German Gold Hijinx

387
Wed, Jan 16, 2013 - 11:54am

I guess it all depends on how you look at it. Either this is all on the up-and-up or it isn't. Either this is a purely political show or it isn't. Either the gold is really there to be repatriated or it isn't. It's up to you to decide.

Just three months ago, The Bundesbank labeled as "lunacy" the idea that German gold needed to be brought home. They announce today that they're doing it anyway, but in sizes nowhere near what had been speculated. Is this just a political trick to mollify the German hoi polloi? Probably. It certainly doesn't upset the status quo or shake the global banking system in the manner we'd all hoped.

However, you could also choose to look at it this way:

  • In preparation for The Great Reset, the Germans do desire to repatriate as much gold as possible but they also don't wish to bring about The Reset any quicker than necessary.
  • So, they bring home "their French gold" but only do so at the rate of 50 tonnnes/year. Why? If it's just sitting in a vault and collecting dust, why not ship it all home over the next few weeks? What's the big deal?
  • And why leave "their English gold" untouched? Is it because all gold stored at the BoE can be leased, hypothecated and rehypothecated many times over, thereby making reclaiming it impossible?
  • And why bring back just 300 tonnes of "their American gold", again over the next 8 years? It shouldn't be that big of a deal to pull up a few pallets of "barbarous relic" from below the streets of lower Manhattan, drive it over to JFK and load it onto an airplane bound for Frankfurt. Should it?

Hmmmm. Maybe, just maybe, their French gold is long gone and the Frenchy-French need some time to come up with new supply to pay them back? ( https://www.reuters.com/article/2009/12/22/ozabs-mali-gold-idAFJOE5BL01520091222) Maybe the English gold has all been shipped to China and other points East, where it has been resmelted into kilo bars with official Chinese insignia? ( https://www.tfmetalsreport.com/blog/3924/gonefor-good) And maybe, just maybe, the American gold is nothing but paper certificates and IOUs, no more valuable than claims on the GLD? ( https://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2012/10/25_James_Turk_-_The_Entire_German_Gold_Hoard_Is_Gone.html)

Ahhhhhh....what do I know? I'm just a Turd. A dope with a MacBook. I'm sure it's all just fine. Move along. Nothing to see here. All is well. Go back to sleep.

Anyway, it has been a few days so we need to update the charts. Let's start with gold. Take a look at these two, daily charts. You can clearly see the price double bottom. This also coincides with an open interest bottom in late December. In the big picture, me likes what me sees.

Now check out this 8-hour chart. Besides all of the horizontal and diagonal resistance lines I've drawn, gold will likley run into some tough sledding near the 50 and 100-day MAs. The fifty for the Feb13 contract is currently near $1697 and the 100 is near $1718. Taking it all into consideration, the "all clear" for a rally can't truly be sounded until gold gets up and through about $1710-1715, maybe in a week or two. Until then, I just plan to keep stacking physical. I'm not going to buy any more options just yet.

As you might expect, silver has a somewhat similar picture. It came down in late December and then double-bottomed just below $30 about two weeks ago. Since then, it has seen a steady progression higher. Now it just needs to follow through. It is finding resistance near the highs of 1/2/13 (31.50) and it needs to break that level to draw in more buyers. Once through there, expect slowdowns near the 50-day, currently at $32.01, and the 100-day near $32.60.

That's all for today. I need to go take a little boat ride with all my guns and ammunition. It'll probably take most of the day. More tomorrow...

TF

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  387 Comments

Road_Scholar
Jan 16, 2013 - 12:35pm

@Beardeus

Like everything Obama does, the only result is a nice speech and MORE gov'ment. Look at the 23 points and think about how many gov'ment jobs are created. Typical socialist BS...

BTW, he chose '23' because he lived in Chicago area and that was Michael Jordan's #. The whole gun control thing is just drama/distraction.

ag1969
Jan 16, 2013 - 12:38pm

As always with politicians and bankers...

....actions speak louder than words. There is a lot of hullaballoo about the German Gold, but when you actually look at the actions being taken, we "ain't seen nothin yet."

Since we are operating on the word of politicians and bankers, the only safe thing to assume is that they are lying because that is what they do best.

As I pointed out in the previous thread, it only makes sense to me that they are lying to the German people to survive another day without admitting what everyone else believes to be true, that their gold is gone and is not coming home.

Sure, the sheep still believe what TPTB spew, but when you put aside their lies for a second, if the decision has been made to bring home the German Treasure, the only time frame that makes sense is immediately if not sooner.

Watch what they do, not what they say. Which is the exact reason that we all stack, because the central banks are stacking at the same time they are telling us why we shouldn't.

TF
Jan 16, 2013 - 12:45pm

Good timing

Silver now moving through $31.50. About to spike a bit???

Pax Argentum
Jan 16, 2013 - 12:50pm

If I might be allowed to state the obvious...

#24: Direct the Department of Justice to cease sending semi-automatic assault weapons and high capacity magazines to Mexican Drug Cartels.

What a complete and utter propaganda stunt.

Can anyone definitively prove that the guy isn't a cardboard cutout?

So sad, to think of what we could have been - to have settled for this.

Pax

Jan 16, 2013 - 12:51pm
Pax Argentum
Jan 16, 2013 - 12:54pm

I agree

"The Left" wanted way more and "The Right" panicked over nothing.

Same old, same old. Pit the masses against each other in order to keep them busy.

Urban Roman
Jan 16, 2013 - 12:58pm

A question for Turd's Army

A question for Turd's Army: the front page shows an advert stating that it has made $70K since last year. Is that per-client, or is the $70K divvied up among the dozens (hundreds?) of participants?

[edit] From the site, it looks like that is the return for "one contract". How much is a contract?

And, rpboxster, thanks for the feedback on TPM.
tpbeta
Jan 16, 2013 - 12:59pm

$31.50 on some charts

but weird that the candlesticks show it no higher than $31-47.

https://www.pennystockjournal.blogspot.ca/p/silver.html

Grigeo TF
Jan 16, 2013 - 1:10pm

"The Right" panicked over nothing

Respectfully disagree. If they backed off for now, it is only because of the extraordinary pressure brought to bear on the politicians.

Stag Arms, 2 year backorder and is not taking new orders. One example among thousands of unprecedented demand. People fear this man.

TF
Jan 16, 2013 - 1:16pm

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