JWU MAY 17

May 17, 2014

     JWU  UPDATE

1.   As a junior gold and silver stock champion, I’d suggest you take at least a small moment of time, to join the Indian titans of ton this weekend, as they celebrate being able to get richer, to demand more gold from your mines.

2.   Remember that Indian gold jewellery stock stakeholders (shareholders & workers) suffered an even worse beating at the hands of the banksters than you got, with your beating being also at the hands of the banksters.

3.   The Indian jewellery buyers want to bid consistently for 200 tons of gold a month from your mines, just as badly as you want them to bid for it.  That’s not a joke.  700 million of them make two dollars a day.  They’ve been sprayed with food stamp confetti for decades, and told by the mafia and the banksters that’s “as good as gold”.

4.   Millions of them didn’t even know there was a possible life free of the mafia, until thousands of anti-mafia crew members took the message to them in the most rural parts of India.

5.   A large part of the mafia success in India has to do with being able to isolate the rural class from technology.  The mafia tells you that when Indians get richer, they won’t buy barbaric gold.  That’s propaganda.

6.   Indians know how scummy Gmen are, more than other citizens.  Proof of that is how fast they move to smuggle gold in, when their Gman attacks them.

7.   Indian political analysts are already focused on the 2017 US election.  They don’t really care much about the US, one way or the other, until that happens.  They are already talking about the new era of US-India relations that begins in 2017.  Talk about a slap in the American Gman face!  

8.   Gold is not in a bear market.  It’s not a market like the Dow.  There is no 8 year economic cycle in gold.  You can’t look at the experience of gold in one empire, and then assume time cycles there apply to all empires.  When ruled by the greed/fear trade, gold acts like it did in the 1860s or 1970s, but those markets were more the exception than the rule, in terms of how gold has acted throughout world history.

9.   When Roosevelt confiscated gold in the 1930s, was gold in a “bear market”?  No.  The crackheads on CNBC told all the Western gurus that if gold declines 20{7d2759035a2769ee7a6afa7c646e6642b67314b0cd0e17ac0c6ae4f965ff87d9} in price, it’s in a bear market, and the gurus believed them. 

10.        Gold isn’t the Dow.  The term bull market or bear market rarely even applies to gold, although it did in the 1860s and 1970s.

11.        The 20{7d2759035a2769ee7a6afa7c646e6642b67314b0cd0e17ac0c6ae4f965ff87d9} rule of thumb for bull/bear markets works very roughly for the Dow, because it is a number where both the Transports and the Industrials have likely made intermediate trend lows.  The business cycle has stages of demoralization, confidence, greed, denial, and fear that can roughly be defined by time as well as price.  That’s not often the case with gold.

12.        Because demand and supply of gold is manipulated by governments (and both the 1860s and 1970s bull markets in gold were ended by government manipulation), the use of intermediate trend highs and lows to define gold as in a bull or bear “market” is has very limited application.

13.        The 1860s bull market in gold was ended by the US government and the banksters, by dumping taxpayer gold on the market in a one-time blast, to overwhelm citizen demand.  The price crashed, and the bull market ended.  Price never recovered for 100 years. 

14.        The 1970s bull market was ended by manipulating T-bond rates to 14{7d2759035a2769ee7a6afa7c646e6642b67314b0cd0e17ac0c6ae4f965ff87d9}, and by taking the silver market to a state of liquidation-only on the COMEX.

15.        Gold is NOT in a bull or bear market.  It’s in a bull era, and the era just got a rocket put on it with Friday’s election of the anti-mafia crew.   As I mentioned to the GU subs this morning, if Modi is killed now, it could actually accelerate the pace of development in India, because the power players right beneath him are even more pro-development, more anti-mafia, and more anti-tax than he is.

16.        When I told you that the April 12 – 15 attack on India citizens by a bankster “aircraft carrier” would result in bankster surrender or total annihilation by an Indian starship, nobody in the gold community really thought that was possible.  As you’ll see in the next few points, the central bank of India has already taken a step away from the bullion banks, and towards the IBJA, which is the bullion dealers and jewellers (aka the good guys team).

17.        I’ve predicted that the IBJA would become the world’s most powerful financial entity, and I stand by that prediction. 

18.        On that note, please click here now: https://gracelandupdates.com/images/stories/14may/2014may17rbi1.PNG   I’ve also predicted that a Mumbai price fix, estabilished by India’s top gold jewellers and bullion dealers, will come to replace the LBMA and the comex, as the leading stage of gold price discovery.  In that press release from the central bank of India, you’re seeing the first move in that direction.  The central bank of India just slapped the face of the banksters, by limiting the games they can play with the gold loans market.  It also puts the Indian gold pricing mechanism officially in IBJA hands, moving it away from bullion bank hands.  In theory, the IBJA could set the price wherever they want, and the banks would have to honour that pricing when making or calling in gold-based loans.

19.        The US housing starts came in stronger yesterday, but gold fell only about $6 on that news.  I’ve told you the huge wall of Indian mafia bids for gold have permeated markets all over the world.  That’s why gold won’t move much in price on these Western reports that used to bash it hard.

20.        Now you actually SEE the Indian buyers.  The Modi election put a face on them.  Until now, it all seemed far away.  When the QE plug was pulled, you felt alone.  You’re not alone. 

21.        Look at the speed that things are changing at, in YOUR favour; one moment Modi is some dark horse figure, called a terrorist by the gold haters.  The next moment, he’s won the biggest landslide in the history of Indian politics since Ghandi, only unlike Ghandhi who promptly BANNED gold imports, Modi is a “development freak” who says, “After a doctor, the goldsmith is the most trusted man in the family

22.        Don’t focus on the restrictions; even if they come off this morning, you’re an IDIOT if you think current Indian demand overwhelms mine supply.  It doesn’t.  Development over the next few years is what makes that happen, not an end to the restrictions.  You’re not getting any free parabola when the restrictions come off any more than you’re getting one by marking the Shadow Stats numbers to gold price model.

23.        Within a period of hours, literally, the Indian central bank’s main problem has gone from being a shortage of US dollars, to a fire-hosed glut of them pouring in.  I don’t think anyone in the gold community understands how inflationary that situation is.

24.        Let me repeat, because repetition of basic tasks is the foundation of excellence and wealth building; the election of the BJP party in India is not about ending the gold restrictions.  It’s about building the gold buying power of the most powerful gold buyer class in the world.  On that note, please click here now: http://www.gracelandjuniors.com/images/stories/14may/2014may17gdxj1.PNG     

25.      Report Card Day!   GDXJ looks like an Indian gold tiger, ready to start an upside charge.  That chart shows your junior gold stocks compared to gold bullion.  Look at the key 5,15 series moving averages that I use on the monthly chart.  Note the immense bull wedge in play, and the truly epic volume.  On another note, you may wonder how it is possible that the yen could stomp on the dollar while the Japanese government is soaked in a black hole of debt and money printing.  Foreign policy experts in India are predicting that Japan is Modi’s first stop after being elected.  If Japan invests massively in India, it’s possible the economy escapes the quagmire the Japanese government put it into.  Watch the yen-dollar cross for a bullish breakout to the upside by the yen, to lead GDXJ and your junior gold stocks, up the chart!  

            Kirk on the gold exploration bull era bridge, out!

Thanks!

           Cheers

           St

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