Folks,
When we have a concensus on a major trend and all the legendary investment newsletter writers, who answer to no one but their subscribers, like our personal favourite Bob Chapman and many others like Richard Russell, Harry Schultz, James Dines and Jim Willie , say that the market is in decline and GOLD is in a mjor bull market then you cannot say that no one warned you, or that no one knew this was coming. For years we have heard all kinds of excuses on market results that make people feel better after the fact.
When we have a concensus on a major trend and all the legendary investment newsletter writers, who answer to no one but their subscribers, like our personal favourite Bob Chapman and many others like Richard Russell, Harry Schultz, James Dines and Jim Willie , say that the market is in decline and GOLD is in a mjor bull market then you cannot say that no one warned you, or that no one knew this was coming. For years we have heard all kinds of excuses on market results that make people feel better after the fact.
Here is a piece from Bob Chapman's newsletter that was provided by Richard Russell:
Russell on gold:
Question -- Russell, how do your studies of the primary trend affect gold?
Answer -- The gold bull market will be no exception to my studies of the primary trend. Gold is indisputably in a great primary bull market. Gold moved into its second phase, the longest phase, and the one that starts to interest the crowd. But we haven't seen the crazy third phase of the gold bull market yet. The third phase is the manic phase where everyone wants in and speculation grows to insane proportions. I believe the third phase of the gold bull market lies ahead, maybe six months to a few years ahead. There's no way to time it.
Understand this -- every item you buy, every trade you make, has a counter-party. I talked to a friend last night who was thrilled because he was heavily short the market. I asked him "Who's your counter-party for all these shorts?" He answered, "What are you talking about?" I replied, "If you make a killing on the short side, who's the counter-party, who's going to pay you your profits?" My friend turned white, "Gad, I see what you mean. I don't know who my counter-party is or whether they'll even be solvent if the market collapses."
And that's where gold comes in. Gold is pure wealth. It hasn't been produced by any bank or corporation, Thus gold doesn't have a counter-party, nor does it need one. Gold can't be devalued or thrust into bankruptcy. This is the fact that gold-haters seem incapable of understanding.
