“Why are we now chasing shadows and discussing silly things like giant squids and shadowy price cappers?”
Because that’s what’s at play here.
Seen it many many times before. The TO offer will be the proof. As per my previous post we have added two substantial holders since Macquarie quit their stake (including the giant squid) at the beginning of the year which involved on market acquisitions and acquisitions involving “cash considerations” with the change of hands of ~48 million shares to acquire these stakes but during the acquistion of all these shares the price has been driven down from 40 cents to below 30 cents. Generally markets don’t work like this. When there is demand and buying buy significant holders, price rises. If you believe that Macro factors are responsible for the share price fall in WAF’s case you probably also believe in fairies at the bottom of the garden. The price has been worked down IMO because investment banks are probably advising the company on the financing of the mine and are neatly arranging, behind the scenes, a nice entry price for the equity component of the financing deal. It stinks, but as I said, when banksters are in control this is what happens. Before this week there were weeks of predominant churn indicated by my Hawkeye volume indicator on my chart. It hasn’t been selling that has driven the price lower according to Hawkeye, it has been churn.
The Macros for gold look good to me. US markets in a confirmed topping pattern, lot’s of room to fall on these indexes (the whole Trump rally will be wiped out IMO). 10 year US bond yields started to exceed yields on the SP 500 at the end of last year which is a strong sign the system is broken as the “risk free rate of return” is traditionally US sovereign debt, not US stock markets. World debt topping out at over 330% of world GDP, Europe on the verge of more Brexit style turmoil with Italian bond yields rising and Italian banks adding 39 billion euro in Italian government debt in May-Sept to counter a foreign sell-off. Deutsche Bank hitting new all time lows and more top people rumoured to be jumping ship, again. The US senate will early next year start subpoenaing Trump and Trump has promised war with democratic Senators. I’d say although the US state is practically run by the banksters now, Trump won’t win a war against the power of a subpoenaing senate. Some democratic traditions in the US remain strong and enduring and Trump will lose the war if he takes on democracy. He can do what he likes with his executive powers, ie sack anyone and everyone who gets in his way but he won’t win a war against the democtratic process. The dirt will come out and he’ll go to far for the last time and be exposed to his own supporters. Gold investors will be celebrating once the cracks all start to appear in the first half of next year.
The US banksters in the meanwhile are doing their very best to stop money flowing into gold but soon enough the US dollar trade will get overcrowded and the market will realise that the emperor is wearing no cloths. US bear market and US recession coming before Sanbrado pours first gold. Hold on to your hats it’s going to get ugly.
Gold will catch a massive bid in 2019 in my opinion. Wait until it becomes fashionable again. Cyrptos will be ancient history within a few years and the real and only alternative to fiat will begin to shine, as it has done for the last 6,000 years. Esh
(20min delay)
