In this interview Ike talked about the price of gold and what he projects is likely to occur with gold prices in the next few months.
Gold Investing and Gold Stocks News
Gold stocks have been on fire this year, blasting higher to 2014’s pole position of best-performing sector. And this powerful rally’s internals are looking as good as its headline gains.
What is interesting is that it isn't just gold and silver and the mining stocks that are breaking out, but lots of different commodities too.
Today gold stocks closed above their 200-day moving average after basing below it now for months.
Today gold stocks popped up so much that most of them are now sitting right below their long-term moving averages. They have been building a stage one base and once they clear their resistance at their long-term moving averages they will begin a full blown stage two bull market.
As you probably know I've been watching gold and mining stocks like a hawk since the start of the year, because I expect them to begin new bull markets this year...it looks like it can now begin at any moment
While the stock market has been falling gold and gold stocks have been doing well so far this year.
Today Steve Liesman - who acts as a spokesman and propagandist for the Federal Reserve on CNBC - announced that the Federal Reserve may stop its "tapering" of its QE money printing operation.
If you become a gold bug and sells stocks and buy physical gold it means that you are taking your money out of your brokerage account and the Wall Street money system.
I bought investments in Greece and Europe when CNBC told me not to do so in 2012 and will likely being buying more gold and commodity related investments this year too - and part of the reason is the crazy negativity towards them by the useless CNBC talking heads.
I did an interview with the Canadian talk radio show This Week in Money over the weekend.
He thinks the stock market will drop on worries next year on Fed "tapering." And in response the Fed will get scared too and PRINT MORE MONEY!
The NYSE and Nasdaq will close today for trading at 1PM and will be closed all day tomorrow for Christmas.
The media is always way too negative over a market at a major bottom. And today they are way too negative on gold.
The move must be put in context of the larger trend.
Yesterday we saw a sharp drop in gold prices and mining stocks as gold fell down towards 1300 an ounce after having been over 1400 an ounce just the other week. In my view gold and mining stocks are still in the process of forming a stage one consolidation base after making a bear market bottom in June, which should come to an end soon, probably this month after next Thursday's FOMC meeting.
Gold stocks slipped Tuesday as news came out that suggested that a diplomatic solution may be on hand to avert President Obama's drive for a new war in Syria. For a year elements in the United States have been pushing him to support the "rebels" in Syria for a "regime change" operation. Men such as John McCain and Lindsey Graham have hungered for US intervention in Syria while some members of Obama's administration have also sought to get involved there.
It takes a market going up for a year after a bottom for people to get interested in it again. But if in a year from now gold goes up as much as I think it will you'll start to see interest in gold and silver investments grow - interest that could become a mania in a few years.
What is going on with gold stocks? Yesterday gold went up, but gold stocks and the mining stock HUI gold bugs index all dropped.
Over the past few days we have seen gold stocks and the HUI miners index dip. The HUI actually went up over 34% from its June low. It now appears to be pausing and forming a base to launch a new rally off of.
The game is on for gold. Yesterday was a historic day, because it marks the beginning of a new bull market for metals and mining stocks that will likely last for several years.
People are scared to buy them now just like they were scared to buy Europe a year ago because the TV told them to be scared. Well markets look six months ahead and we are going to see inflation explode in the US in a few years. So you buy when things are cheap and when the "fundamentals" haven't hit the news yet.
We are in a key transition phase right now. European markets just broke out into new bull markets and metals and mining stocks are next. Check out the charts in this video presentation Dave Skarica and I just did. Once you do I think you will understand why we think the next few years will result in a bubble boom for mining stocks.
We are in a critical August of transition in which huge new bull runs are starting in commodities and European markets while the S&P 500 begins to lag these markets after having already run up so much this year.
Hedge fund managers are still scared of gold and gold bulls are weak. Many are bailing out already on the current move up in gold. There is widespread skepticism over whether or not this is the start of a new gold bull market off of a major bottom or just a fake trap move. As a result few can hold and most just jump in and out.
This chart takes the long position and subtracts the short position from it. Commercials are large mining companies and huge players in the market. They aren't traders. Most of them use the futures market to hedge their positions. While traders and the masses tend to be long at key market turning points the long-term commercial players tend to be right.
Gold is falling this morning before the open - taking a big hit. I'm getting lots of emails from people asking if I think gold is now in a bear market or if they should sell.