SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : Ride the Tiger with CD
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Taikun who wrote (22060)11/27/2004 10:24:49 PM
From: rubbersoul  Read Replies (1) of 312370
 
<Do you know any TA on gold where currency factors are neutralized?>

I do not know of any. Sorry.

<I just see investors getting misled by statements like "above $430 there's nothing to $500" when in fact there is resistance, and the reason is POG is priced and evaluated in a devaluing currency but global demand will depend on strength across many currencies.>

At the Toronto gold show, Van Eeden presented a strong argument claiming that the movement in gold price was exchange rate driven and would remain that way until a "bull" market occurred. For example, he said that the rise in the US$ and the negative gold price during the 90's was caused by various currency crises (Brazil, Mexican Peso, Japanese Yen, 87 Asian crises, the Ruble crises). During this time people fled to the US$ as a safe haven.

Now it seems that many are fleeing from the US buck and trading it for Euros, Renminbi, and other currencies including gold. The Chinese public are currently exchanging their US dollars for the Renminbi and even I just traded a couple of hundred US dollars which I had left over from my trip to Cuba to Canadian dollars.

So it appears to me that gold will not strengthen too much quicker if at all against non US currencies until there is a global currency crises?

Puplava mentioned during his recent show that foreign central banks are holding 3.5 trillion dollars mostly in US dollars. Now if the dollar drops another 30 cents to 50 cents don't you think that there could be a currency crises affecting all countries, their trade, and economy as a whole? What would be the alternative then if all currencies were brought down. Gold?

I am not an expert on these matters. It is not where my strength lies as an investor.

Just my two cents <:O)

John
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News