May 5, 2011

1. Huge rally in GDX yesterday rang most of your cash registers there and/or on individual party packs. Buys were sounding on your core position accumulators into the low, as the kachingo parties continued! Click here now to view yesterday's massive gold stocks super rally!

2. Yet, sadly, some investors labelled yesterday a "bad day" for gold stocks. Does that chart look like it was a bad day? Gold stocks surged 3% in 2.5 hours!

3. From the price-chased highs of 2008, the GDX was up 1% at the point of yesterday's low. That's a gain of 1% in 3 yrs. In just 2.5 hours, the GDX surged THREE TIMES MORE than it gained in the entire past THREE YEARS! [But went down as much, hours after he wrote this!]

4. The bottom line: Pgen Party vs PlopGen despondence and destruction. With no emotional strength, there is no financial strength. There is just a pathetic, "what's happening?!?" mumble...

5. Severe damage has been done to the emotional state of your price-chasing competitors. If you MENTION the WORD "gold" to Elmer Fudd Public Investor BIRDBRAIN this morning, that pinhead will probably wet his pants and start CRYING. The golf ball advisors will have their financial thesaurus out, and phrases like "I'm in a meeting", "gold is dangerous", "the death of bin laden ended the mid-east crisis", and other such (yellowbellie) statements will dominate the brokerage offices.

6. You can count all the gains and losses in terms of USD toilet paper if you like, based on yesterday's action, but that is not going to get you any closer to 50,000 ounces of wealth. On the day the Fed formed, 700 ounces defined you as rich. [$1000000/(18.92 $/ounce) = 52,854 ounces. Not 700. ] Now it takes 50,000. Soon it will be 100,000. [Isn't it something like 1000000*20/1500 = 13,333 ounces ? Where 20 converts 1913 dollars to 2011 dollars. That is to say, the same (order of magnitude) number of ounces. -FNC] Don't let the top callers see you left with one ounce of gold while it takes a million to define you as rich.

7. Focus on getting MORE GOLD! A fixation with the action of the DOLLAR can make you POORER, not RICHER. The banksters want you obsessed with valuing a fixed amount of stuff against the dollar, not obsessed with getting MORE STUFF.

8. You are either understanding what the banksters are doing by flaunting micro rallies in the dollar in front of you, or you are out there building ounces. END OF WEALTH BUILDING STORY.

9. If you sold silver for gold into strength into $50 silver, now you are buying it back with your pgen. You have more ounces of both. JP Morgan himself would be proud of you. The banksters don't have any respect for price chasers. They view them as VERMIN, and target them for financial EXTERMINATION.

10. The banksters look at 99% of the world's investors as a piece of financial wood to be WHITTLED. Don't let it happen to you! Fudd is being whittled to the bread line!

11. This is jobs report week. Any questions that jobs report week can bring enormous volatility? While we should applaud the commodity exchanges for raising the margin requirements on silver, the real question is whether those changes are permanent or not. What you don't want to see happen is silver become "steady", and then exchanges drop the margins to set things up for another mauling.

12. The consistent moves to reduce and finally eliminate leveraged trading of silver will leave silver in the strongest hands possible (you).

13. Those of you who follow my 70% gold to 30% silver ratio for bullion holdings are happy. That means you don't exceed 30% silver. You could hold less or none, but unless you say, "yes I'm a total GAMBLER and I don't care if it all burns away", do you really need more than 30% of your bullion in silver to build good wealth?

14. On the market stage, silver is the PLAYER and gold is the PUNISHER. Don't forget the distinction and don't mess with the punisher. Look at Fudd. He messed with the punisher. Look at him now. His agony has just started. The losers think the silver bull market is over. THEY are what is over and good riddance. Where is all the silver sold by the losers going? Answer: Into the hands of the banksters. AndYOUR hands.

15. Silver is trading close to $38 as I write this sentence. That's an HSR tweak point. Check out the "drawing a wedge" video update I posted this morning on the site for silver. The size of the wealth transfer from the leveraged speckies and fundsters to the banksters and you and I... is a bit surprising, even to me.

16. Click here now to view the uranium wealth builder chart. There are positives, and then there are signals. "Positives" and "signals" are not the same thing.

17. For example, it is a positive that the uranium price just tagged the keltner supply line, the green line of the "price river". Picture price as a river, and the keltner (or Bollinger band) demand and supply line as the banks of that river.

18. In a strong downtrend, price rarely hits the keltner supply line. We just did. You have to be a seller of trading positions into this strength, but it is a POSITIVE for the bigger picture with what is going on.

19. Ironically, acting on a chart POSITIVE with buy ACTION can DESTROY YOU.

20. As I get ready to send this off I see that the dollar rallied to gold $1497. Think about that sentence. The dollar rallied to gold $1497. I own dollars. If the dollar rallies more, I'll book some tasty profits. If not, well, I'm running a very very CASUAL buy pgen on the dollar.

21. Click here now to view the uup daily chart. There is some serious volume going on right here, right now. Could the dollar mount a BIG rally here?

22. Answer: Yes! But have you thought about THIS possibility:

23. The DOLLAR, like in 1979, begins to rally bigtime, and the bozo patrol starts liquidating gold.

24. The dollar continues to rally and the bozo patrol begins naked shorting gold. Then gold goes totally vertical WHILE the dollar continues to rally. The bozo patrol goes to their financial coffin.

GRID TIME. If you think the dollar is going to rally, then buy the dollar. Don't think that gold necessarily tanks because of a dollar rally. There might not be any dollar rally. My dollar buys are very small. We are a LONG ways away from where I want to even BEGIN major dollar accumulation. Before that is even considered, the bond market needs to have been in a state of collapse for YEARS.

Thankyou

Cheers