/12 8:30 ET weekly jobless claims
3/12 8:30 ET PPI
3/13 8:30 ET Import Price Index

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