The latest update from Steven Van Metre, has comments from the Fed that seem like they’re from another world, another time.
Evidently, the economy’s so strong … so good, that we might taper more aggressively and then … raise rates.
At this point, ‘what difference does it make?’
They’ve probably already cashed-out (like last time) and now stand on the sidelines.
Meanwhile back at the proletariat, we’re deciphering the market’s next moves … Fed press releasees notwithstanding.
Is Gold (GLD) The Black Swan ?
Frist off, there are several YouTuber’s that are providing an excellent service; letting us know the real state of the economy.
They are invaluable; thus, receiving their fair share of hate from those that don’t want to hear, see, or smell, ‘bad news’.
All of them willingly admit, they’re not experts when it comes to the markets … fair enough.
However, in Jerimiah Babe’s latest update, he may have unwittingly revealed a (or the) black swan.
Gold and the gold market.
JB’s offered the anecdote of attempting to purchase more gold at the dealer. For the first time ever, he was limited on the amount available.
From a market standpoint, the public, is all-in.
Even as we speak, gold (GLD) and the miners, GDX, GDXJ, are in a vicious downside reversal.
At this juncture, it looks like an upward test of resistance (discussed yesterday) is nowhere in the cards.
Price action for the most part, is straight down.
Which brings us to the charts.
GLD, Weekly Chart:
Marked up with resistance and the up-thrust reversal.
Zoomed area of the reversal
Because the gold hype by the financial press was so incessant for so long (which by the way, has strangely ‘disappeared’), this reversal may be something that lasts much longer than anyone would expect (not advice, not a recommendation).
The weekly GLD chart below has a Fibonacci projection tool overlay.
A 161.8%, projection would take GLD down to 119 – 120.
Are the gold bulls prepared for an extended downside rout in the metals?
Early morning food production.
It might not look like it’s connected to the markets but it is.
Market analysis presented on this site, helps steer actions needed to separate from (or reduce reliance on) the system.
Properly executed, trading is one avenue to provide income that’s necessary to eliminate the need for a corporate employer (not advice, not a recommendation).
Market analysis also helps identify what’s likely to come next.
But, I digress.
Getting back to the coop; four eggs a day … equates to over two dozen a week. Reliance on the grocery store (at least for eggs) has effectively been eliminated.
About a year’s worth of feed has been stockpiled.
Let’s put it a little differently; a year’s worth of feed has been ‘stacked’.
Personally, I like gold and silver as much as the next guy.
However, those in charge of this collapse have already stated, food will be used as the leverage weapon.
But hey, we shouldn’t have to worry about any of that, because, ‘The future’s so bright …’