"GOLD HITS $600 WALL -- WALL WINS!"
This was a very pivotal week for gold bugs...
Gold faced two critical challenges. The metal had
mounted an October rally into the fundamental wall
of $600 gold.
"GOLD HITS $600 WALL -- WALL WINS!"
And technically, it faced the challenge of the first
collapse of the 50 dma thru the 200 dma... since this
rally first began last September.
Ominous technical collapse in Gold?
Unfortunately for the permabulls, Gold failed both tests.
This yet again raises my point about why asking the right question, is often more profitable
than seeking the right answer.
The question that no one else has been asking, is simply this:
It this correction in gold based upon -- time, tape, or causation?"
Is this correction in gold just another garden variety
technical correction? Or, has there been a collapse
in the underlying fundamentals supporting the move in gold?
This chart says it all...
Every single rally in gold -- has been brutally sold into.
Back in May, I warned the permabulls that this was an
excessive speculative run in commodities that was soon
going to end.
Greed and excess speculation by any other name -- are still
simply greed and excess speculation.
Buffett called the excess of commodity speculation for
what it was...and he was immediately dismissed by the
permabulls.
Funny how he was earlier held up as their posterchild
when he made his massive bet - short the US Dollar and
made one of the largest bullish bets in recent history,
with his massive accumulation in Silver.
Many of you think I'm just poking fun at the permabulls
when I post this picture...but, I'm not. The truth often
hurts and this picture says more about the permabull
gold bugs than anything that can possibly be written:
"Doomed by our own DNA"
Were you able to set aside your emotions and
listen back in May?
Or, did you refuse to hear, speak and see the evil
of excess speculation and greed?
Even though at times reality can seem evil...
it's still reality and you can never afford to ignore it.
You can't wish gold to the moon, nor will waving
your pom-poms propel it to the moon.
Gold just failed two critical tests this week... did you?
-- SliderOnTheBlack
PS: Smackdown will begin at 9 p.m. sharp Sunday Night.
More on The New Paradigm Shift...and yet another "clue"
on that $250K presentation that has made some hedge funds
-- wheelbarrows of cash since May.
The core of their thesis is -- shocking.
I'll wager it has nothing to do with what
90% of you think it does...
And I don't agree with much of it.
But, where their thinking and mine merge... that's
where the wheelbarrows have come in handy...
Plus, I'm trying to get permission from a friend of mine
to post his technical chart on gold that will shock both
bulls and bears alike!
-- imagine that!
Mo-later Sunday night on SMACKDOWN -- be there. |
