Good Monday noon my friends from the US Eastern time zone.
First Gold and silver. Well, we have again a stronger dollar. I reiterate! We feel there is a major dollar decline coming rather soon to accompany a recession. That is not only our "take" but that of the esteemed John Hathaway, fund manager of Tocqueville gold fund.
Gold bottomed in August. I have reiterated we may pullback again from just over 1200 to 1160 'ish'. Remember Ron Rosen with a remarkable track record for about 50 years of calling the markets I do believe is sticking with his 1124-1140 level near term than off to the races with levels surpassing old highs in silver and gold of the next few years. I will not every post list the reasons I call "the perfect storm" being set up for the metals. China will be at the top of the list, and a debt crisis of mammoth proportions coming to the US, no different than Italy and the EU. When the Commercials are at the most bullish level in over 20 yrs. re: the metals you ignore the NOISE!
You will see a deterioration in US sovereign debt. China is alarmed and has dropped us to BBB+We call that junk bond status. Russia has dumped our paper for gold.
Ray Dalio of Bridgewater Assoc. says he is expecting a 30 % decline in the dollar over the next two years.
I love the chart above. The dollar? It has just had a pause in its downtrend.
How about a VERY long term chart of silver?? What does it short out to you? (chart as of 6/2018)
The DOW is down about 100 and was down about 200 points earlier today. WE said sell recently at near 27,000 (see earlier reports!) WE also said indicators I use say we may go to 28,000! today as I write I am seeing bullish put/call ratios so a rally off today's low is in the works. So we have "maybe" 4 % upside, and 20-30 percent downside longer term. I don't care for the risk-reward.
Bitcoin as I wrote just the other day, now 6650 is showing a bit of an increase in bullish sentiment..(more shorts!) We have the sentiment to keep us above 6200. I have said "a slight upward bias for now". We'll base a bit longer and when sentiment improves we are going above 7000 to stay...STAY TUNED to Statman.
Thank you for the support! I greatly appreciate your upvote and RESTEEMING..