|

The Gold and Silver ship will set sail

Over the last couple of months, gold has scaled record highs, peaking at over $2,430 an ounce before correcting and settling in the $2,300 range.

That's a healthy gain. But you could argue that gold remains significantly underpriced given the inflation we've experienced that continues to rapidly devalue the dollar.

That leaves many people wondering when gold is really going to break out.

It's impossible to predict the timing of such things, but as Metals Specialist Garth Patchen put it, "It will leave the port-of-call at some point."

"And like Noah's Ark of old, those who miss the boat will face a catastrophe.

The thing is there are only so many seats on board, and prices are relatively cheap at present. 

Do you really want to wait until the final hour?

Patchen paints a vivid word picture.

Imagine the masses trying to clamor aboard at the last minute, in the last hours before the doors close.

Unfortunately, their flimsy financial "life preservers" (fiat dollar-denominated assets) won't be adequate. They're not going to float in the tempest to come.

Imagine trying to bail out of stocks when they're dropping like a rock in an effort to salvage something close to your original investment (principal).

Imagine trying to get your cash out of the bank when "capital controls" are instituted, and you can only pull out $3,000 per day or less -- or none.

Imagine trying to purchase physical gold and silver at much, much higher prices.

Imagine the FOMO (Fear of Missing Out).

Imagine the fearful, stressful rush to find safety in the face of an oncoming disaster.

Imagine if you can, how sweet the sleep is of those who have prepared ahead of time for any eventuality.

And the worst scenario?

Imagine missing the boat altogether.


To receive free commentary and analysis on the gold and silver markets, click here to be added to the Money Metals news service.

Author

Mike Maharrey

Mike Maharrey

Money Metals Exchange

Mike Maharrey is a journalist and market analyst for MoneyMetals.com with over a decade of experience in precious metals. He holds a BS in accounting from the University of Kentucky and a BA in journalism from the University of South Florida.

More from Mike Maharrey
Share:

Editor's Picks

AUD/USD sticks to positive bias above 0.7100; lacks bullish conviction

AUD/USD trades with a positive bias for the second straight day, holding above 0.7100 in the Asian session on Friday as softer US bond yields keep US Dollar bulls on the back foot. Furthermore, hawkish RBA Governor Bullock's comments boost rate hike bets and support the Aussie. However, the Fed's hawkish outlook, along with geopolitical uncertainties, limits USD losses and caps the pair.

USD/JPY retreats below 157.00 as Ueda speaks on outlook

USD/JPY reverses the uptick to two-week highs near 157.30 in the European session on Friday as the Japanese Yen finds some respite from BoJ Governor Ueda's comments at the post-monetary policy meeting press conference. Earlier in the day, the central bank hiked the interest rate to 1.25%, with a surprise 7-2 vote.

Gold advances to fresh weekly top; eyes $$4,400 as softer US bond yields cap USD gains

Gold attracts some follow-through buying for the second straight day, and touches a fresh weekly high heading into the European session. US bond yields retreat further from multi-year highs as the recent pullback in crude oil prices helped alleviate immediate fears of runaway inflation. This caps gains for the US Dollar and supports the bullion.

Bitcoin extends recovery, Ethereum eyes $2,500, XRP holds $1.30
Bitcoin (BTC), Ethereum (ETH) and Ripple (XRP) extend their recovery, trading above $76,700, $2,400 and $1.300, respectively, on Friday. These top three cryptocurrencies now face key technical levels that could determine whether their recoveries extend further or pull back.
Cardano extends gains on bullish derivatives
Cardano (ADA) extends its recovery, trading above $0.210 at the time of writing on Friday, after finding support around a key zone earlier this week. Improving derivatives positioning and supporting technical indicators indicate growing bullish sentiment among ADA traders. Derivatives data shows a bullish tilt among Cardano traders.
How Japan became the World's Banker and why that era may be ending

Japan's ultra-low interest rates helped finance trillions of dollars in global investments for more than a decade, making the Japanese Yen one of the world’s cheapest sources of funding. With the Bank of Japan expected to tighten policy again this week, that advantage may be entering a new phase. While most major economies raised interest rates, Japan remained the world's outlier.