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Marc Faber: "Gold Is Quite Oversold. I Will Consider Buying Gold Over The Next Two Days"
Anyone trading gold and silver most likely had a heartattack this morning. Of that subset, anyone who survived and traded with conviction made a killing, following an impressive surge in both metals, which saw silver soar from $26 all the way back to $30, after it was made clear that there was no behind the scenes liquidation of the metal but merely more piggybacked margin hikes this time out of China as was first reported by Zero Hedge. Another factor that helped was Marc Faber's appearance on CNBC earlier, who said that gold is now "quite oversold" and that he would be adding to the yellow metal in the "next two days." In retrospect, he should have been adding today to his existing holdings. However, since he already has 25% in gold, he is forgiven. Mutual funds which, however, have about 1% in gold, are not.
Some of the key soundbites from Faber: "Gold is quite oversold and I would consider buying some gold in the next two days... We overshot on the upside when we went over $1,900. We're now close to bottoming at $1,500, and if that doesn't hold it could bottom to between $1,100-$1,200. "Both equity markets and gold markets have become very oversold, and I think a rebound is occurring. Following this rebound, which I expect to get underway this week, there will be a longer slowdown." In other words, Faber shares our undying certainty that should stocks plunge and they will once the rumor mill halflife is measured in nanoseconds, the Fed will have no choice but to intervene again, with trillions of monetization. We speculate that that would not be exactly negative for gold...
And naturally, CNBC's spin on this same interview is that according to Faber gold is plunging to $1,100... Sigh.
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Jim Rogers
"We have discussed before that gold has been up 10 years in a row, which is very unusual in any asset class. So if it is up this year or 11 years in a row, gold is overdue for a correction and it could have a nice substantial correction given that it has been so strong.
I have no idea what is going to happen this year. I doubt if it will go to $2000 an ounce in 2011, it is more likely to have a correction which will last for several weeks, several months. It has been very strong. If it goes down some more, I would buy more gold as I have told you many times."
I know EXACTLY what will happen this year with gold and silver: They will go down a little (or a lot) and I will buy some. Also, they will go up a little (or a lot) and I will sell some.
Quite mechanical - quite boring.
Ringing the cash register the whole way.
gold is overdue for a correction
Is fiat printing due for a corrrection?
Was that the Jim Rogers who said China was not in a bubble and would be the engine that pulled the rest of the world out of recession, that Jim Rogers?
Marc Faber tracks Ron Griess' Chart Store Blog very closely as Ron's charts routinely appear in Faber's monthly reports. Ron has postulated that gold is bouncing between the 50,2 bollinger bands right now, which places the low at around $1,500. If there is a bounce, it will likely happen at $1,500.
Break
Marc:
We know you are not a blogger, but know you read this blog. It would be awesome if you could chime in once in a while- maybe it would cut down on some of the emails you receive? :)
Kindest regards.
Famed gold bull John Paulson held his ground with his $4.6 billion stake in the large gold exchange-traded fund SPDR Gold Trust in the second quarter, according to 13-F filings with the U.S. Securities and Exchange Commission that provide the best insight into where hedge funds are placing their bets.
George Soros, who dumped almost his entire $800 million stake in bullion in the first quarter, further reduced his investment in SPDR Gold Trust by 13 percent to just over $6 million.
http://www.reuters.com/article/2011/08/16/us-hedgefunds-holdings-gold-id...
add the Fed, JPM and Goldman Sachs to the mix and the price of Gold could soon hit US $0.001/kg
with all these infallible geniuses betting on Gold, how could you possibly lose ?
wr;)
I don't know about the rest of you, but for me, watching this whole thing play out is fascinating...
You're on the right website to do so. There is so much junk information being coughed up by our corrupt MSM that it disheartens or frustrates people who know what the reality is. At least on ZH you can breathe.
Yeah, if you can fade all the disinformation agents, idiots and assholes.
Kill the Trolls
I shouldn't buy today. I have cash allotted for buying and I spent it all on Friday, but I can't help it, I'm hitting the store up on the next dip. Is that what you mean, or are you just watching the wheels go 'round?
Just watching the wheels go round and the various player's moves...
I am buying on Wednesday. Just another monthly accumulation. I will just get more for my fiatscos than I have in a few months. BFD.
I hope that works better than his short long Treasuries call...
Gold is also a harbinger, and right now its behaving as it historically behaves prior to a significant financial collapse.
Yes. Technical indicators and trend lines can be manipulated, but historical patterns cannot. They can move the price back and forth across a trend line to create a head and shoulders, and then run your stops, but they can't hide what they are doing. They have to print or stop kicking the can. There is no in between.
I spit the coffee this morning with the WSJ's headline, "Gold Suffers in Rush for Cash". First line of the article indicates investors dumped gold for the "safety" of cash! Hilarious.
That would be the buy USD high sell low strategy. Obvious that USD are going to get absolutely spanked at some stage ....so why not get into it now. LoL
I don't think they understand how long this has been going on for
http://www.youtube.com/watch?v=5vzaFr_JN34
Faber is the man
only fools ignore his advice
Lives in Thailand as well so hes not just some white collar wimp who has zero experience of the world outside of wall street
Interesting Gold forecast with a bearish bias for the next sevaral months. http://bit.ly/nUOaNq
That chart is hilarious! Maybe if gold had the same fundementals of Netflix the chart would paint like that. Fortunately, gold is a solid product with no overhead costs, and if I hold on to it I can still get more.
Sorry, I have to agree about that chart.
Wave theory is predicated upon the idea that prices are influenced by human sentiment, that markets are a particularly good pond to reflect that human sentiment, and that sentiment can be measured in waves.
I think this market perfectly reflects Ben Bernanke's ass as he does a cannonball into the pond, thereby making whatever price action he wants. Wave theory breaks down beyond a certain minimum level of manipulation.
2nd quarter 2012 is the global upcoming big chingaso, IMO. If you're not prepared with some physical by then it'll be too late to recover enough to make it through the fiat crap storm. Bennie's printing press is primed and ready to respond when called upon. When that'll be is sooner rather than later.
This is one hell of a market to try and time. All I know is that the world will be begging him soon enough to stamp out liquidity fires.
Liquidity Fires. Good one.
I welcome a crash in PM prices. It will allow me to stack it even higher. My PM's are not being bought as an investment. They are there as a hedge against a complete collapse of our US Dollar, which is going to happen no matter what at this point.
The dollar is just doing its usual thing, what it has been doing for the last five years - oscillating in a range of 75-90. Dollar rallies off cyclical lows tend to be quite violent which probably catches many of those who bet against it off guard.
Here's the article Tyler mentioned. These hogs will do anything to spin gold lower.
Faber- Gold Could Fall to $1,100:http://www.cnbc.com/id/44667027
While he's buying gold, these poor Wall Street protesters can't afford a shirt! (NFW warning) http://www.youtube.com/watch?v=iD85023px-E&feature=related
Soros ia a walking Oracle, yet people here despise him. Soros dumped his gold already at prices below $1600.
Soros used to tattle on Jews for the Nazis, and he has said he is proud of that fact.
TPTB making sure they attack gold when stocks tank. Corruption getting a trifle obvious now.
These guys are really really keen to get people out of / keep people out of gold and silver.
What TF are they up to?
Must be some really huge print jobs coming up.
I love when Gold goes on sale. $1592 right now.
The asians do to. I wonder if their exchange was set up primarily to manipulate the market a la CME. They sure got the best dip thus far.
Concerning silver. What can be learned from the past few days is that this is not a commodity manipulated by derivatives. It is purely a derivative. This is a commodity that is like the 13th floor of a high rise. The effect of supply and demand for the actual commodity has virtually no effect on price. The mafia cannot let the price drop too far, or everyone will wake up to that fact. The only reason people haven't realized it yet is because governments are willing to sell new physical supply at the derivative price. A handout we can all participate in.
When HSBC, JPM and others jumped on to the Gold bandwagon and predicted the prices would go sky high, I knew that these were just counter-indicators and the ground work was being laid for a major pull down.
Marc Faber is either a wizard or has some great insider information. Either way, he has been consistently correct and deserves a lot of respect. Hats off Faber Hats off...
Here are some P&F chart targets.
GLD's target at $128
SLV's at $13
I am long PM's from here, I need to make some money in the bounce
Soros is a walking Zionist jewbag insider criminal who is a NWO operative pure 100 percent scum
@Crash In Asia
The indece representing the crash is probably the Hang Seng:
http://www.bloomberg.com/apps/quote?ticker=HSI:IND
Can any of the smart ZH posters explain what on earth is going with paper gold,to be specifif GLD?
I'm not smart enough to explain but have enough brain cells to post a link
http://www.marketskeptics.com/2009/02/risks-in-owning-gld.html
Can any of the smart ZH poster what on earth is going on with paper gold, to be specifif with GLD?
The S&P (ES) is setting up for another drop soon to below 1100. http://bit.ly/pqc7LL
Anyone trading gold and silver most likely had a heartattack this morning.
If a. you just started buying gold.
b. all of your assets are in PMS
c. You live in a hi-rise in the middle of LA< NY city .....
The only paper I own is the stuff I wipe my ass with. Market paper is worthless, because I cannot do a good job of wiping my ass with it. Gold was worth $28.00 an ounce when I was a kid. Silver was worth whatever was printed on the coin you spent. Any one think those days are coming back? All of the lying bum fucking aristocracy of the Age Of Paper Power can burn in their paper suits soonest. I won't even bother pissing on them to put out the flames. I collect gold, silver, lead, copper, real dry powder, food, tools, diesel fuel, and other useful commodities. There is a community of folks all doing the same, so skill sets and extra eyes and hands can guard each others sixes, and "break on through to the other side, break on through to the other side, YEAH "
Paper sucks, you Wall Street fucks! I'll see you vampires in the sun, with my loaded silver gun. Yer goin' down in flames, from Lower Manhattan to the Thames. Your paper is I know not where, I'd rather shit my underwear! For, be there bull, or be there bear, silver is the suit I wear! (With gratitude, and apologies to Dr. Seuss.)
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