Today is interesting as the trend is continuing. I am doing my trades in EUR.
Look at the SLV – Silver. Volumes and dip quite strong.
Coupled with the Dollar rally against the Euro, this makes it even stronger for me. Time to buy on the dip? Time to sell gold as the dollar makes this attractive for accounts labeled in EUR?
But both are coupled. Value of the dollar up, precious metals store less of it. So value of precious metal down.
Well, if you believe that QE2 and the printing press mania really makes the dollar valuable. I dont.
The in times like this, one can have a view on things like the VIX. VIX is the volatility index. VIX is up when the world goes down.
These days, the VIX is up again after a month or two of down trend. But the upwards dynamic is quite strong.
This is the times where one can really make a great deal or two provided he/she has the guts.
My motto: buy on dips, sell on rallies. Looks like I can do both right now to good effect.
I was having a look at some videos on the real estate bubble (this one went bust in the western countries and will do the same in Asia soon enough) and moved into the monetary base expansion of the US. Well, quite impressive, to say the least.
Printing paper is cheap and moves debt burden down for government. But at the same time, it reduces the value of one’s savings to nil and gets your work for about free. Talk about being competitive by lowering your population worth.
That’s what QE and QE2 did to US people and in Europe we see more or less the same, but somewhat more hidden with the actions of the BCE and the credit given to Greece, Ireland, and soon enough, Portugal.
Keep my end of April target date for Spain in mind. June will really be the fireworks time.
It will really be time to enjoy the summer then and not worry too much about the future. In the video: we see Mike and our dear Mogambo Guru (he’s too funny even if he overdoes everything [FEIHOE!]) telling us about his views and … well, I’ve got to say that he is very, very right.
What’s the point of this post when it comes to improving your way of working? Well, three things. Yep, three things:
Do not trust our government to save the day, they are clueless and the sheer scale of the problem eludes them. Take action to safeguard your assets
Take preemptive action when it comes to commodities. If you have money to invest, do it now, do it there. It will soon be too late. Being late to the party is just that: you are left with the leftovers. And more often than not, they taste bad.
Grow your skillbase so that you can provide efficient delivery. Noboby will pass on talent. And talent is not falling down the sky. Talent is hard work, talent is focus. And talent turns into money. Talent is a store of value. And you can take your brain and knowledge wherever you want to. There is always a place in the world that will be willing to invest in dealing with you, given the incredible ROI that you’ll get them.
We are going to live very interesting times indeed!
A new report by Marting Armstrong is out: How and When.
The outlook for gold is nice even if the global outlook is quite gloomy on the short term.
But the system will have to be purged of that madness of cash and bad credit. Until then, hedge a bit against government short term vision (read: the next election) and think for yourself.
