Gold & Silver: The perfect storm?

I believe that there will be some huge moves in the precious metals in the near future since we are nearing the end of some critical wedge patterns in both gold, silver, the silver/gold ration as well as the mining stocks. The direction of the...
Continue reading »

Wednesday Reading

“Retail Investor Euphoria Sign of Looming Market Bubble” – “Deep Subprime Auto Loans Are Surging“ – “Foundation – Fall of The American Galactic Empire” – “Two Fed Presidents Warn Markets Getting Frothy, Valuations May Come Down” – “Something’s Broken In The...
Continue reading »

US Real Estate Bubble 2.0

Housing bubble
With the FED opening the easy credit spiggot (again) in the aftermath of the last financial crisis, a lot of assets has seen valuations skyrocket. Again we see real estate prices being pushed up around the world thanks to; 1) Record low interest rates for...
Continue reading »

Chart of the Day: Real Rates

Real rates
Note: Real rates are calculated by taking the rate of inflation and subtract interest rate. If real rates are negative, it means that your purchasing power declines even if you deposit your currency in a “savings” account. Precious metals love negative real rates because of...
Continue reading »

Charts of the day: What housing bubble?

Housing Bubble
  This is what you get with ultra low to negative rates. Real rates are even worse in many developed countries. Noone wants to save in a bank when you can buy real assets with maximum leverage at record low rates. When rates go up,...
Continue reading »

March 15: D-day?

With only a few short days away from three potentially big catalysts, it is interesting to see that gold and the miners are poised for a big move…   Gold is reaching the end of a multi year wedge formation     GDXJ (Junior Miners)...
Continue reading »