Monday, November 26, 2012

Rick is ‘On the Edge’ with Max Keiser

– Posted in: Links

[Following is the video and an edited transcript of an interview Rick did recently with the BBC’s Max Keiser. The discussion ranged from Apple’s plunging share price, to hyperinflation vs. deflation, to fraud in the international banking system, to Switzerland’s untraditional embrace of currency devaluations to cheapen its exports.] Max Keiser: Hi.  I’m Max Keiser.  Welcome to “On the Edge.”  It’s time now to go to Boulder, CO to speak with Rick Ackerman of rickackerman.com.  Rick, welcome back to “On the Edge.” Rick Ackerman: Thanks, Max. Max: Rick Ackerman, Barack Obama has been re-elected.  What impact do you expect on equities and commodity markets going forward, if any? Rick: I think they’re going lower.  But I never saw Romney as the answer, since our economic problems are bigger than politics.  I still see a deflationary end.  We’ve had quite a debate over the inflation/deflation conundrum. My take is that, at some point, we’ll have a hyperinflationary eruption, but in the end, assets all will be deflated. The stock market could enjoy a brief resurgence in the meantime.  Stocks are coming off lows this morning at what I call “midpoint pivots.”  They’ve all held.  But if they should slip next week, the market could go a lot lower. Max: It’s confusing for most people, because you have economists talking about deflation.  At the same time, you have news reports of thieves stealing roofs off of churches to sell the copper or to sell various metal components, drain pipes, et cetera, because the price of commodities are going so high, which of course sounds like inflation.  How do those two reconcile? Rick: It’s like trying to square the circle.  At a theoretical level, I don’t have any problem with the hyperinflation argument.  There’s a monetary blowout going on globally now, and eventually

Why Sinclair Is Wrong About Gold Confiscation

– Posted in: Free Links Rick's Picks

[The following turned up in the Rick's Picks forum. However, it was unrelated to the discussion concerning White Gates Farm, and so I am reposting it below: 1) to give it greater visibility; and 2) because I share the author's skepticism that the gold price will achieve the stratospheric heights that Jim Sinclair has predicted (even if I am not so confident that government will not someday confiscate bullion or curtail its free exchange).  The author, who goes by the handle 'Doc,' blogs at silverdoctors.com RA] Well, Thanksgiving is over and so if I may I would like to begin a new conversation on the issue of Gold demand and Central Banks. Jim Sinclair has recently stated in response to one of his readers that Gold confiscation is not an issue of concern; that it is an unlikely scenario. He has strong views on the subject. More specifically, he wrote: “There was much to be gained by gold confiscation in the 1930s because we were on a gold standard. Gold in the 1930s was the only instrument of QE. It is not now nor will it be again in the future. There is no reason except some sort of fear of revenge to consider confiscation of gold, gold shares or the gold ETFs now. Those that worry so much about this do not really understand what gold was under a gold standard”. I beg to differ. I think Jim’s argument is not well thought out as he fails to consider the varied number of reasons for Central Bank accumulations that we are now witnessing across the globe. So I have penned a response to him that I will repost here at Ricks Picks for the benefit of others who may want to weigh in with their own views on this

A Subtlety Could Yield a Superb Opportunity to Buy December Gold

– Posted in: Free Rick's Picks

Gold Resources Corp (GORO) gets talked about in the chat room all the time, but fans of the stock will not find a better opportunity to get long than the one shown in the chart accompanying today's update. The opportunity is past, but I mention it because another with similar potential is developing in December Gold. Specifically, there's a look-to-the-left peak that is almost identical in subtlety and trading value to the one I've identified in GORO.  Check it out (or click here for a free trial subscription if you'd like to know what the hell we're talking about)!

GCZ12 – December Gold (Last:1748.20)

– Posted in: Current Touts Free Rick's Picks

Two benchmarks not far above are likely to test buyers' enthusiasm.  The first, at 1763.00, is not in doubt as a minimum upside objective because of the ease with which bulls shredded its 1733.30 midpoint sibling. The futures will have to punch through the higher number, however, and decisively so, to be deemed fit for a further push to 1771.40.  Camouflageurs should call up a more extended version of the chart to acquaint themselves with the look-to-the-left peak at 1758.40 created on October 12, since a small pullback from just above it could create an absolutely perfect spot to get long if you haven't yet done so by then.  It’s easier than you might imagine to out-forecast gurus who do it for a living. Click here for a free trial subscription that can start you on the road to making your own trading and investment decisions.

ESZ12 – December E-Mini S&P (Last:1401.00)

– Posted in: Current Touts Rick's Picks

After exiting a short position last week at 1388.25 for a theoretical gain of $4600, we are once again disinterested observers.  There's not much to get  excited about at the moment, but if you're bored, try shorting the 1413.50 target of the pattern shown with a three-tick stop-loss. The only reason I'm suggesting it is that the three coordinates used to calculate the target are all single-bar. However, this gambit is worth only a one-contract position.