Tag Archives: Mako Mining

“Major Battle Underway In The Gold Market”

The chart (and blog title) above is from James Turk via King World News. Turk was making the point that the western Central Banks, via the bullion banks, are short $4 billion worth of paper gold on the Comex. With all of the Central Bank money printing, and the Fed is by far printing the most, it would be a disaster for the fiat currency system if the price of gold were to break free and rediscover price discovery. It’s only a matter of time until this occurs. But for now the Central Banks are making a concerted effort to do what they do best: defer reality for as long as possible.

For now the goal is to prevent gold from breaking above $1800, which means the invisible “battle line” is at $1790. I remember when gold was trying to get over $400. It seemed like it took forever. But once $400 fell (shortly after Elliot Wave aficionado, Robert Prechter, proclaimed gold was going back to $50), it didn’t take long for gold to double (about 18 months). I think once gold gets through $1800 and holds, it will challenge the all-time high at $1900 relatively quickly. For as bullish as I am on gold, I’m 3x more bullish on silver.

A subscriber was concerned about the possibility of the miners getting hit hard in the next general stock market crash. I suspect the miners will get hit initially but then stage a rally. But that’s why I advise always leaving yourself plenty of cash to take advantage of big sell-offs that will likely recover quickly and take the market higher.

We’re in an ideal period of time for gold/silver to move higher with all of the money printing and concomitant currency devaluation. As gold/silver move higher the mining stocks will eventually catch a big bid from the mainstream investing public and soar. Look at how quickly the mining stocks recovered from the March massacre. (And from the Thursday/Friday morning price slam as the Comex was opening).

NOTE: The commentary above is from the last issue of my Mining Stock Journal subscription newsletter. In this issue I provide any updates and recommendations on my core portfolio recommendations.  I also provide a brief review of Vizsla Silver ($VIZSF) and Mako Mining ($MAKOF).  You can learn more about my newsletter here:   Mining Stock Journal