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Strategies & Market Trends : Buy and Sell Signals, and Other Market Perspectives -- Ignore unavailable to you. Want to Upgrade?


To: Dr. Ipsofacto who wrote (16824)4/6/2011 6:15:54 AM
From: GROUND ZERO™3 Recommendations  Read Replies (4) | Respond to of 219544
 
Yes, thanks, my model is a handy timing too, it has been nothing less than amazing, and I don't mind sharing it as long as I don't have to explain how I do it...<g> LOL!!!

What about any events that could cause a sharp correction? Perhaps the end of QE2 or a rate increase? I know where you are on the inflation/deflation debate, but how would deflation impact the PMs in your opinion?

Frankly, I think it's already too late, the Fed is hopelessly trapped, they must continue to print or the stock market would collapse, the housing market is still falling even with all the printing... for this reason, I think all corrections would be brief no matter how sharp and/or deep it may be... the Fed wants to do a QE3 even though interest rates are inching higher in other parts of the world, they have no choice but to keep the patient alive with artificial supports even though death is inevitable... but let's say the Fed stopped printing this morning... I think the damage is already done and is irreversible, the markets would suffer a major decline and the illusion of wealth that the Fed has been creating all this time would be for naught... this would further increase the mistrust of the banking system and of our government's ability to sustain a normal economy and as a result the precious metals would still continue to rally...

I think these metals are moving higher not only because of the declining dollar, but also because of a severe underlying mistrust of our government to monitor and regulate our economy... gold and silver are the only real currency, and history has illustrated this time and time again...

For a genuine and insightful assessment of our dollar and our economy, I suggest you read the comments of RealMan, he has a remarkable and comprehensive grasp of these things, I'm just a trader with my own perspective on things...

GZ