Silver & Gold Surge On POMO; DeMark Tells Santelli "Big Move Coming"

Tyler Durden's picture




 

Despite numerous "13s", infamous technical analyst Tom DeMark tells Rick Santelli, the Fed's liquidity pump has negated every one of these 'potential sell' signals and stocks have "unusually" kept going. DeMark goes on to note several analogs and trendlines that look extremely familiar; warning that the convergence of all these signals is notable and suggest "something comparable to 1929". Unable to get a word in edgeways, Santelli is more intrigued by DeMark's call on precious metals as he notes with downside limited, there is "a big move coming" for gold to the upside in 2014. Precious metals prices started to accelerate as POMO started (and again when it ended) and are extending the gains post DeMark (Silver +4% from early lows).

 

DeMark on the equity market analogs and Gold's coming big move...

 

As we noted previously, the Ghost of 1929 is re-appearing in many signals.

 

 

and the longer-term trendlines are converging...unless... it is different this time...

 

Precious Metals are shifting notably today with Silver surging 2.7%!

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Mon, 12/16/2013 - 13:47 | 4250924 Tinky
Tinky's picture

A big move coming in gold in 2014? Wait – I'm utterly confused. Our own, recently appeared ZH PM guru Satoshi has repeatedly warned of a further decline in gold prices.

Very confusing indeed.

 

Mon, 12/16/2013 - 13:50 | 4250927 Herd Redirectio...
Herd Redirection Committee's picture

I hope everyone remembers to check for tungsten this Christmas!

Mon, 12/16/2013 - 13:54 | 4250949 DoChenRollingBearing
DoChenRollingBearing's picture

Buy gold!  With FIAT$ or with BTC!

Even the mainstream money managers are OK with 5% of assets in physical gold.

Yet, how many Americans actually own investment (non-jewelry) gold?  1% is the number I have seen the most before.  

Join the 1%!  Be your own central bank!  Buy gold!

Mon, 12/16/2013 - 13:56 | 4250954 malikai
malikai's picture

Gold's looking pretty strong today. 

https://www.quantsig.net/live.html

Mon, 12/16/2013 - 14:04 | 4250975 knukles
knukles's picture

Well, the one thing that might mess up the gold rally is the Obiecare concern, which is the irresponsible over use of the system by an uneducated public which will drive up costs for those who have to pay for the subsidy of others!.
Why just the other day, a
woman goes to the hospital.
"What seems to be the problem?" asked the doctor.
"Something is terribly wrong; I keep finding postage stamps from
Costa Rica in my vagina."
The doctor looks and says, "Those aren't postage stamps, they're the stickers off your bananas"

 

 

 

 

Mon, 12/16/2013 - 14:09 | 4250998 Alea Iactaest
Alea Iactaest's picture

Just one thing? USD strength would do it, too. Of course if I was living in Euro-land I might seriously consider loading up, what with the coming IMF (non) confiscation and the potential for some serious devaluation when the ECB starts printing. Or there's a soveriegn default (impossible, I know) which triggers a margin call or twenty and the whole rehypothecated house of cards comes tumbling down.

Happy 2014!

 

PS - Greenie for making me laugh.

Mon, 12/16/2013 - 14:24 | 4251044 BaBaBouy
BaBaBouy's picture

SWITCH Time From Virtual CoinBits, To Real Metal???

Just Askin...

Mon, 12/16/2013 - 14:33 | 4251090 Keyser
Keyser's picture

Someone heard you as bitcoin is down this morning and gold/silver are up. 

Mon, 12/16/2013 - 14:37 | 4251106 kralizec
kralizec's picture

Fucking pop up ads are way the fuck up!

Mon, 12/16/2013 - 17:18 | 4251764 MeelionDollerBogus
MeelionDollerBogus's picture

I can't see any.
adblock + noscript + firefox = doesn't happen

Tue, 12/17/2013 - 00:42 | 4253001 13thWarrior
13thWarrior's picture

Add Self-Destructing Cookies Extension as well.

Thu, 12/19/2013 - 01:34 | 4253216 MeelionDollerBogus
MeelionDollerBogus's picture

ooooh sweet, didn't know about that one. I'm about to embark on messing with ssh + foxy proxy in a bit too (as shown by http://www.youtube.com/nixiedoeslinux) http://youtu.be/5mCNO_aL4BA

* edit: just installed it. Works like a dream, thanks for the tip

Mon, 12/16/2013 - 17:33 | 4251827 Greenskeeper_Carl
Greenskeeper_Carl's picture

firefox+ghostery for me. also, no popups. ever

Mon, 12/16/2013 - 16:03 | 4251457 Atlasshruggedme
Atlasshruggedme's picture

Metal is always better then bitcoin. Keep in mind that until bitcoin is welcomed at your local Target and Liquor store, its real value is hidden. Take your gains and buy real metal. But never hurts to leave a bit in the coins incase the Fait tanks.

Mon, 12/16/2013 - 14:55 | 4251162 BandGap
BandGap's picture

Barely disgusting enough to be shared.

Mon, 12/16/2013 - 17:18 | 4251755 MeelionDollerBogus
MeelionDollerBogus's picture

That's mah knucks, always raising the bar!

Mon, 12/16/2013 - 15:47 | 4251379 rodocostarica
rodocostarica's picture

And Fonestars portfolio is getting hammered.

Mon, 12/16/2013 - 14:04 | 4250983 cro_maat
cro_maat's picture

I'm diversifying into Bearings! I just put 2 into the forks of my CB 200 that I am rebuilding with my sons and I may need 4 more for my long board.

DoChen - I consider you the CB of Bearings. Are you a Bearing Mint and what premium do you charge for being the official bearing diversifier on ZH?

Mon, 12/16/2013 - 14:10 | 4251001 max2205
max2205's picture

Spin....buy the fucking dip

Mon, 12/16/2013 - 16:01 | 4251440 DoChenRollingBearing
DoChenRollingBearing's picture

Diversification is a good thing!  Bearings made of 52100 steel count.  Especially in another country (Peru).  

DoChenRollingBearing charges nothing for opinions here on Zero Hedge.  As the old joke goes:

"Everyone is entitled to my opinion!"

Mon, 12/16/2013 - 17:14 | 4251744 MeelionDollerBogus
MeelionDollerBogus's picture

is this a confirmation you actually got physical gold delivery using btc?

I've been curious to see how your experiment went.

Mon, 12/16/2013 - 18:10 | 4251950 DoChenRollingBearing
DoChenRollingBearing's picture

Not yet, but I have reason to believe it will be soon.  I will announce it very publically, whether I get the Au, or whether I get the "Dumbass of the Month" award...

Mon, 12/16/2013 - 14:02 | 4250969 superflex
superflex's picture

Unless you have ultrasonic equipment or are willing to drill your bars, that aint gonna happen.

XRF is only good for the first milimeter or two.

Mon, 12/16/2013 - 14:55 | 4251169 BandGap
BandGap's picture

I don't think XRF even works that deep.

Sound should work, the layers will reflect sound at the interface.

Mon, 12/16/2013 - 17:15 | 4251740 MeelionDollerBogus
MeelionDollerBogus's picture

conduction test & magnetic slide test.
Tungsten can't replicate gold's properties in this regard and it's not just surface deep.

Mon, 12/16/2013 - 14:25 | 4251057 Papasmurf
Papasmurf's picture

Our own, recently appeared ZH PM guru Satoshi has repeatedly warned of a further decline in gold prices.

I thought Shitaso had been discredited by ZH members and considered a contrary indicator now.

Mon, 12/16/2013 - 14:34 | 4251097 Keyser
Keyser's picture

Correct, just like GS and JPM. Do whatever they say no to do. 

Mon, 12/16/2013 - 15:39 | 4251336 BigJim
BigJim's picture

Hell no! 'Shitaso' has given tremendously valuable advice - like, buy timberland in the Pacific NE for $200 an acre, sit back, and you'll make a fortune when you sell it for £10,000 an acre!

His other smart observation is that if you can get gold at around $800 an ounce... well, you could make a killing!

The man is an ace arbitrager, that's pretty clear.

Mon, 12/16/2013 - 19:10 | 4252147 Catflappo
Catflappo's picture

If he is indeed 'right' about stocks, then it looks like they need to rally a further 25% into January before they crash.

So S&P500 @ 2250, here we come?

Wed, 12/18/2013 - 15:15 | 4258056 papaclop
papaclop's picture

Just buy the metals. Since'08 the Fed's balance sheet has gone from $800 billion to $4.5 trillion. Its just a matter of time before the metals go nuts.

Mon, 12/16/2013 - 13:49 | 4250925 SAT 800
SAT 800's picture

It's a plausible thesis. The problem for the metals is the ETF's. When people de-invest in them it releases supplies on the market; I've been surprised at the relatively small price reverses caused by the net ETF sell offs in 2013; so far, the market is resilient. Un-fortunately it's always impossible to predict whether recent "floors" in prices will hold up or not.

Mon, 12/16/2013 - 13:51 | 4250938 Winston Churchill
Winston Churchill's picture

Opex tomorrow.Overnight slamdown.Got to keep it down until year end.

Mon, 12/16/2013 - 14:17 | 4251024 InjectTheVenom
InjectTheVenom's picture

tomorrow ?     you sure  ?     check your date  (and plz correct me if i'm wrong, thanx !)

Mon, 12/16/2013 - 15:05 | 4251208 tenpanhandle
tenpanhandle's picture

GLD never held the supply it purported to have.  It was largely a demand sponge. IMHO any real gold has already been redeemed and now it is a purely paper proposition.  Like Ft Knox GLD has no GOLD.

Mon, 12/16/2013 - 13:48 | 4250929 Strider52
Strider52's picture

I've been hearing this rally-cry for months now. The Monkey Hammer always wins. Until it doesn't, which could be years away.

Mon, 12/16/2013 - 14:00 | 4250962 Platinum
Platinum's picture

True, and I'm going to continue to buy like a banshee until that day comes.

I sense a PM run early in the New Year.

Mon, 12/16/2013 - 16:09 | 4251475 DoChenRollingBearing
DoChenRollingBearing's picture

FOFOA says buy as much physical gold (which I would extend to platinum, but that's me, NOT FOFOA) "as you understand".  I buy as money comes in.  There is no harm in buying gold whenever you can.

Mon, 12/16/2013 - 14:16 | 4251038 Sleepless Knight
Sleepless Knight's picture

Time to Spank the Monkey!!

Mon, 12/16/2013 - 14:21 | 4251054 Yardfarmer
Yardfarmer's picture

uh, not so fast Strider.

The large U.S. bullion banks have been net long gold futures since June. Now the entire Producer Merchant class of traders is collectively net long gold futures. Incidentally a new Bank Participation Report is due out Friday for Tuesday positioning.    

So what do we make of the facts above?  Something has changed in the view of the largest traders of gold futures.  Gold has been sold down long enough and far enough that the gold trade itself suspects it has little in the way of downside left.  Are they right? (They certainly were in 2008.)

And, is gold about to work its way back up to a point where the Producer Merchant net hedge position can return to where it seems “comfortable?” – Back to the range of between 140,000 and about 200,000 contracts net short? 

If so, both gold and the Producer Merchant net hedge position have a lot of chart real estate to cover.  The charts above strongly suggest that the gold trade is expecting such a reversal too.  The question is not if, but when. 

- See more at: http://www.gotgoldreport.com/2013/12/rare-signal-producer-merchants-net-...

Mon, 12/16/2013 - 15:01 | 4251186 cro_maat
cro_maat's picture

JPM brokers are now telling their best clients to buy physical gold. My bullion dealer on Wall Street sold 55 Gold Eagles for $70K in cash on Friday to a JPM client. Other clients are now showing up to buy physical as well!

Mon, 12/16/2013 - 15:29 | 4251307 tocointhephrase
tocointhephrase's picture

I guess they would get the axe if they were advising clients to buy physical silver

Mon, 12/16/2013 - 15:10 | 4251233 tenpanhandle
tenpanhandle's picture

Didn't you read Knuckles up above Strider?  Monkey Hammering is weakening. The monkeys are starving because the bananas are starting to smell fishy to them.

Mon, 12/16/2013 - 13:53 | 4250931 SheepDog-One
SheepDog-One's picture

'Analyzing markets of the past decades'....I completely ignore this, as long as the FED has it's hooks in everything manipulating every last thing I'm not holding my breath for any 'big PM moves' anytime soon except maybe for 'down'. Fughedaboudit.

Mon, 12/16/2013 - 14:42 | 4251134 kill switch
kill switch's picture

However...

We can ignore reality, but we cannot ignore the consequences of ignoring reality..Ayn Rand

 

 

Fiat always goes to zero!!!! Keep Stacking_ SheepDog-One.... I also suffer a little from collapse fatigue,  but it will come, as dark clouds are forming.

Mon, 12/16/2013 - 15:47 | 4251364 Captain Kink
Captain Kink's picture

taper of any kind slams gold to new lows below 1200...perhaps as low as 900, depending on pace of taper.  no taper and we rally to 1450-1500, and fairly quickly

seems pretty clear that a straddle is the way to play, short term.

 

long term, own Phys

Mon, 12/16/2013 - 13:53 | 4250937 Magnix
Magnix's picture

Its about time!

Mon, 12/16/2013 - 13:53 | 4250939 ParkAveFlasher
ParkAveFlasher's picture

Wake me when...when...oh don't bother waking me.  The hell with it!

Mon, 12/16/2013 - 13:51 | 4250941 arkel
arkel's picture

But POMO has been going on for while. What changed today? In any event, my gut tells me this up move will be negated with some overnight selling. 

Mon, 12/16/2013 - 13:53 | 4250944 fonzannoon
fonzannoon's picture

Between this guy, a guy named Turd and the bitcoin rally it seems assured the stars have aligned for gold. Also my dog took a shit on a gold colored candy wrapper today. 

Mon, 12/16/2013 - 13:57 | 4250956 Meat Hammer
Meat Hammer's picture

Soft-serve consistency = bullish for gold

Solid log = bearish for gold

Either way you look at it, you'd be about as right as these "experts".

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