We are currently living in the Twilight Zone. There are no fundamental reasons for the stock markets to rise when every economic indicator suggests the monetary system is completely broken.
As soon as true price discovery seems to affect the markets negatively, someone or some entity intervenes to turn things around. How do we know it’s manipulated? Look at the volume when the markets change direction or the time of day.
Many of these interventions happen with little or no volume and many also happen in the futures markets, after hours in the early morning before the opening of the stock exchanges.
Or better yet, just look at the headlines (lies) from mainstream media sources that completely counter what’s actually happening in the economies of the world.
There are entities within our government that control the markets and the information that’s fed to the masses. That’s why they call it central planning. Is this a free market system? Of course not.
Is this central planning methodology working? Absolutely not. All you have to do is look at the fundamentals or any real economic indicator to see how horrible the economy actually is.
Why do you think gold is downplayed by the mainstream media and our government? Because gold and silver are the ultimate insurance against paper fiat currency, therefore the enemy of the State.
The government wants you to have faith in our currency and our completely bankrupt government which backs it up.
They don’t want you to think that gold will preserve your wealth in the event of a currency collapse. Gold surging would spread fear and a loss of confidence throughout the system.
Did you know that just a 10% investment in precious metals would completely preserve your net worth in the event of a market collapse?
That seems like a small premium for insurance against a bankrupt government whose currency is at high risk of collapse.
This is an election year and the party with the most to lose prior to the elections is the Democrats. The public must be convinced that everything is fine and that the Democrats have done a great job with the economy, so they lie.
How many of you believe that our government is NOT corrupt? That they don’t lie or spread propaganda utilizing the mainstream media? If you don’t believe that, then heaven help you, because you are very gullible and in for a shock very soon.
The rubber band is being twisted to the breaking point and it won’t be long before it snaps. Amazingly, they’ve been able to hold it together to this point, but I think our days are numbered. In fact, I think we should see something break as early as this summer.
Stay alert and watch the markets. Things are really heating up.
In case you haven’t heard, the UK politician behind the BrExit vote to leave the EU was gunned down by “a deranged man” on Thursday. As a result, this gave the cabal the excuse to stop the gold rush in its tracks and possibly suspend the BrExit vote, at least temporarily.
I just can’t believe this is a coincidence and I don’t think anyone with half a brain will think it either. The global elites are scared to death of the implosion that will result after a vote to leave the EU and this incident is just too convenient to shrug off as some unrelated ‘deranged man’ incident.
Even if it was a sponsored event by the globalist cabal, I think it will backfire and cause even more people to lean towards a break from the global establishment powers of the EU, and as far as gold is concerned, this will be a very temporary pull back.
New Silver Miner Added
There are a very small number of silver companies to choose from for investment. With the exception of SLV, SIL or SLW, most mining companies are more responsive to the price of gold, as silver is typically just a secondary by-product of the gold mining process.
However, I’ve added one new company to the list of our model portfolio with the symbol (AG) and the company’s name is First Majestic Silver Corp. This is a Canadian small cap company operating six different mines in Mexico.
Currently trading around $12, this company has plenty of upside to go and it’s cheap enough to own a substantial share volume without using options. (See chart below.)
This is not a company I would recommend for trading options, as the spread is quite large, but the share price is low enough that one could buy a large enough position to make enough of a difference in your portfolio.
Last week I mentioned that gold had ventured into the green demand zone (rectangular box) and that we should expect a bounce up from there.
Well we sure got it; gold has been on a tear for the last 5 days until it reached the red supply zone shown above. It actually broke through the supply zone significantly before being beat down by the headlines regarding the British lawmaker who was gunned down in the UK.
Keep a close eye on gold, as I believe we will see a consolidation for a while before gold continues to head higher.
It would have soared to new highs, if this potential ‘false flag’ headline hadn’t appeared at such an opportune time for the globalists. They are losing the battle and this is desperation, IMO, and the slowdown in the PM Bull market will be temporary.
Stock Market: (SPY) (QQQ)
The stock market has been trading in a consolidation pattern for the past few weeks and was never able to achieve a new high or even reach resistance before heading back down. As soon as it reached the ‘demand zone’, the BrExit lawmaker assassination story came out allowing the market to recover all of the losses for the day.
Isn’t that a coincidence? Well, I guess the collapse isn’t going to happen after all?!
The corruption and criminal cabal just keep getting more desperate and now NATO says they want to attack Russia for hacking our computer systems? Like we haven’t hacked theirs?
We are witnessing the end game folks….
Energy Stocks: (XLE) (UNG) (USO) (LNG)
As mentioned last week, I expected a turnaround in the energy sector. We got it this week. Next stop around $42 and eventually lower, unless war is declared.
Commodities: (FCX) (JJG) (DBA) (JO)
Agricultural commodities have pulled back slightly, as expected, but will resume their move higher in the coming weeks. The stochastic is showing overbought conditions, so I expect a consolidation for a short time to build energy for the next leg higher.
(SLW) January 2017 CALLS
(GDX) January 2017 CALLS
(ABX) January 2017 CALLS
(FNV) January 2017 CALLS
(RGLD) January 2017 CALLS
(DBA) January 2017 CALLS
(JJG) January 2017 CALLS
(SPY) December 2016 PUTS
(IYF) August 2016 PUTS
Brexit Campaigns Suspended After British Lawmaker Shot Dead By Mentally Ill Assailant
The West Yorkshire Police reports that Jo Cox has died as a result of her injuries. The police also adds that a full probe is under way to establish motive. It remains to be seen if the Brexit referendum vote will be delayed as a result of this death.
John Hathaway – There Is A Deepening Shortage Of Physical Gold
We believe that the stage is set for powerful new advance in gold prices…We believe that a decline in financial-market asset values is all that is needed to destroy whatever fragile confidence remains in paper currency and present-day financial conventions.