Gold Bugs-Don’t take your eyes on this critical price zone!

Certain price zones for all assets come into play where bulls would not want to see selling get started. Below highlights one of those points for Gold Bulls.

The left chart looks at Gold over the past 20-years and the right chart zooms in to look at just the past 4-years.


For nearly 20-years, Gold has created a series of higher lows above the line (A) in the left chart. The lows in 2016 and 2017 did NOT break this rising support line, which is a positive/bullish for the bulls.

The right chart highlights that Gold continues to find three different resistance lines to be heavy resistance at (1), with higher lows taking place over the past 2-years.

Below looks at 20-year charts on the US$ and the Euro-


The 10-year trend in the US$ is up (higher lows) and the 10-year trend in the Euro is down (lower highs).

The 1-year trend in the US$ is down (highs lower) and the 1-year trend in the Euro is up (high lows).

The decline over the past year in the US$ and the rally in the Euro has the US$ testing a cluster of support and the Euro testing a cluster of resistance.

Metals bulls in the top chart Do Not want to see selling pressure start at (1) and they do not want to see selling pressure start at (2) in the Euro. At the same time metals bulls do not want to see buyers come forward a (1) and breakout above falling resistance.

Tomorrow we will be conducting a private briefing for our blog viewers and these charts will be two of many that we will discuss. We will discuss how to play breakouts/breakdowns in Gold, US$ and the Euro. If you would like to attend our FREE webinar….CLICK HERE TO REGISTER




Call us Toll free 877-721-7217 international 714-941-9381 


Receive daily research I post on the blog each day

Follow on Twitter 

See our latest webinar







Albertarocks Tue, 02/20/2018 - 12:12 Permalink

If we see selling start at point (1) in the upper chart we could see gold at $700.  What are the odds of that happening?  Only in a massive deflationary scenario... and what are the odds of that happening?  We could only see a massive deflationary scenario in a world where defaults become systemic and all currencies vanish right back into the imaginary void where they were birthed in the first place.  That is a scenario where currencies become scarce with the dollar in highest demand for the longest period of time.  The central banks would print 10x as much money as they have already printed, but to no avail because of the sheer size of the bond markets that would be collapsing.

Is that possible?  A global bond market catastrophe?  Yup... it could happen.  Soaring rates, a bond market collapse that takes the stock markets down 90% with it.  Dollar becomes king during the collapse, the banks try to rescue the world and the fiat currencies vanish.  That's not my prediction... but that's the world Mr. Kimble's charts are warning about.

Bottom line... sooner or later, no matter how we slice it, gold becomes king.

silverer Albertarocks Tue, 02/20/2018 - 13:11 Permalink

And we know that deflation is the first step to hyperinflation, because of where things are positioned in the western financial system. We also know that the US dollar is going to be in a long term slide, because it is being displaced by alternate systems coming on line that will be used for crude oil purchases. US citizens, that have kept their mouths shut while their government has spent them and their children into oblivion since about 1983, are going to learn a very hard lesson in the near future. If you are not the holder of the world reserve currency exclusively, then you can't be the sole exporter of inflation anymore. The US will get the same result that Zimbabwe and Venezuela got when they turned to the printing press.

In reply to by Albertarocks

Albertarocks silverer Tue, 02/20/2018 - 16:24 Permalink

Yup, it would be the bankers' reaction to the deflation that results in the hyperinflation.  The only alternative to them printing like never seen before in the entire history of the solar system is to default.  Would the US government be willing to say to its creditors "Sorry folks, we're just not going to pay you back... can't afford it"?  They haven't so far and I don't think they ever will.  If they did their reputation would be tarnished, lol.

In reply to by silverer

Albertarocks dark fiber Wed, 02/21/2018 - 09:03 Permalink

Yes, if the bond market collapses then fiat US dollars would rise in value because the amount of that currency in existence collapses.  Almost every dollar on the planet was "loaned into existence".  So by reversing that process, paying back those loans or by defaulting on those loans, every one of those dollars literally vanishes off the face of the earth.  Therefore there are fewer and fewer fiat dollars in existence as the debt markets collapse.  That's why during a bond market collapse the USD would rise in value... because of a very real and very scary scarcity of them.

If you still don't understand this, don't waste your time taking pot-shots at me, spend that time listening to Peter Schiff explain it to you in more detail.…

Learn something instead of wasting your time being an asshole.

You're welcome.  And no thanks, I have all the land I need.  But thanks for the offer.

In reply to by dark fiber

chubbar Albertarocks Tue, 02/20/2018 - 15:15 Permalink

I laugh when I read these articles. What the fuck would they have me own? Overvalued stocks? Bonds in a rising rate environment that don't pay squat for interest anyway? Cash in a bank that will confiscate it to pay off their derivative position, which now has 1st position over deposits? Overpriced housing? I mean what exactly is it that the average joe can own that is going to survive a massive collapse, which is what it'll take to drive gold that far down? Does anyone really think that the Chinese and Russian central banks, those that have been buying thousands of tonnes of gold the past few years, would not take every last ounce at $1,000? That wouldn't even be a fucking rounding error on the amount of treasuries that they hold which they would trade for the gold at that price. I hope it happens, fuck TPTB. Let them lose every fucking ounce they are willing to sell and let's get this party started!

In reply to by Albertarocks

JIMSJOE2 Albertarocks Wed, 02/21/2018 - 08:52 Permalink

First of all hyperinflation is caused by a country's collapsing currency and/or businesses being cut off from lines of credit. This will not remotely happen in the US and is typical a;t media bullshit. Secondly China was forced to set up currency swaps with many of its trading partners. Why? Dollar strength has caused trade settlement cost to increase. They simply had no choice and the nonsense put out they are dumping dollars and treasuries is total bullshit. Since early 2017 China has been buying treasuries every month by the billions and now has over $1.2 trillion again. russia has also been buying abd has over $105 billion which is close to the amount the Saudis held in their heyday. Countries simply do not buy another country's debt if they have no confidence in its currency.

       The petrodollar has become meaningless in the Middle East and is why Congress thru them under the bus. The whole purpose was to flood the international system with dollars and treasuries and this has been accomplished decades ago. Countries do not like to hold large amounts of foreign currencies as they pay no interest so they are forced to buy treasuries as this is the second most liquid market on the planet behind currencies and are always in great demand. Dhina is at least 10 years away from having a large and liquid enough bond market to compete. Europe has no federalized bond market backed by all member countries so that leaves treasuries as the only game in town.

       The alt media has been full of bullshit claiming the new contract in China will collapse the petrodollar. Folks this is not a phyical crude market but a futures market and like all futures are basically used to hedge using put options in case prices fall. Chinese oil companies will use the banks to buy these hedges locking in existing profits. There are no oil producing countries lining up to trade there as the alt media has claimed.

       The alt media has become as bad as the MSM in pushing a narrative by just making bullshit up or changing the actual facts. First. we had the fake planted news in the Nikkei Review that China was going to back the new contract with gold and allow the yuan to be fully convertible. All fake! The there was the fake news that China and Russia were dumping treasuries. Where was the source? None other than the Nikkei Review. Folks all fake! No one in the alt media ever even looked up treasuries holdings of both central banks. The you have the narrative being pushed by the FED and its minions that the dollar is doomed and all markets are over valued. This is because they want a much weaker dollar and to stop the capital flight out of Europe as it has been collapsing sinve 2011. Starting in the middle of 2018 to 2021 this flight will again accelerate and cause massive dollar strength and move US equities higher. The EU, euro, many banks and corporations and countries will not survive.

      Thia has been the main factor in US equities strength and will continue. I have mentioned before Armstrong Economics have computer models that track both domestic and international capital flows. The forecast back in 2009 that the Dow would hit 22,000 then 23,000 eventually to 40,000 all due to the capital flight out of Europe. The first two targets have been hit. 2018 is 25,000 and then to 28,000 with the first target already hit. Currently short term weakness in markets is caused by several factors and this is not a crash or collapse as the atl media claim. This is simply a normal correction and is healthy for markets and will again move higher.

      Folks do not be sheeple!    

In reply to by Albertarocks

Michigander Tue, 02/20/2018 - 12:31 Permalink

Yes, don't take your eyes off of 1,375 for that is the price that will never be allowed to be penetrated until the wheels come off this shit show of a cart.

bobsmith5 Michigander Tue, 02/20/2018 - 13:40 Permalink

Exactly, and as is typical of theholiday's with yesterdays President's day and Chinese New Year celebrations until Wednesday we have another pm smash down happening again without fail.  Timing and predicting the markets are much easier when you factor in the cartel's favorite attack times.  Who needs technical analysis when you have such massive global intervention by the central banks.

In reply to by Michigander

bobsmith5 Michigander Tue, 02/20/2018 - 13:43 Permalink

Exactly, and as is typical of the holiday's with yesterdays President's day and Chinese New Year celebrations until Wednesday we have another pm smash down happening again without fail.  Timing and predicting the markets are much easier when you factor in the cartel's favorite attack times.  Who needs technical analysis when you have such massive global intervention by the central banks.

In reply to by Michigander

Greenspazm Tue, 02/20/2018 - 13:11 Permalink

OK so please publish a table of the daily gold prices predicted by your technical analysis for the next 90 days. Shouldn't be a problem with all those fancy trendlines and stuff.

El Hosel Tue, 02/20/2018 - 13:24 Permalink

No need to watch it at all ..... it hasn't moved in four years!


My bad, on this day in 2013, gold was about $1335.... it did move and it was 5 years.

Watch this !

45North1 Tue, 02/20/2018 - 13:33 Permalink

How low does gold have to go in USD before either Russia or China cash out their US treasuries and clean out the COMEX ?


Could Syria become a catalyst?

El Hosel Tue, 02/20/2018 - 13:41 Permalink

If / When gold starts trading freely again there will be plenty of opportunity..... Until then go buy a roll of silver eagles once in a while to take the edge off.

bobsmith5 Tue, 02/20/2018 - 13:46 Permalink

Silver is the leading indicator for all precious metals.  Today it is in the same price range that it was 10 years ago.  It is being kept in a channel with a range between 15 and 20 dollars.  We are in the lower range of that channel right now.  Until this changes and we break out of this very long term artificially created price range, nothing will significantly change.

everything1 Tue, 02/20/2018 - 13:49 Permalink

Gold went up pretty far, pretty fast, interest rates would have to go up significantly in order to get people to believe the status quo is not to inflate their fiats away, and then even that would take some time.  Once the world realized "the feds/bankersters" of the world were lying every single time they say they will raise rates "x/x" this year or next year, boom back up she went and we've been going up in between see-saw action since mid 2015.

ReturnOfDaMac Tue, 02/20/2018 - 13:51 Permalink

Gold and silver are doing what they do best, nothing and remain stable.  They haven't moved in many, many years.  It will be this way for many, many, more.  Nothing against shiny, its a good stable place to keep cash if you don't want to put your capital to work.  Other than that, don't kid yourself.  We are not having a zombie apocalypse or even a decent crash.  Gold is not going "bitcoin", ever.

Silver Savior Tue, 02/20/2018 - 13:58 Permalink

I am begging all of you please consider real inflation of the dollar in your calculations. For USD you need to subtract atleast the 10% a year it lost of it's value in your numbers. 

Don't go by gov figures because they are wrong. All expenses that an average person actually experiences should be included when figuring inflation. 

everything1 Silver Savior Tue, 02/20/2018 - 15:48 Permalink

Agree on the boiling frog scenario, some accumulation is fine at this price point, but unless your patient, I'm seeing silver being dumped, which is fine with me as I like to collect some of the more rare .999.  Look for scrap recovery to go up in the next silver institute report.  Many goldies still consider it a base metal since that's where the lions share of it comes from.

In reply to by Silver Savior

grizfish Tue, 02/20/2018 - 15:32 Permalink

It seems the author is ignoring the fact that precious metals prices have been manipulated for years to buoy the perceived value of petrodollars.

Oh, I forgot.  Value of the US dollar is based on the full faith and credit of the most indebted and most destructive country on earth.

Davidduke2000 Tue, 02/20/2018 - 21:50 Permalink

Got used to the idea that fraud against gold will be with us for a long time and only a terrible disaster like few nukes hitting the us will stop it and send the gold to the stratosphere.