The Case for Gold 4th Oct

Bullish View

With gold’s move into new highs last week we are about to
discover how much power the Cartel actually possesses  i.e  bullion banks who have worked with the Cartel for the last thirty years to feed leased
gold into the markets in order to suppress prices .

Cartel being central banks of the US, Europe and UK, Bank of International Settlements and the IMF

There is no possibility these positions can be covered easily at current prices The short position on Comex has accumulated to about 900 tonnes.

Miners have unwound most of their forward sales and China and Russia are withholding their production from the markets.  Infact as i write this i see this come across the new wire “World Gold Council sees central banks in Russia, China, and Philippines raising gold reserves “.

Bearish / contrarian view

With more QE on the cards What Most Investors Don’t Know About Gold and the U.S. Dollar The biggest moves in the gold price occur when the foreign exchange value of the U.S. dollar is stable.

The largest moves in gold’s free-trading history occurred in four brief periods each lasting two-three years: 1973-1975, 1978-1980, 1985-1987, and 2005-? The historical fact is that gold’s biggest moves occur when the U.S. dollar is relatively stable Now you know what few people do .

Sourced /financeandeconomics/Whiskey and Gunpowder

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