Let’s Pop the Cork!
Today, gold topped $1,650! Nearly 10 years ago, Jim Sinclair confidently stated that gold would trade at $1,650 on or before January 14th, 2011. “If I am wrong about gold at $1,650 on or before 01/14/11, it only means gold will trade much higher than $1650 five months later.”
I don’t recall the exact price of gold, at the time, but it must have been in the $300 range. He was only seven months off. No one believed him at the time. No one! I say his call was the most amazing prediction I have ever witnessed and I have followed the gold market since 1983. Recently, Jim increased his gold prediction to a short-term target of $1,764 and a potential top of $12,500. Are you laughing? If so, you were probably laughing ten years ago when he promised you $1,650.
For those of us who read JSMineset, we have seen this coming for over a year now. Recently Jim challenged his readers to calculate the price of gold needed to balance the balance sheet of America’s foreign debt. A few weeks ago, Jim put a solid number on those calculations, publicly increasing his gold prediction from $1650 to at least $12,500!
Sinclair also predicted “an explosive upwards move in gold this summer,” and stated that a “loss of control” could be this summer’s event that propels gold to unimaginable heights.
Take a look at the 60-day gold chart, below. This is the “explosive upward move in gold this summer” that Sinclair predicted, on the way up to and beyond $1,650. The only question now is will gold will hit Jim’s $1,764 on this up-move, or will there be a correction first?
THE MILLION-DOLLAR WAGER
On 2nd April 2008 Jim Sinclair put his money where his mouth is and predicted that gold would reach $1650 USD by the 2nd week of Jan 2011. He backed up his prediction by offering a $1,000,000 bet to anyone who was prepared to take him on. There were no takers.
If you had followed his advice and bought gold in 2008 at $900, then today, when it reached $1650, you would have made an 83% profit in 3 years!
On May 3rd 2011 he had this to say about gold and silver:
Silver helps and silver hurts. Silver did its normal silver thing. As poor man’s gold, silver always gets over speculated on minimal financing among the believers.
Then, as today, believers get sold out by the short play to follow.
There is no top in gold at this time, nor in all probability in silver.
In truth, the action is beneficial to the ability of gold to scale the heights 2011-2015 defined by Alf Fields and Martin Armstrong.
I just got back from the gym (3:45pm Eastern Time) and gold is at a new all-time high of $1,658 (the previous high was $1,637,50 on July 29th). This is a POWERFUL move, with gold up 2.33%. The Cartel NEVER EVER allows gold to rise more than 1% in any single day. Silver is up a large $1.60 to $40.84. The Dow is down a big 265.76 points, falling to 11,866.77. I can hardly wait to see what Richard Russell has to say about today’s action in gold and the Dow. It will be interesting!
So far, the markets have spoken, loud and clear – they are not happy with the resolution of the debt limit. Nothing good came out of yesterday’s sorry legislation, passed by the wimps in congress. So far, only the holders of precious metals are smiling. I know there are those, like Deepcaster and Larry Edelson, who believe that the Cartel will use the passage the extension of the debt limit as an excuse to pound the metals, but so far, that is not the case at all. But anything could happen. I maintain that if there is a correction from here, it will be shallow and short-lived.
Gold is up 11.82% in the last month. Gold is up nearly 41% in the last 12 months. Silver is up 19.59% in the last month. Silver is up over 122% in the last 12 months.
What have I been telling you for the last year? Did you pay attention to my ranting and pounding on the table, telling you to buy now or you would pay more later on? Have I not been urging you to get aboard this historic bull market for the past 10 years? Those of you who have been reading my newsletter for the last decade know I have been touting the bull market all along the way. I am not a latecomer to what is happening. But let’s not look back. Looking ahead, I tell you with sincerity and confidence, the big gains are yet to come. I will not be satisfied with just one more double. I expect more.
When gold and silver ease up and correct, again, which they will, do yourself a favor and load up. Do me a favor and call us at Miles Franklin (1-800-822-8080). Let us help you chose the best products and I promise you, we will be very competitive with our pricing. No one beats our service and professionalism.
Backwoods Jack probably thinks the only reason I write this newsletter is to generate business for Miles Franklin. Well, it certainly is gratifying when our readers honor us with their business, but this newsletter is a labor of love. The more people I can help, the more I smile. You have no idea how many wonderful emails I get every week thanking me for making a difference in their life. That is what makes it worthwhile every morning at 3 a.m. when I am putting the finishing touches on the daily.