Silicon Investor (SI) -- The First Internet Community

STOCKTALK

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 : The coming US dollar crisis -- Ignore unavailable to you. Want to Upgrade?

To: TH who wrote (8861)	6/12/2008 1:07:24 PM
From: Real Man	Read Replies (2) \| Respond to of 71456

Wall of worry -g- Miners are down cause of record low gold/oil ratio. The gold train will leave the station one day and leave the bugs behind. Note: Gold train tends to look like a rocket ship when it leaves the station lately. -g-

To: TH who wrote (8861)	6/12/2008 11:22:10 PM
From: RJA_	Read Replies (1) \| Respond to of 71456

From the Arden Sisters: Q. Would you buy new gold positions now? A. It’s always a good strategy to average into any market. That is, buy a certain amount on a monthly basis knowing that you will likely hold this position for years because gold’s major bull market is still evolving. Buying at intermediate lows is ideal, which is why we follow the intermediate trend. To give you an example, last Summer was an ideal buying time and so was the Summer of 2006. If you would’ve bought then, you would have obtained the best price of the last two years on an intermediate basis. But if you’d averaged into the market since the Summer of 2006, you would have also done very well. Q. Would you ever sell gold? A. As special as gold is, we’re not married to it. Our devotion is to the major trend and when it’s up, like it is now, we will stay invested. Gold has been in a confirmed uptrend since August, 2001, and as long as this uptrend stays intact, we’ll stay with it. This trend is truly your friend. kitco.com I have been long gold for a long time... and held for lots of summers. I look at the fundamentals and ask what has changed, other than things getting less and less stable? Hold gold in one hand and paper in the other. Which is more real? Which lasts over the ages? Which is dependent on a bureaucrat in Washington or Brussels or Tokyo or Beijing? Which is fought by most of the above? Given an asset you would have to buy now, and hold for 100 years, what would it be? I don't pretend to know the future. But the past, we can know (at least the past written by historians). That past speaks clearly. History does not repeat, but it surely does rhyme... It will be difficult in future just to pay the interest on the national debt. Trade deficit will expand due to price of oil. On the other hand, Obama will end Iraq war. Otherwise he is a financial unknown. However, recent history, Dems have been in power during times of rising dollar, Repubs, the reverse... and Volker has endorsed him. Ultimately, what are you comfortable holding? RJA