Gold Worm On The Yuan Hook

By Hugo Salinas Price – Re-Blogged From http://www.Gold-Eagle.com

Once again, I turn over in my mind the Chinese plan regarding their imported oil, which consists in convincing their oil suppliers to accept yuan in payment (and thus re-directing their sales outside the orbit of the US dollar) with an additional sweetener in case the oil exporters do not wish to hold assets denominated in yuan: the sweetener consists in offering to exchange the yuan received by the oil exporters, for gold purchased on the world markets – and not out of Chinese reserves.

Again, I mention that for the first time in 46 years – ever since that fateful date, August 15th, 1971, when Nixon took the US “off gold” – gold is once again mentioned as part of a commercial deal – and one of great importance.

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China Catalyst To Send Gold Over $10,000 Per Ounce?

By Mark O’Byrne – Re-Blogged From http://www.Gold-Eagle.com

Jim Rickards is on record forecasting $10,000 gold.

But is China about to provide the catalyst to send gold even higher? And by how much?

Today, we fare forth in the spirit of speculation… follow facts down strange roads… and arrive at a destination stranger still…

China — the world’s largest oil importer — struck lightning through international markets recently.

According to the Nikkei Asian Review, China has plans to buy imported oil with yuan instead of dollars.

Exporters could then exchange that yuan for gold on the Shanghai Gold Exchange.

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Gold Uplegs’ Three Stages

By Adam Hamilton – Re-Blogged From http://www.Gold-Eagle.com

Gold bull markets offer outstanding opportunities for traders to grow their wealth. These bulls consist of series of alternating uplegs and corrections. Naturally the best times to buy low within ongoing bulls are right after corrections when major new uplegs are being born. Gold uplegs have three distinct stages that are evident in real-time in key datasets. Understanding how gold uplegs play out leads to superior gains.

Bull markets in gold can be exceedingly profitable for investors and speculators. The last secular gold bull ran between April 2001 to August 2011. During that 10.4-year span, gold powered 638.2% higher! That radically bested the general stock markets’ 1.9% loss per the S&P 500 over that same time frame. Hardened contrarians willing to buy low as gold bottoms after long bears can ride all of gold’s big bull gains.

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Silver Prospects

By Ted Butler – Re-Blogged From http://www.Silver-Phoenix500.com

Here’s a recent interview I did with Jim Cook, President of Investment Rarities, Inc., for whom I’ve consulted for more than 17 years (where did the time go?). It’s gotten to the point where about the only interviews I do are with Cook, but that’s not due to our long relationship. Rather, it’s because he comes prepared and wastes no words, making my role easy. With Cook, it’s always about getting to the heart of the matter, with the least amount of fluff as required.

Cook: Are you disappointed with the recent price action in silver?

Butler: Of course, I thought we might finally be breaking out.

Cook: What happened?

Butler: It’s the same old story.  As I outlined previously, we were setup for a strong rally at the recent lows, but whether the rally was of the now-typical $2 to $3 variety or the big one was based upon whether JPMorgan added aggressively to COMEX silver short positions. JPMorgan, once again, stopped the silver rally cold by adding massive amounts of short contracts, just as they have on every silver rally over the past ten years.

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Eight Crooks Against The World

By Ted Butler – Re-Blogged From http://www.Gold-Eagle.com

I’d like to share what may be a different way of looking at the gold and silver market, but still remain focused on what has been the primary driver of price – changes in the COMEX futures market structure. It has become fairly common knowledge that prices rise when the managed money traders buy and prices fall when these traders sell. So great is the effect on price of this COMEX derivatives positioning that it is discussed in more commentaries than ever before. And that is due to what has become a clearly observable pattern of cause and price effect.

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Gold/Silver Shorts Extreme

By Adam Hamilton – Re-Blogged From http://www.Gold-Eagle.com

The gold-futures and silver-futures short positions held by speculators have rocketed up to extremes in recent weeks. These elite traders are aggressively betting for further weakness in gold and silver prices. But history has proven extreme shorts are a powerful contrarian indicator. Right as speculators wax the most bearish as evidenced by their collective bets, gold and silver decisively bottom and birth major new rallies.

Futures trading has a wildly-outsized impact on gold and silver prices, especially over the short term. It is amazing how much volatility futures speculators’ collective buying and selling generates, often drowning out everything else. Two factors are responsible for this dominance. The extreme leverage inherent in futures trading and the unfortunate fact the resulting gold and silver prices are the world’s reference ones.

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Gold-Futures Shorting Attacks

By Adam Hamilton – Re-Blogged From http://www.Gold-Eagle.com

Gold has suffered a sharp pullback over the past couple weeks, stoking much bearish sentiment.  While a variety of factors fed this selloff, the precipitating catalyst was a gold-futures shorting attack.  These are relatively-rare episodes of extreme selling specifically timed and executed to manipulate gold prices lower rapidly.  Traders need to understand these events, which are inherently self-limiting and soon bullish.

Gold-futures shorting attacks are very real, with telltale volume and price signatures unlike anything else.  I’ve studied them for many years now, and have written extensively about them in our newsletters as they occur.  But it’s critical to realize these rare events are only responsible for a tiny fraction of all gold selling.  The vast majority of the time gold selloffs are driven by other far-more-normal factors, not shorting attacks.

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