Does the fast-fading world reserve currency [the USD] look like it is collapsing? A look at the performance of the U.S. Dollar Index does not suggest that it is, weak as it is. If the fiat dollar is not in danger of imminent “collapse,” or even breaking down, then gold does not have this event as an impetus for rallying higher. [Frankly speaking,] until that changes, gold ain’t going higher, at least in the short term.
So says Michael Noonan (edgetraderplus.com) in edited excerpts from his original article* entitled Gold – A Supressed Market Remains Suppressed, But For How Long?.
[The following is presented by Lorimer Wilson, editor of www.munKNEE.com and the FREE Market Intelligence Report newsletter (sample here) and may have been edited ([ ]), abridged (…) and/or reformatted (some sub-titles and bold/italics emphases) for the sake of clarity and brevity to ensure a fast and easy read. This paragraph must be included in any article re-posting to avoid copyright infringement.]
Noonan goes on to say in further edited excerpts:
In the chart below we can see the dollar’s inability to trade back even to the 50% level of the range from the high to low. It is contained by a triangular coil formation, and nearer the upper half of the range. Whenever you see a price in the middle of any kind of range, information is at its most unreliable, for price can go either way and still not break out. Better to wait for clearer direction.
For all the global demand for and short supply of gold, there are other reasons why you see price at the recent lows. However dismissive anyone wants to be of charts depicting what is admittedly a corrupt paper market, and irrespective of a premium for physical gold over paper, the price of the physical is still expressed in values related to the paper market.
That being said, there are many reasons that one should be buying and accumulating physical gold.
- The Western financial system, [Ponzi scheme], of fiat currency is closer and closer to failing.
- China has no reason to force the West into immediate collapse. The Chinese are more patient and know the West will self-destruct on their own. China is already shopping the Western world, buying up bargains.
- Russia also knows it has a winning hand…
Owning physical gold is one of the best ways of preserving one’s wealth, even growing it, once Western default becomes a reality. The problem is that reality could take longer than most expect, as it already has. The upside for gold buyers is, they still have time to buy, and at prices that are unlikely to be revisited in anyone’s life time.
[Editor’s Note: The author’s views and conclusions in the above article are unaltered and no personal comments have been included to maintain the integrity of the original post. Furthermore, the views, conclusions and any recommendations offered in this article are not to be construed as an endorsement of such by the editor.]
Other Noonan Articles on Gold & Silver:
The inevitable end for central bank control…is certain: the end is near, and fiat currencies are likely to implode and cause enormous financial ruin for those unprepared. It is crucial, now more than ever to be buying physical silver. Let me explain more fully and update you on just what the charts are saying today. Read More »
The demand for silver has grown exponentially in the past few years (record sales for American Eagle coins, record buying in India), but supply, on the other hand, keeps diminishing…Whenever there is a situation where demand rises sharply, while supply commensurately declines, it is a recipe for higher prices, and usually, much higher prices. This is true, unless one is talking about the silver market…[which] is at its lowest levels in the past three years. With talk of silver going anywhere from $150 to $500 higher, it currently struggles to hold $20. Why is this so? Read More »
According to the charts, the price of silver is not ready to reverse its trend. [In fact,] the monthly chart, and the lower time frames, clearly indicate the trend as down….The probability is high (80%) that the last swing low (in June) to $18 will be exceeded. Read More »
The dramatic rise in Bitcoin is the best reminder for all those buying and holding physical gold and silver, for whatever length of time and at whatever price, better days are assured. It is just a matter of time. Read More »
The decline is holding near the last swing low. Will the June low hold? The odds are greater for the low not holding, based on the trend, but there is no way to determine the probability of the June low giving way, for it is possible it will not. Read More »
No matter what the latest “news” development is for PMs that paints a rosy picture, those in the fundamentalist camp are looking through rose-colored glasses to expect change in the near future. The charts for gold & silver continue to tell a more accurate story that belie all known fundamentals, and the charts shown here depict a market in decline with no apparent end in sight. Read More »
Fundamentals are relative, charts are absolute. They accurately reflect all that is going on, regardless of reasoning/motivation and…right now, the charts are letting us know that higher PM prices are unlikely to occur anytime soon. Barring some kind of “overnight surprise” that will shock the markets, odds favor lower prices over higher prices unless and until demand shows up in chart activity. Read More »
It takes time to turn a market around, and silver is in that process. There is no degree of certainty that a bottom has been reached, but there exist at least a probability the recent lows may hold. Whether the lows hold or not, one cannot lose sight of why accumulating silver has been so important. When price finally accelerates higher, the trying of one’s patience will quickly be forgotten and all will be well. Read More »
Some of the finest and most highly regarded minds in the world of PMs have been saying gold and silver are going higher…[but] the charts have “said” otherwise, and that has been the correct read…The fundamentals may be as bullish as can be [but] the charts are sending a different message. Read More »
The manipulated raids in the gold market since last April may be hurting the Precious Metals game players, weakening their confidence and “disproving” gold’s worth against a fiat currency, but they serve a greater purpose, as in Federal Reserve payback time to China. Here’s why. Read More »
The Ponzi bubble is bigger than most can imagine. Western central planners… [continue to try to] suppress gold and silver in order to keep their sorry lives alive. In the process, the destruction of people’s financial well- being is unabated… Read More »
Using past history of how price responds, it is likely that gold, and silver, could move sideways for another year or two. While this flies in the face of so many current, supposedly “expert”, opinions [mine is not based on opinion but, rather, is strictly based on the facts as conveyed by the charts. Take a look and you will see that too!] Read More »
Below is a perfect example of how the charts timed the movement in the price of gold and silver over the past week. Yes, you CAN time the market as this article clearly demonstrates! When the market “talks,” we listen.] Read More »