Weekly Update: Gold, Silver, Bitcoin – 05.07.2017

Approximate spot prices

Gold: $1,230 per paper ounce
Silver: $16.40 per paper ounce
Bitcoin: $1,600 per coin

With the worm turning again across the globe, we are now a few steps closer to the new economic and geopolitical paradigm that will govern the 21st Century. The results of the French elections are in, and Le Pen did not pull off another Brexit/Trump moment for political nationalists. While this outcome was the consensus expectation, to see that France seems willing to hitch its wagon to a sinking ship is disappointing even if not altogether unexpected. Time for more of the same nonsense.

Keep on the lookout for more news about the issue with Canadian mortgage lenders. US auto and student loan debt are also conspicuous areas. Contagion is nasty and unpredictable. Bear Stearns was the biggest canary in the coal mine in 2008, so we’ll once again see if the damage from bad loans can be contained without any unintended consequences.

It won’t be long now… Or will it? Keep praying.

Gold

Gold took a nosedive back down to the 100 day moving average this past week. I suppose it had to be revisited sometime, and thanks to our friends the manipulators – who keep insisting on giving us the opportunity to accumulate real wealth at a discount – it happened more quickly than it would have otherwise. Apparently, the Fed liked the sub 1.0% GDP growth in the first quarter so much that they are totally dedicated to hiking rates again next month. The reported level of backdoor shenanigans going on now goes beyond description. Will gold find support in the week ahead? For that answer, you’d have to check in with the Exchange Stabilization Fund. It certainly seems like it should, but that’s no guarantee when another several billion dollars of derivative weight is just a click away!

Silver

The epic raid on silver continued unabated. In fact, it was so absurd that when we hit the $16.30 area I had to make another purchase! I’ve long since given up being surprised by this price action and have been using these opportunities to accumulate. Frankly, silver is still historically undervalued at any of these levels, but I can’t resist trying my hand at getting the best price points. For those who don’t have the time to track these markets day in and day out, just keep stacking. Maybe we’ll get even better prices courtesy of the manipulators. If you’re not in a rush to sell, then you won’t get shook up by this kind of move. It really is laughable. The interventions are so obvious that the free market facade can no longer be maintained, and once enough eyes are opened the confidence that allows the fiat ponzi to continue will no longer be able to be maintained. Until then, take proper action and speak the truth.

Bitcoin

Here is a comment from last week: “If this is a low volatility upmove, then the volatile ones to follow will be quite the sight to behold…”.

These charts are a bit out of date – which now happens every 5 minutes it seems – as bitcoin is trading above $1,600 again. If you only have bitcoin or other cryptocurrencies, then you should definitely consider selling some – not all!! – and grabbing some physical silver. This latest upmove was steeper, but it hasn’t quite reached the blastoff levels that would require some scaling back. We may see some profit taking here, but the moves are becoming more aggressive. The $1,200 area looks like a good price for a buy now, and if we have another pullback followed by new high that doesn’t crack back down below $1,000 then we will likely have kissed triple digits goodbye for good.

Conclusion

Keep developing patience and accumulating real assets. If you’re not motivated to do something in this moment – at least getting yourself educated on critical topics – then you’re missing out on some of the best opportunities of your lifetime. Refine your decision making, learn new skills, and hang tight.

Disclaimer: These are one amateur’s fallible opinions. Holding any asset is risky, so do your own research and make your own investment decisions.