Gold made an ABCD against previously posted bearish area.

Nah, this isn't manipulated.

And it hits the HOD to the tick right at the cash close. Must be a coincidence.

Now how about an after-cash pop for me.

Well, they took out the high of the day, as I knew they must, but not with a big pop. They should close it at or near the new high tick for the move. Everything is as it should be, all prepped for Sunday night.

Well, I'll end the week with my latest thoughts. This is not sarcastic. That being said, just because I think something may happen doesn't mean I feel it's a safe game to play. I think the highest odds now favor that we will, indeed, see Armstrong's 32,000 on the Dow two years from now. Scott over at Harmonic Trader is on the bandwagon at Dow 30,000. We all know about Laszlo Birinyi's famous ruler applied to the S&P and where that extrapolation leads (2854 by Sept 2013, well, he was just a little early). I think it is all going to happen.

Other than attempts to play daytrades I won't be any part of it. I won't be acting like every dip is buyable, I won't be feeling or saying it's headed to new all-time highs every time. I think this will be the most dangerous market time that has ever existed. But, I am now of the opinion that the most likely case scenario is that the bulls all win, and win big. And the truth is, I am at the point where I no longer even care. I'm seriously back to putting 'retirement' back on the table. I'm thinking, health-wise, I just don't really want to see this head to 32,000...

People really need to see what is going on. Unfortunately, I'm not sure they will, until like he said, way too late.

http://armstrongeconomics.com/2013/10/12/democrats-continue-to-try-to-destroy-republican-party/

http://armstrongeconomics.com/2013/10/12/will-the-republican-party-divide-in-two/

http://armstrongeconomics.com/2013/10/12/manipulations-monetary-systems/

I still find it extraordinarily repugnant that while Rome burns and all this unfolds the Dow will head to 32,000, the S&P to say 3,400, all the blogs will stick themselves to their shorts in their giddy joy, and they, together with the main stream media, will proclaim this a new era of prosperity. When the Dow hits 32,000 they will say 'Stock prices have reached what looks like a permanently high plateau', and 'they are only getting started'. They will say the 'breakout' will lead to an acceleration, and Dow 100,000 will be coming soon (and not in a Zimbabwe sense). You think I'm joking? You think I'm being sarcastic? I'm not. Imagine their attitudes at Dow 32,000. Point is, not only are they just stupid, they are complicit in it all. And that just aggravates me to no end. Fun is fun, but this is getting beyond absurd, in a destructive way.

I love the first comment to the above article. It applies to the country in general (government jobs...), as well as entitlement programs.


Simple physics:

Too many people in the wagon; too few pushing it. More and more of those pushing are getting tired of pushing and climbing into the wagon themselves.

Result: Wagon stops.

I have always been on the side of hyperinflation. I see no way that won't happen. No way. But I see the merits of the deflationists. I've even mathematically worked out scenarios where we have both, although many argue that's not possible. I even coined new terms for this years and years ago in my website commentaries. I see Armstrong's view and The Automatic Earth, as far as deflation. I know the camps are really divided now, and the deflationists are outright laughing at the hyperinflation gold bugs. I also understand that hyperinflation has never happened to a country in a position like ours. Nonetheless, I see no way prices for staples won't rise extraordinarily. So, I guess it's a matter of terms. Definitions.

And no matter the definitions, I think it is inevitable that the dollars I hold now will buy me very little food, gasoline, utilities, and so on, not too far down the line. Look, at the current rate I am seeing for the above, in my real life since say 2008, by the most conservative estimates, I have lost just about 67% of the buying power of my life's savings. In five years! And the 'inflation' hasn't even started yet! The Fed says there is essentially none, and is trying to increase it! So, at this rate, with no success by the Fed in increasing the inflation, in another five years what I have left will have lost 90% of its buying power. If inflation increases over the next five years by the amount it was over the last five years (something I think is way too conservative, but let's just use that), my buying power will have decreased to just a fraction under 98%!

I lost 98% of the buying power of my money in ten short years, and they say hyperinflation is off the table? Okay, I agree, with true hyperinflation I would have lost 99.9999999999999999% of my buying power. Oops, my bad. Okay, we'll have super high inflation in staples, but no 'hyperinflation', and at the same time we'll have deflation. No matter how you label this, all I know for 1,000,000% sure is the money I worked my whole life for will all be stolen, via taxation, outright theft, and significantly rising cost of staples. Call it what you want.

http://www.theburningplatform.com/2013/10/12/the-coming-new-barbarism/

I dream of a day when all this corruption won't exist. But the next step as this all comes to an end is dictatorship/martial law. Then I'll be begging to be back to the complete corruption. It's so frustrating.

http://www.zerohedge.com/news/2013-10-12/chuck-schumers-bottom-line-dont-hurt-stocks

Interesting article, but I'm mostly posting it as a reference for this one quote.

"Iceland went through a similar deflationary event to that risked in the US today when its banking system collapsed and the currency halved overnight."

Now, wait, during a deflation their currency got cut in half? No, hold up, wait, all I've ever heard is that during a deflation cash is king, it's super rare, and its buying power increases. Yeah, uh-huh, that's what really happens in the real world. My money gets me more stuff. Uh-huh. Deflation and less buying power. Makes sense.

http://www.zerohedge.com/news/2013-10-12/gold-debt-ceiling-and-fed