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Gold And Silver – Central Bank Death Dance, Part I

September 28, 2013

If “they” can get you to ask the wrong question[s], “they” do not have to worry about giving the right answer[s].

The question most have been asking is, why aren’t the prices of gold and silver reflecting the unprecedented huge demand and the almost depleted holdings of the exchanges and central banks?  Article after article has been retelling the stories of long lines to buy silver and gold, all over the world, Russia and China buying everything available for sale from the gutless Western central bankers, failure to deliver physical gold by banks to customers, failure to deliver contract gold on the COMEX, rolling it forward and/or settling for cash for those who take it.

Each of these factors have been posed in the form of a question to ask why prices have not reached new highs, and substantially higher PM highs.  These are the wrong questions which is why no one has offered the “right” answer as it pertains to price.

We have alluded to other issues in salvos against the central banks and New World Order, [NWO], on several occasions.  The NWO, through the Bank for International Settlements, [BIS], its central banks own the United States since 1933, when this country was forced into bankruptcy and Socialist Roosevelt shut down the banking system to give time for the Federal Reserve to take total control.  The de facto corporate federal government has been taking it marching orders from bankers since about 1861.

Central banks and governments produce nothing.  Governments exist by sucking the financial lifeblood from the same citizens the government is supposed to serve.  At least that was not the way it was supposed to work when this country was formed as a Republic. Since 1913, this government has been turned into an [un]represented democracy, controlled by the Fed/Wall Street bankers, for the benefit of their shareholders and uber-wealthy.  Anyone else, under the 1%, is considered merely as fodder.

The only thing the United States has left to defend is the fiat Federal Reserve Note, [FRN] incorrectly known as “the dollar.” [By established law in the United States, FRNs are not dollars, repeat, are not dollars.]  The de facto federal government rules by deception on every level, and it does everything to hide this fact of law, successfully, we should add, as but one example of many re deceptive practices.

Cognitive dissonance has almost all of the American population, and the rest of the world believing FRNs are “dollars.”  Those unaware are unaware of being unaware, and as a consequence, the unaware are not asking the right question[s].  When presented with the truth, people do not believe it.  Instead, they believe in the lies fed to them so that the real truth sounds like a lie.

The NWO has shredded the organic Constitution, created by our forefathers, and replaced it with a federal constitution that is very similar to but drastically different from the original.  The NWO has also driven out capitalism and replaced it with corporate fascism and central planning, for over the past century, but few have noticed or even care to know.

When you start to ask the right questions about the installed de facto regime that started over 150 years ago, when you ask the right questions about what money is, what a dollar is, what Federal Reserve Notes are not, despite their deceptive claims, then you will better know why gold and silver have not rallied to considerably higher levels in light of all that is going on in recent years.

Federal Reserve Notes are evidences of debt.  Debt is not and cannot be money, yet people accept it as though it were.  As long as Americans choose to be ignorant about basic facts as these, the NWO’s federal government will continue to fleece the population and suck the wealth out of this nation, as it has in the biggest wealth transfer ever in the world.

How do people in this country measure their wealth?  By the worthless fiat FRN.  Almost all measure their worth by debt.  What is the antithesis of debt?  Gold and silver, those metals which have a proven history of an intrinsic store of value.

Prior to the Federal Reserve, this country issued United States Treasury Notes, backed by gold and silver.  Every Note could be exchanged for its face value into gold or silver, at any time.  Into what can anyone exchange a Federal Reserve Note?  For another one, only.

The value of an original FRN issued in 1913 is worth about 2 cents, today, maybe less, not that it matters.  The value of an ounce of gold in 1913 was $18.32.  Even at today’s price, suppressed as is has been, that same ounce of gold is worth $1,340.  The price of silver in 1913 was $1.29 vs $22 today.

Here is at least one right question you should be asking:  Which would you rather own, a fiat piece of paper, or an ounce of gold or silver?

The reason why gold and silver are not priced higher is not because of the true demand situation, or even the dwindling supply/default on physical delivery circumstances.  The question hardly anyone is asking is why are central banks and their servant governments doing everything possible to preserve the soon to be devalued “dollar,” more accurately FRNs?

Central bankers may currently be engaged in their own “death dance,” with increasing odds that their criminal banking scheme is being exposed for what it is and has been. Whether it is allegro or adagio, no one knows.  For sure, Eastern countries are no longer tolerating the Western banking Ponzi scheme and are shunning the “dollar,” forever.

If the prices of gold and silver were allowed to reflect their true worth, it would totally undermine the existence of the “dollar” and topple central bankers and governments. Those bankers in control are not going to go down, [which they inevitably will], without a fight, and they will destroy existing western currencies in the process.  If the paper “dollar” is how you measure your worth, you have been warned.

We have been advocating buying and holding physical gold and silver, regardless of price for reasons such as the above.  Anyone gambling on timing of the availability for buying physical gold and silver is playing a risky game and ignoring factual history supportive of owning either or both.  Do so at your own peril.

We have heard from esteemed sources that the COMEX/LBMA exchange pricing is a joke.  That may be true, but it continues to work, and it may continue to work for longer than anyone expects.  Some are measuring central banking gold/silver failure in months. It may last for years, still.  No one knows the future, and those who have professed gold and silver reaching stratospheric heights have been wrong, for the most part, over the past few years.

At this point, we turn to those “silly” charts because we know of no better substitute no matter how corrupt they may be.  They are accurately telling everyone what they can expect to pay for the purchase of physical gold and silver.  What we do not see in any of the charts are signs of panic from the bears.  That can change next month, but we are dealing with the present.  Until there are definite signs of change, we reference the charts because of no viable alternative.

Not a lot can be said about the weekly.  The trend is down.  It has weakened a little but has not changed.  The past three weeks were an attempt to get the market lower that failed, at least for now.  Last week’s small range rally bar was relatively weak, but price managed to close on the higher end of the bar, a plus.

The same information is seen in greater detail on the daily.  The effort to push price lower from six weeks ago was stopped, but the rally effort since has been somewhat weak.  Gold needs to rally away from this little support area, or it could be challenged, again.

Price continues to hold above the gap higher rally bar, 7 weeks ago.  It continues to be an important turning point for silver.  The trend is down, but there has been no concerted effort to push it lower, as was seen in the Spring.

There is a slight positive aspect to the clustering of closes, but with the trend still down, the onus is on buyers to show control by moving price higher, soon.

The futures have been difficult to trade, but buying physical gold and silver is a no-brainer

- See more at: http://edgetraderplus.com/market-commentaries/gold-and-silver-central-ba...

 

Michael Noonan, of Edgetraderplus, is a chart analyst with 30 years experience in the futures markets.  His focus is entirely on reading developing market activity in the form of price and volume, to better understand what the markets are saying coming from what is the best source of all information: the market itself. His website is http://edgetraderplus.com.


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