Graceland Updates 4am-7am
Gold Stairs. A friend
on every step!
Stewart Thomson
email: s2p3t4@sympatico.ca
Apr 16, 2009
1. Some of the gold market
oldtimers may remember 1979. Russia going into Afghanistan. The
Dow below its highs of 1966.
2. And Gold. Gold was here
to stay.
3. People lined up in the streets
to buy gold. And then, we all know what happened next, right?
20 years of pain the gold market. A few blips of hope here and
there. Each rally failing away.
4. Many of even the best in
the community were demoralized by the bear market. Looking back,
it's just a 20 year blur, a sort of dull pain that is mostly
faded away.
5. That is one reality of the
1980-2000 period. Here's the other: A 20 year non-stop party
for the bankers. No, I'm not talking about their short positions
or writing call options or selling hedges to mines.
6. I'm talking about being
LONG gold. Placing bets it would rise. Not one or two. Millions
of bets. A 20 year party of buying and selling gold for mega
profits.
7. I often talk to subscribers
about the two faces of the bankers. Most in the gold community
know a fair bit about the dark side. Where the bankers dump OTC
derivatives by the trillion onto the taxpayers. Where earnings
are created by accounting changes, not sales of product. Payoffs
to govt officials, kickbacks, theft of client funds. The list
goes on, and on, and on.
8. I agree with most of these
points made by various gold writers about the dark side of the
bankers. Just when we all think the banksters' behaviour can't
sink any lower, they show us all a new level of immorality, a
new sick and twisted game. When I read some of the postings,
I keep saying "nothing can surprise me now", but sure
enough, a new shop of horrors is presented that once again shocks
the unshockable. And this is occurring on a near-weekly basis!
9. There's another side to
the bankers that many in the gold community don't understand.
And that's what I want to talk about today. And it's critical
to be able to make this separation of the two faces. Failure
to understand their other face likely means you could eventually
lose a huge amount of your investment money. I'm talking about
their ability to trade gold. Which starts with their understanding
that gold bullion is the lowest risk investment in the world.
10. Through the efforts of
several writers in the gold community, it's becoming clear that
the bankers are moving close to $100 billion a day of gold through
the LBMA system, with most of it likely unreported. That's more
gold traded every day that the NYSE trades stock. Think about
it.
11. Gold is liquid. Gold is
safe. Gold is yours to buy and sell without the same massive
fear that the item will go off the board to zero.
12. What I'm doing for my subscribers
is posting a massive report on my website, detailing all the
action in the gold market from 1980-1999. I'm detailing the movement
of every intermediate move that occurred during that 20 year
span of time.
13. The reason I'm doing this
is because I sense the beginnings of a feeling of complacency
beginning to envelop the gold community. With most players either
in denial or going into a sort of cocoon.
14. I've seen that feeling
before and I've never seen any good come out of it. Once an investor
loses confidence, the negativity begins to snowball, and selling
is the inevitable result. Selling at losses. Drip, drip, drip,
out go the gold stocks, one bailed share at a time.
15. When you tie your gold
investments to the failure of the Dow, to the failure of the
US dollar, to the failure of the govt T-bond market, even to
the OTC derivatives nightmare, you can become a slave to the
action of those markets. A slave to the pictures of those markets
that are painted by the bankster artists on the huge media canvass.
16. Your "gold life"
becomes one of "if abc happens, then gold must go higher".
"If def happens, then gold must go higher". You begin
to depend on external events to cause gold to rise.
17. Think of the word "pure".
When I think about gold, I don't think too much about the US
dollar, which is what 99% of gold investors focus on. Many big
players in the gold market talk about "the view". Having
a big picture view of the world scene to gauge the prospects
for higher gold prices.
18. I don't focus on mine production,
supply and demand numbers.
19. I focus on the word "pure".
Pure Gold. Another word that comes to mind is: Pristine.
20. Gold is pure and pristine.
The US dollar, in my view, is some fly buzzing around me. Pakistan
is too. Read on and I'll explain why I have that perception.
It is a false perception, but it is one necessary to make money
in gold. Most of you would be horrified if the US dollar began
a rise to say, 150 on the index. I don't care if the US dollar
goes to 200,000 on the index or if it goes to 2. The US dollar
is a fly above my gold lake. And so is Pakistan. And so are the
OTC derivatives. When it comes to buying and selling gold, I
turn all of these "drivers" into flies.
21. What I care about is pure
gold. Gold is not going off the board, no matter what all the
other flies and contaminants do around the outside of my pure
gold world.
22. I buy and sell the gold
price and nothing else. The Gold Price is everything to me. It
is the be-all and end-all of making money in the market. The
gold market is the world's safest market, and when the price
of that pure market goes down, I buy. When it rises, I sell.
23. The bankers know what I
know, and know it 10,000 times better. Which is why they placed
millions and millions of buy and sell orders for gold from 1980-2000,
buying and selling gold for huge profits, 20 years of success.
The banksters are monsters. They are also the greatest gold investors
in the world.
24. Those who say that you
need a bull market in gold to make money on the long side of
gold are Dead Wrong.
25. Gold is timeless. No crisis
is timeless. Over history, all of the great crises of the world
are simply flies buzzing around the pure gold form. The collapse
of Rome, Hitler, OTC derivatives, famine, communism; all are
drivers of the gold price. All are temporary. For thousands of
years there have been reasons given by billions of analysts and
investors as to why gold should be bought or sold. As big as
these events have been and will continue to be, they all are
tiny flies compared to that which is: gold bullion. In the end,
there is only the gold price. To the banker, there is only one
reason to buy gold: The price has declined. When the price declines
you also must buy. When the price rises, they sell. You also
must sell. Build an inner core position that is never sold.
26. You have been, and will
continue to be, tricked by the drivers of the gold price. You
will never be tricked by the price of gold itself. It is pure
truth. All the rest of the drivers of price may have the noise
of a freight train, but they are all still noise.
27. The price of gold is about
900. That is 900 steps in price. The OTC derivatives issue is
no friend of gold. Nor was Hitler. Where an issue is a positive
or negative driver of the gold price, none are your friend. You
have 900 friends. Your friends are the 900 steps in the gold
price. Focus on your friends. They are all there for you. With
100% loyalty.
###
Apr 16, 2009
Stewart Thomson
Graceland Updates
website: www.gracelandupdates.com
email for questions: stewart@gracelandupdates.com
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Stewart
Thomson
is a retired Merrill Lynch broker. Stewart writes the Graceland
Updates daily between 4am-7am. They are sent out around 8am. The
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Risks, Disclaimers,
Legal
Stewart
Thomson is no longer an investment advisor. The information provided
by Stewart and Graceland Updates is for general information purposes
only. Before taking any action on any investment, it is imperative
that you consult with multiple properly licensed, experienced
and qualifed investment advisors and get numerous opinions before
taking any action. Your minimum risk on any investment in the
world is 100% loss of all your money. You may be taking
or preparing to take leveraged positions in investments and not
know it, exposing yourself to unlimited risks. This is highly
concerning if you are an investor in any derivatives products.
There is an approx $700 trillion OTC Derivatives Iceberg with
a tiny portion written off officially. The bottom line:
Are
You Prepared?
321gold Ltd
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