Gold getting KILLED!!!!

[jk]

Re: Gold getting KILLED!!!!!

seems to me there are a lot of people on this board, among other places, who have talked about taking a little off the table as gold has shot up so sharply of late. i bet a bunch of such people sold gld. and that opened up a spread between gld and physical. and some dealers arbitraged it. shocking.

[ThePythonicCow]

Re: Gold getting KILLED!!!!!

If I were you, I will not short S&P. we are in tricky times. I would wait till Jan 2011.

Later today, after shorting the S&P, I also went long my favorite gold miner fund, USAGX, as a poor man's hedge. I'm betting that sometime, sooner or later, the gold miners will decouple from and become stronger than the main stock indices.

However the delightful blog post of Charles Hugh Smith, posted on iTulip by Master Shake at The Great Game: Geopolitics and Oil, is giving me second thoughts (as usual.)

The U.S. has not run out of cards to play. It's Military-Intelligence-Finance-Complex can surround and choke China. China depends on imports for food, energy and raw materials, and its water supplies are tight. Its suppliers and supply lines are not secure. A second major recession in 2011 (perhaps what you had in mind mentioning that year) could lead to a collapsing oil price, as we saw in 2008. The fears of dollar collapse and (hyper?)inflation would seem so passé.

Americans remain too dumbed down to do more than complain helplessly and thrash back and forth between Republicans and Democrats. American elite can remain in power through thick and thin, through feast and famine. We (Americans) have food and water and the unchallenged military might to dominate the world's major oil sources. The others sitting on oil, food or essential resources can be thrashed about as need be by means of the military, intelligence, or financial operations.

I'm thinking it is time I put some more limit sell orders in on my gold positions. At several price points above and below the current price, sell some more if gold hits that price point. Currently I am overweight gold. The threat of QEII may have been a giant head fake, to set us up for World Recession II, replaying the events of 2008, with more banks failing (to the benefit of JPMorgan Chase), oil collapsing, stocks falling, gold weakening, and the dollar finding a strong foundation.

So long as the American people are not actually afraid of starving, and so long as the details of the next episode vary enough (like the next season of Jack Bauer and 24) to keep us Americans engaged, then the powers that be remain in control. Only the elite who get unlucky and draw the short straw need worry about becoming a sacrificial lamb.

[charliebrown]

Re: Gold getting KILLED!!!!!

ahh damit cow, I thought I had it all figured out buying natural resources, now you're scaring me.
Unless the global economy cracks soon within a year or two, will lowered demand be offset by depletion?
I did read the $25.00 a barrel oil article. Will I have the nerve to hold onto my oil stocks through another 2008?

I guess we will have a glimpse of the master plan come Nov 3rd (Fed meeting)
I'll be in Florida watching the 2nd to last shuttle launch (sniff, sniff)

[charliebrown]

Re: Gold getting KILLED!!!!!

Oh, one other question? Has anyone been watching the premiums on GTU, and PHYS, GTU is near zero, and phys hit 2% the other day. This is when Gold is going to the moon. What gives? It used to be that when fear was present the GTU, PHYS premiums hit 10 and 15% respectively. What does this mean? any ideas?

[ThePythonicCow]

Re: Gold getting KILLED!!!!!

ahh damit cow, I thought I had it all figured out buying natural resources, now you're scaring me.

Fret not, charlie brown. My investment track record is so bad that I couldn't hit the broad side of the barn, standing inside it, shooting a shotgun, with a full box of shells. I'm just happy I haven't shot my foot off yet ... just a few toes.

I guess we will have a glimpse of the master plan come Nov 3rd (Fed meeting)

I doubt that it is the purpose of any Fed meeting to reveal any master plans.

[ThePythonicCow]

Re: Gold getting KILLED!!!!!

Oh, one other question? Has anyone been watching the premiums on GTU, and PHYS, GTU is near zero, and phys hit 2% the other day. This is when Gold is going to the moon. What gives? It used to be that when fear was present the GTU, PHYS premiums hit 10 and 15% respectively. What does this mean? any ideas?

Perhaps the prevailing fear is that gold price goes down, not up, in the immediate future. This would take the pressure off the GTU premium, would it not?

[FRED]

Re: Gold getting KILLED!!!!

When did we buy gold?

[aaron]

Re: Gold getting KILLED!!!!

gold got killed today
Jesse called the peak very accurately. Most impressive
http://jessescrossroadscafe.blogspot...-chart_07.html

[sishya]

Re: Gold getting KILLED!!!!!

Later today, after shorting the S&P, I also went long my favorite gold miner fund, USAGX, as a poor man's hedge. I'm betting that sometime, sooner or later, the gold miners will decouple from and become stronger than the main stock indices.

However the delightful blog post of Charles Hugh Smith, posted on iTulip by Master Shake at The Great Game: Geopolitics and Oil, is giving me second thoughts (as usual.)

The U.S. has not run out of cards to play. It's Military-Intelligence-Finance-Complex can surround and choke China. China depends on imports for food, energy and raw materials, and its water supplies are tight. Its suppliers and supply lines are not secure. A second major recession in 2011 (perhaps what you had in mind mentioning that year) could lead to a collapsing oil price, as we saw in 2008. The fears of dollar collapse and (hyper?)inflation would seem so passé.

Americans remain too dumbed down to do more than complain helplessly and thrash back and forth between Republicans and Democrats. American elite can remain in power through thick and thin, through feast and famine. We (Americans) have food and water and the unchallenged military might to dominate the world's major oil sources. The others sitting on oil, food or essential resources can be thrashed about as need be by means of the military, intelligence, or financial operations.

I'm thinking it is time I put some more limit sell orders in on my gold positions. At several price points above and below the current price, sell some more if gold hits that price point. Currently I am overweight gold. The threat of QEII may have been a giant head fake, to set us up for World Recession II, replaying the events of 2008, with more banks failing (to the benefit of JPMorgan Chase), oil collapsing, stocks falling, gold weakening, and the dollar finding a strong foundation.

So long as the American people are not actually afraid of starving, and so long as the details of the next episode vary enough (like the next season of Jack Bauer and 24) to keep us Americans engaged, then the powers that be remain in control. Only the elite who get unlucky and draw the short straw need worry about becoming a sacrificial lamb.

Sorry I usually don't followup on posts. I am more into scavenging net during my spare time of my day Job.
Following are only my hunches, but I do act on these.

I have been posting here for the past 3 months that I went long S&P in 401K since then.

My thinking has been to buy Physical Gold on violent dips like we are having today. Will buy when it hits near $1300.
I also bought AAPL since $250. But If there is a huge run up by Mid Dec 2010, I get out of everything except Gold.
I expect S&P and Dollar to start falling around Mid Dec 2010. I have no idea about Oil, but my best trade so far
has been DBA(agri), entered at $23, now around $29, which I think should be multi decade investment.

[charliebrown]

Re: Gold getting KILLED!!!!!

be careful with a long term hold of DBA. It is based on futures contracts, and when the contracts are in contango, you will lose a little bit each time they have to roll the contracts. You will have to decide upon this, but just be aware of the contango effect. You may be able to write out of money calls on your position, to make up for the contago loss. This will work if there is a slow rise, but if there is a rocket ship ride up, you will get called out way below the current price. If DBA switches to backwardation, DBA could be a nice long term hold.

I have been holding DBC for a while, and it has not kept up with the CRB index as of late due to the contago effect. I am writing out of the money calls, but alas, I wrote at 24 in october, when DBC was at 23, and it now north of 25. Unless it comes down before nov expirary, I will not get the full rise of the security.

[Mega]

Gold getting k i l l e d !!!!!!!!!

KILLED,DEAD,FINISHED...F*CKED
Oh for the love of God........When we we see any SUN LIGHT !!!!!

Where is $2,000 gold........when, when.....
I should have bought CDO's !

Mike

[Chris]

Re: Gold getting k i l l e d !!!!!!!!!

back up the truck...

[shiny!]

Re: Gold getting k i l l e d !!!!!!!!!

You're so funny! Going straight up like a rocket right now.

[charliebrown]

Re: Gold getting k i l l e d !!!!!!!!!

If we use the gold oil ratio, we are around 16 gold / oil, a little toppy, but not outrageous. I picked up a wee bit of paper gold last week. I would actually like to see a pull back to top off on gold. Maybe gold will follow oil and we might see a 10% pull back or so.

[pianodoctor]

Re: Gold getting k i l l e d !!!!!!!!!

As I write gold is up .5% as the dollar has strengthened 1.60% on the stock selloff. That makes it a hell of a day for gold, really.