A Global Money Printing Competition Stewart Thomson
Feb 7, 2017
- With each passing day, both the technical price action and the news flow are getting more positive for gold.
- Please click here now. Double-click to enlarge this daily bars gold chart.
- Another great week for the world’s ultimate asset is clearly underway. A beautiful technical uptrend is now in play.
- Gold has also surged through resistance at $1220 and is making a beeline towards my $1250 target zone.
- Please click here now. Double-click to enlarge. The US dollar has broken down from a substantial head and shoulders top formation against the Swiss franc.
- A small rally back towards the neckline of the pattern is likely, but the overall technical picture for the dollar is very negative.
- Please click here now. Double-click to enlarge this key dollar versus yen chart.
- Both the yen and the franc are safe haven fiat currencies, and the “risk-on” dollar’s price action against both of them is truly horrific. That’s great news for gold, which is the ultimate safe haven.
- Please click here now. Will President Trump order Janet Yellen to engage in outright money printing to devalue the dollar?
- I think he’ll do it, and here’s why: America’s demographics are drastically different from the demographics that were in place when Ronald Reagan got elected with a similar “Make America Great” mantra.
- America is now an ageing society, and both the citizens and the government are maniacally obsessed with debt.
- Also, the business up cycle is nearing an end, and while immigration changes make most citizens happy, that’s not going to re-create a 1950’s society with a 15% GDP growth rate.
- Sadly, Trump’s only practical tools to reduce the huge debt burden on the backs of both citizens and government are money printing and gold revaluation.
- Please click here now. FOREX reserves in China may be about to become a very powerful gold price driver.
- To combat the disintegration of its FOREX reserves, China may have to float the yuan, or engage in significant money printing.
- Please click here now. Double-click to enlarge this spectacular daily bars GDX chart.
- Gold stocks are roaring higher because of Trump’s dollar bashing and even more because of the end of global deflation.
- GDX itself is sporting a beautiful momentum-oriented crossover buy signal on my 14,7,7 Stochastics oscillator.
- I suggested that gold stock enthusiasts should be on the lookout for that signal, and now it is in play.
- GDX should run to $26, and perhaps to $27.50, as gold marches from $1220 towards $1250.
- For even better technical news about most gold stocks, please click here now. Double-click to enlarge. Regardless of whether GDX makes it to $27.50 or not on this rally, the coming pullback is simply going to create a beautiful right shoulder of a large inverse head and shoulders bottom pattern!
- The target of the pattern is the $32 area, and I think GDX has a very good chance of surpassing that high.
- I suggested that 2017 would be all that gold stock investors could ever ask for, and that is certainly playing out in textbook fashion. Rallies are strong. Pullbacks are orderly and modest.
- US dollar bulls will likely be hit hard by Donald Trump’s dollar devaluation team. Governments around the world may be poised to enter not just a fiat devaluation competition, but a money printing competition. There are no winners in such a competition, except for gold, silver, and associated stocks!
Feb 7, 2017
email for questions: email@example.com
email to request the free reports: firstname.lastname@example.org
|Tuesday 20th Feb 2018
Special Offer for 321Gold readers: Send an email to email@example.com and I'll send you my free “Silver Jockeys On Golden Horses!” report. I suggest a twelve must-own gold and silver stocks for the coming gold bull inflationary era, with a solid mix of juniors, intermediates, and seniors that are all outperforming their peers right now!
Updates Subscription Service: Note we are privacy oriented. We accept cheques.
And credit cards thru PayPal only on our website. For your protection
we don't see your credit card information. Only PayPal
|Subscribe via major credit cards
- or make checks payable to: "Stewart Thomson" Mail
to: Stewart Thomson / 1276 Lakeview Drive / Oakville, Ontario
L6H 2M8 / Canada
is a retired Merrill Lynch broker. Stewart writes the Graceland
Updates daily between 4am-7am. They are sent out around 8am. The
newsletter is attractively priced and the format is a unique numbered
point form; giving clarity to each point and saving valuable
Thomson is no longer an investment advisor. The information provided
by Stewart and Graceland Updates is for general information purposes
only. Before taking any action on any investment, it is imperative
that you consult with multiple properly licensed, experienced
and qualifed investment advisors and get numerous opinions before
taking any action. Your minimum risk on any investment in the
world is 100% loss of all your money. You may be taking
or preparing to take leveraged positions in investments and not
know it, exposing yourself to unlimited risks. This is highly
concerning if you are an investor in any derivatives products.
There is an approx $700 trillion OTC Derivatives Iceberg with
a tiny portion written off officially. The bottom line: