(Never, ever forget that they hunted down and killed this poor bastard.)
(Or maybe they didn't. The news at the time was that they did.)
So, here's you silver chart. After reaching a peak of $38.80 overnight, the hammer (and sickle) fell and so did silver, all the way to 38.07. So far, you couldn't ask for more. The BoS stepped in right where I'd hope they would in the area around 38.10. In the building FUBM since, retaking and holding 38.30 will be the key. Remember that the previous print high in silver was 38.18 so we do not want to spend much time back below there. We want silver to be firm today, giving the impression that the breakout to new highs has taken hold and that $40 is coming very soon.
The main point of this thread is gold, however. It seems that, suddenly, its not just The Turd who is noticing the holding pattern that gold is in. Everybody and their brother suddenly has an opinion and most of them are bearish. Keep in mind and never forget that The Cartel has many, many agents of disinformation out there. These folks are tasked with confusing and scaring you. The more folks they can convince to sell their gold, the less paper gold The Cartel has to create.
Gold is about to break out and head higher. By the looks of this chart, the breakout is coming very soon, probably within the next week. The price was capped back in November (the onset of QE2) at 1425. That level contained it and served as significant resistance for nearly four months. However, gold broke through that level in early March and has used the past six weeks to base above it. This is very important as the time is being used to acclimate buyers to a new paradigm price above 1400. Now that the base has been built, once gold moves higher, the breakout will be obvious to all (except that fool, Gartman). Having mentally adjusted to a 14 "handle", new money begins to rush in as greed overwhelms fear. Somewhere north of 1500 will be the next pause point. Santa's next angel is at 1521 and that sounds about right. I'd expect some light resistance in that area but gold will continue moving higher, eventually reaching $1600 on or before June 10, 2011.
Let go get 'em!!! TF
10:30 EDT UPDATE:
Gold is rolling.
11:45 EDT UPDATE:
The timing of this thread was pretty good, wouldn't you say? If you regularly skip my notes and head straight to the comments section, I'd encourage you to go back up and read the paragraphs about gold.
We are really beginning to squeeze the shorts. I have a last of 1448.50 and a high of 1452.
Btw, Brent crude has a last of $122.30 for a spread of $14 over WTI. Soon, WTI will spike higher to close the gap and that will only increase the pressure on the PM shorts.