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Michael Noonan Edge Trader Plus Michael Noonan is the driving force behind Edge Trader Plus. He has been in the futures business for 30 years, functioning primarily in an individual capacity. He was the research analyst for the largest investment banker in the South, at one time, and he... More
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  • Gold And Silver - Central Bank Manipulation Or Chinese Accomodation? Both. 0 comments
    May 24, 2014 2:22 PM

    Saturday 24 May 2014

    It certainly started out as central bank manipulation, doing
    everything possible to cover their theft and resulting deficiency of
    replaceable physical gold. Almost all of their unauthorized reselling
    or hypothecating went unnoticed or without any ability to stop the
    activity. China had a lot of its gold stored in the United States that
    was stolen in the 1990s. She has since become the world-leading
    economic powerhouse and is now in a position to force the
    Rothschild elites to make good on the theft, which they are doing.

    China wants to see the price of gold at the current low levels as
    she continues to buy up as much of the [not so readily] available supply. The central bank manipulation continues as a means of protecting the last vestiges of the soon-to-fail petro-dollar, and
    soon-to-fail as the world's reserve currency upon which almost
    global trade is based. The Chinese are willing to see gold stagnate
    at current levels as a better bargain during the final stages of
    their accumulation. It works for both sides for totally different
    reasons.

    For how long can these low prices continue...the ever pressing
    question on the minds of the gold and silver community and topic of so many articles written by the experts? While many have striven
    to provide an answer, and 2013 failed to match the "predictions" as to the "When?" issue, the best answer is: For as long as it takes.

    Back in January and February, it become more apparent that the
    highly anticipated huge rally for PMs was going to take longer than
    most expected. In April, we wrote an article that 2014 Could Be Yawner. There is no reason not to carry that notion further into
    2015 before gold and silver begin to challenge their 1900 and 50
    respective high price levels.

    The one thing certain is that no one, absolutely no one can provide an accurate time-table for when PMs will trade at much higher
    levels. 2013 should be a reminder of the many who endeavored to
    fix a date and all of whom failed. It is utter nonsense to think
    anyone can accurately divine the future. The good news is that we
    do not need to actually know the "When?" All that matters is to be
    prepared for the eventuality.

    If you are prepared, then you will have accomplished one of the
    most important responsibilities for wealth protection, preservation,
    growth as a means for survival. Instead of watching the Precious
    Metals Rally clock, an exercise in exasperation, so far, better to be
    secure in the knowledge that you have done what you need to do,
    and instead, start to relax and learn to enjoy more out of life.

    If events are triggered that propel PMs higher, or even
    substantially higher next month, next Quarter, or next year, if you
    are prepared, you will be a winning participant! Once and as it
    happens, you will feel a sense of relief for having waited so long,
    and a sense of accomplishment for having prepared. If you have
    not fully prepared, you have a tenuous gift in both time and price
    in which to act as quickly as possible. The time to act and be better
    prepared is now, and at prices you and your children, and your
    children's children will not likely ever see again.

    Those who are disheartened because events have not occurred in
    the time sequence that was hoped for are missing the point. This is
    not a get-rich-quick scenario confronting almost all of us. This is a
    matter of survival. All anyone can do is prepare. One does not eat
    well and exercise to live longer, one does both to be in the best
    possible health to live each new day. As it happens, those who
    watch their intake and take care of their physical health to enjoy
    daily living also tend to live longer, as an added reward.

    Consider: Physical PM shortages, depleted physical for delivery on
    exchanges, record buying by the public, world-wide, record buying
    by China, corrupt central banker price manipulation, government
    theft or confiscation, unlimited derivative exposure, existing
    demand for the physical that far outstrips available known supply,
    unlimited printing of fiat that can only result in currency
    destruction, civil unrest in many countries, any one of which could
    lead to a wider war, plus a litany of unknowns that can be
    important.

    They have already been factored into the current prices for gold
    and silver, and any one of these events, or a more potent
    combination of them acting in unison can drive up the price of PMs
    but have not, to date. This is what you need to know. Whatever it
    is that will launch gold and silver higher has not yet occurred. Many of the "Whatever it is" are already known factors, but their
    influence/effect has not yet been unleashed.

    Yes, if the manipulation stopped, PMs would rally immediately, but
    the event that puts a halt to the manipulation has not happened, so that part of the suppression of gold and silver remains in play. For
    how long can it continue? Again, for as long as it takes. Does
    anyone have a better answer? [Not that better answers cannot be
    had.] For those who do not know the answer, the solution, or at
    least one good solution, is being prepared

    There is another issue not talked about and that is the seeming
    failure of the elites who "appear" to be forced to sell their gold. The very foundation of the Rothschild formula is the acquisition of
    [mostly] gold, and also silver, in exchange for debt-based
    currency. There has not been a smarter collection of individuals,
    [or more devious and destructive], that comprise the Rothschild-
    founded central banking system.

    It would seem odd that such an astute and all-powerful-behind-the-
    scenes-force as the elites would find themselves in such a
    compromised situation to no longer have any, or very little gold
    and silver left. It seems equally unimaginable that the elites could
    be so stupid if they have put themselves in such a weakened state.
    It is a possibility, and one of such incredible and fitting irony, if
    true.

    What keeps them in power is the built-in structure they have
    accumulated in every major Western government under their
    control, which also includes the potent military, and the media to
    keep the masses dumbed down. The perverted transition of the
    United States from a sovereign Republic, with an organic
    Constitution that limits government, to an elite central banker-
    controlled, bankrupt corporation, known as the federal UNITED
    STATES, with its substituted federal statutory constitution that
    replaced the original, is the premier example of how the elites
    work through stealth, and over decades as their time frame, to
    accomplish their vile ends.

    Whatever one chooses to believe, one still has to deal with the
    known facts, and what is factually known to date is that gold is at
    1,300, [not 1,500, not 2,000, and certainly not 5,000 or 10,000 the
    ounce], and silver at 19, [not 26, not 50, and for sure, not 100 or
    300 the ounce]. However corrupt or not reflective of the "realprice" for PMs, the charts continue to be the most commonly accepted
    measure, at least for now.

    Regardless of what one chooses to be the most accurate or reliable
    measure, there can be no dispute that preparation for what is to
    come is the best way to deal with "When?"

    Weekly gold has been in a broad TR since last June '13, and a TR
    within a TR since Dec '13. There is no sense of urgency to leave
    the range-bound structure, so one can only exercise patience until
    something clearer develops, which will eventually happen.

    GC W 24 May 14

    The 1280 area is an axis line, acting as resistance from November
    '13 through February '14, and it now acts as a support area for the
    past 2 months. The farther price moves along the RHS, [Right
    Hand Side] of the TR, the closer is gets to a resolve. Sentiment
    favors a move higher, but reality is that one need not know the
    breakout direction beforehand. All one needs do is to be prepared
    for a move in either direction, and follow the market's lead.

    GC D 24 May 14

    Little can be said of the silver market, from the expectation of a
    move higher. Buyers have been AWOL, [a military term: Absent
    With Out Leave], and nothing will change until there is evidence of
    strong upside moves accompanied by increased volume.

    SI W 24 May 14

    The problem with pointing out a small possibility of what could be
    positive activity is that it preconditions the mind to look for more
    supportive evidence at the expense of missing what could be a
    subtle negative development. Just wait for confirmation that buyers are starting to create wide range rallies with strong closes on
    increased volume.

    If silver is to move higher, what we just described will make its
    presence obvious. Until it does, caution is advised. There could be
    another new recent low, and the odds for that event are greater
    than 50%. It may be a buying opportunity. How a new low
    develops, if at all, will make that assessment worth acting on, or
    not.

    SI D 24 May 14

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