Gold And Silver - It Could Get Uglier And Take Longer

Saturday  11 May 2013

The realistic general consensus is that the spot prices for gold and silver are no longer
relevant.  Yet, what remains the one price on which focus has intensified for each?  There
simply is no other alternative, at present.  A distinction is made concerning the purchases
by China, Russia, India, et al, paying a larger premium over spot gold, prior to the sell-off,
and prices paid by those purchasing single ounce coins or even kilo bars, “the people,” as
it were.

Purchases made by the tonne, from the countries mentioned, are not reported in a way
that can be measured, and in fact, those purchases are not  publicly reported.  While the
reports of unprecedented demand for both gold and silver on a world-wide basis in
response to the attack on longs, last month, continues, we think the New World Order,
[NWO], and its vast infrastructure, IMF, UN, Basel, central bankers, all governments
in the West under its control, is not overly concerned about the man-on-the-street
demand.

The next chapter has yet to be written.  One thing is likely to be certain, it will get uglier.
Think of the people of Cyprus and how they are suffering at the hands of unelected, non-
representative outsiders, the NWO executioners imposing austerity restrictions to pay
for the sins of the bankers.

It used to be the “Golden Rule” was, He who has the gold rules.  That has been replaced
with, He who controls the purse strings dictates.   The shocking reality of the latter will
become more prevalent, one country at a time.  Central bankers will default and make it
appear the fault of the paper holders.  What are you going to do about it?!, will be their
attitude.  All the central bankers are doing, under the protection of governments, is
stalling for time as they get their end-game in place.  What is that end-game?  Securing
their stranglehold on power over the failing Western countries so that they remain in
power.

The golden Ponzi scheme may be unraveling, but do not expect China, Russia, India and
other countries to put immediate pressure on the central bankers.  They are far more
cunning and patient as they smell blood, and they know that in the end, they will extract
far more from the failing power of the West.  The BRICS countries are building their own
trade relations, cutting out the fiat Federal Reserve Note as a world reserve currency.  So
let the central bankers manipulate the price of gold and silver as much as they want, for
as long as they want.  It will simply make it more rewarding for the newly rising Eastern
powers when the fraud’s final chapter is written.

We see this as a Cliff Note version that the general public fails to consider and instead,
expects a demise of the COMEX and LME as the catapulting catalyst for substantially
higher gold and silver prices.  Based upon these questionable expectations, the public will
not be prepared for what could take a few more years to develop, and the potential for yet
much lower prices for both gold and silver.  This certainly is not a blueprint of the future,
but a conjecture of what could happen, in one form or another.  In the end, no one knows
how this will turn out, other than a strong belief that it will get worse before it gets better.

Gold and silver can become illegal to use in public trade or barter.  Anyone caught could be
branded as a “financial terrorist” as governments continue to crack down on any form of
opposition to their fiat enslaving control.  Anyone “caught” with more than “x” ounces of
gold or silver will have to prove it was legally purchased or risk confiscation.  War, on a
wider scale, cannot be ruled out as a “diversion” often used by the NWO ilk.  No one
knows.

For all the short-comings of the paper prices reported by the COMEX and what resulting
charts, are saying, they will be used until something better comes along.  Regardless of
what the charts show, one should continue to buy physical gold and silver, [and personally
hold it], on a regular basis.  Fiat currencies will continue to be debased by governments.  A
failing fiat and falling gold and silver prices cannot continue indefinitely, and the fiat will
be the ultimate loser.  Those who continue to hold paper anything, may be subject to near
total loss.

Inflation is already guaranteeing losses with the fiat FRN losing 35% just on the past
decade.   Then there is the consideration of being “Cyprused” in your bank accounts, stock
accounts, futures accounts, [MF Global], and pensions.  Gold and silver remain the best  alternatives.

There is nothing conclusive for initiating a position in the futures in either direction.  We
stated previously that the wide range bar of 15 April is likely to contain price activity for
some time, now into the third week.  Price is holding the support channel line, but rally
attempts have not been strong.  It does not mean price cannot go higher, next week, but
there is no new demand that says to be a buyer in futures.

Friday’s close on the daily was under the last 10 days of buying effort.  No reason to buy.
We would like to see a failed rally above 1500 to be a seller.

How price responds around a support or resistance is an important market clue.  Right
now, silver cannot rally higher and away from a support area, and that suggests support
may not hold.

The daily chart does little to clarify direction, although one has to keep in mind that
sellers are still in control.  The clustering of closes sends a mixed message, as noted on
the chart.

The clearest scenario is the ongoing purchase and accumulation of physical gold and silver
as a store of value against an increasingly uncertain future.