Current Gold Action is Doing Some Good

Gold has made it back to and thru, an old multiple point low around $1850 (the pink line) that was considered support as we broke down from the top.  It is constructive to make it through old lines of support, or resistance. Gold defended successfully its 200-day moving average and is now just below the…

Read More

Metals in Corrective Phase

We continue to believe that precious metals remain in a primary bull market.  But after becoming significantly overbought, price corrections have been substantial. Gold has taken its second worst drop since 2016, the date we would assign to the beginning of its new bull phase. It has come down to the 50% retracement level as measured…

Read More

At the River’s Edge Once Again:  Will Gold Make It to The Other Side?

We have been in this situation twice before in recent times.  Gold reaches an inflection point such as the declining linear trend, and tests the line, but falls back.  The troops are at the riverbank, but never cross. We recently alerted you to some specific price levels to watch.  We are now at or beyond…

Read More

Gold Correction Likely Near an End

Gold had a strong run falling just short of $2,100 per ounce, became significantly overbought, and has had a modest corrective phase since the peak in early August. We have dropped about $240 dollars or about 12% from the peak down to the $1850 area. Because we believe gold remains in a strong primary bull…

Read More

Commentary on ‘The Deficit Myth’ by Stephanie Kelton

Professor Stephanie Kelton, an advisor to leading Democrats and the Biden campaign, has written a highly readable explanation of Modern Monetary Theory.  Replete with frequent references to Sesame Street and Spider Man, it is just the work needed to inform the young Social Justice Warrior. The key is the subtitle, the Birth of the People’s…

Read More

Debt is Now a Runaway Train

The amount of debt owed by the US government has risen to the highest levels ever recorded. More importantly, as the chart above shows, it is the highest debt ever in relation to the size of the economy. In peacetime, it now exceeds the peak of World War II. Notice that over time, debt surged…

Read More

Silver Kicks Into a Higher Gear

For quite a period of time, silver underperformed gold.  The gold to silver ratio, a calculation that basically shows the relative strength of the two metals, continued to soar well outside its historic range to as high as 131:1. We felt this was excessive and as indications started to show hints that this relationship was…

Read More

The Importance of $1800

By Neland Nobel We wrote recently that the break out from $1750 should bring us to the $1800 price mark fairly quickly and that this price, formed by a number of previous peaks, (see horizontal line) created a large saucer or cup like formation that extends over about nine years.  Please also see the comments…

Read More

Why Would Anyone Want Junk Silver Coins?

Prior to 1965, the United States minted silver coins to be used as money.  They are commonly referred to as “junk” silver or 90%.  They are called junk silver because they were used in circulation and have no collector value.  A “bag” or $1,000 face has about 715 ounces of silver.  Bags can consist of…

Read More