Jul 6, 2013


1.    Attention all world champions!

2.    (Anyone who can withstand 70-95{7d2759035a2769ee7a6afa7c646e6642b67314b0cd0e17ac0c6ae4f965ff87d9} drawdowns in junior gold stocks that began while gold soared, from 2006 – 2013, deserves the world champion title)

3.    Please click here now.  You’re looking at the latest COT report.

4.    The banksters probably added even more longs, and covered even more shorts, than this report shows, through jobs report day.  This report ends on Tuesday.

5.    Interestingly, the bank analysts and the media they influence, are urging investors to sell gold and short it, while they cover shorts, and buy it.

6.    Having said that, please, click here now.  That’s the copper COT report, and you can see that the banksters are already massively net long, yet the price keeps going down.

7.     Sadly, one well-known gold writer, who super-sub Dr. Passion is well acquainted with, sent me a note last night that the latest gold COT report proves gold is about to blast “to da moon!”

8.    Sadly, and horrifically, he’s another parabola-demander living a pathetic pipedream, fuelled by infinite greed.  While the bankster economists debate about whether to unveil Ben’s taper caper in September or October (to crash the stock mkt?), this crazed parabola demander cannot go more than 3 days, literally, without screaming, “the low is in, and now we go parabolic!”

9.     As you can see by the copper report, the banks can go net long a commodity, and stay net long that commodity, for a long long time, before it even begins to rise, and the fact that they are net long has nothing to do with it beginning a parabola to the sky.

10.                The parabola demanders remember that the banks were net long gold in 1979, as it blasted higher.  Yes, but they have been net long a myriad of other situations that do not go parabolic, and those situations can spend a decade in a gulag, before going higher.

11.                The banksters buy value, and price weakness.  They don’t buy to create free parabolas for pinheads.  Stay grounded, and understand that some of your junior stocks have a high chance of going off the board.  Others will do well.

12.                I posted a video on Aberdeen on the site last night.  The assets held by Aberdeen give it a book value far above current prices, and pgen to zero fans will do best by carrying a 30{7d2759035a2769ee7a6afa7c646e6642b67314b0cd0e17ac0c6ae4f965ff87d9} short position in GDXJ, while accumulating it.

13.                As I mentioned in yesterday’s GU report, a sovereign debt crisis is likely coming.  It is probably at least 18 months away in Japan, and at least 4 years away in American, Germany, and the UK.  It could be 6-10 years away in America, using more conservative projections.  

14.                The parabola demanders can’t stand waiting.  They are like the writer that can’t go 3 days without screaming that their parabola is here. 

15.                There are no guarantees, but Chindia demand looks set to double over the next 3-6 years.  That would put Chindia demand at global mine capacity. 

16.                I mention that there are no guarantees, in the context of this: there are no guarantees that China’s Gman won’t attack the ability of his citizens to buy gold, like Indian’s Gman is doing now, if China becomes a net importer of gold by 2016, which looks to be a virtual certainty.  Remember that the Indian Gman just banned all gold coin and bar sale to it’s citizens, but not to the banksters.

17.                That’s called:  RISK.  If you play the gold game, you have to take a few knocks.  Gold is the ultimate asset, so the ultimate games are played, by the banksters.  You hope that the banksters don’t bribe the Chinese Gman into hammering his gold-buying citizens, but you are 1000{7d2759035a2769ee7a6afa7c646e6642b67314b0cd0e17ac0c6ae4f965ff87d9} prepared for the possibility of it happening.

18.                Picture gold at $3000 in 2015 or 2016, and you and your junior stock owning pals are having a back slapping party, because China’s new 2000 ton a year demand, is here to stay.  Then the Gman boots their citizens in their golden teeth, with a myriad of gold-hating decrees, and citizen demand tanks in half, and gold tanks to $1500. 

19.                That’s the type of bankster game that lies ahead, and the only question is, are YOU ready, to rock and roll, as it happens?

20.                India’s citizens are the ultimate gold buyers, but no man is invincible.  There have been situations in the past where Indians have sold gold at a loss.  It’s not likely to happen, but they are humans, not robots.  Stay positive, but stay grounded.

21.                As a junior gold stock investor, what is YOUR main theme now?  Answer:  It is staying focused on the growing lull in the Western world’s super-crisis, and equally focused on the birth of the gold bull era in Chindia.

22.                The theme is not staring at the chart of Jaguar mining or Sangold (or many other in-trouble junior stocks) and trying to analyse whether they survive or die.  It’s possible that Ben announces an increase in QE shortly, but that would require the black swan event of a bond market OTC derivatives crisis to take place.

23.                That event would trigger high-powered bail-ins, almost immediately.  It would be a bigger event than Lehman, and could be gold-positive.  Sadly, it’s still an unlikely event until after Japan implodes. 

24.                In a sick way, you have the banksters to thank.  If they had pressured the Gman in 2008 to cut spending and revalue gold, the crisis would be over now.  Your junior stocks might have gone up a lot, but they wouldn’t have stayed up.


Report Card Day!  Because the banksters encouraged the Gman to spend more and borrow more (to make themselves richer), the crisis has morphed into a giant monster, and it is merging with the Chindia gold bull era.  I’m fairly positive on the prospects for gold next week.  The daily chart stokeillator is flashing a buy signal, and the jobs report totally demoralized the CGBE haters.  The CGBE haters (Chindia gold bull era haters) can’t stand the thought of a lull in the super-crisis of the West, and are insanely obsessed with calling the bottom of the current bankster-engineered decline.  They wanted all the bank analysts to scream for a gold reval, but that’s not happening.  I really want to emphasize the benefit of carrying a GDX short position, as a junior stock investor.  You’ve got a tougher emotional job than the seniors or bullion crew, and I consistently mention the importance of viewing the market as a fight.  The seniors/bullion crew must view the gold bears as their opponent, and YOU must view the seniors/bullion crew as YOUR opponent.  Let’s face reality: In a severe decline like this one, you make a lot of money by shorting GDX, while accumulating your favourite juniors, via PGEN TO ZERO.  You need to have the mindset that you are crushing your senior gold stock opponent’s GDX head, stomping on it.  In a big rally, you junior stocks should outperform their senior stock brethren, so, YOU win again!  It’s a win-win situation that sees you staying positive, while operating in the most risky sector of the market in the world.  I’m beginning a new accumulation of corn.  You don’t care about corn, but you need to apply the tactics I’m using on the corn market battlefield, to your junior stocks.  My accumulation, which begins on Monday, will include a long USD position pgen, and a short corn PGEN.  The epic mistake that junior stock accumulators can make, here and now, is to “wait for a rally” before shorting GDX, yet buying juniors stock anyways.  I don’t wait for a rally to short corn, when I’m in serious accumulation mode.  I short it as I buy longs.  This isn’t tiddly winks time.  When oil fell to $50, from $147, I began buying it.  I shorted it at the same time.  It bottomed at $28, and then super-surged higher.  With no short positions, I never would have bought it right into the lows in size, while everyone else around me was liquidating.  Oil is 1 millionth as risky as your junior gold stocks are.  Corn is 1 QUADRILLIONTH as risky as your junior gold stocks are.  If I’m shorting corn, in a far amount of size, as I buy THAT, to manage my emotional state on the buy, should YOU be carrying GDX or GDXJ short positions, to manage emotional risk on YOUR junior gold stock buy? 







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