TRADER DAN NORCINI: The Roadmap For Gold

The Roadmap For Gold


Posted: Apr 22 2010 By: Dan Norcini Post Edited: April 22, 2010 at 3:14 am
Filed under: Trader Dan Norcini
Dear Friends,

I highly recommend the following brief article particularly whenever you get another Elliot Waver with their gloom and doom forecast for Gold. Not only is the article a stunning read but it also is a road map to the history of gold over the next few years.

The main point of interest is the conclusion drawn by the author (who by the way is a former Treasury Department official under a Democratic President so his argument cannot be dismissed as merely a partisan rant), is that the US is headed for a debt crisis eerily similar to that which erupted in the last year of the Jimmy Carter Administration back in 1979. You will recall that is the year during which gold went on to hit an all time high near the $850 mark.

Note also that the author comes to the same conclusion that we have been stating for years now, namely, that the fiscal condition of the US makes a Dollar crisis almost inevitable unless draconian measures are enacted, which incidentally I might add, will slam the brakes on any nascent economic recovery.

Considering the fact that gold is trading in nominal terms near the $1145 level, which is almost 40% below the all time high CLOSING monthly price of gold when adjusted for inflation, the stage is clearly set for gold to run to heights that many currently would believe are incredulous. However, one must take into account, as the article correctly and clearly sets forth, that the deteriorating condition of the US fiscal condition has no comparison going as far back as record keeping began in the US in 1792. That alone, especially his notes on the fiscal condition of the US as related to WWII are most enlightening.

Print a copy of this article and post it on the wall referring to it often and then understand why we here at this site are so concerned about our future as a nation and why we keep saying that the price retracements in gold are mere blips on the long term radar screen.

Also rest assured that if we know this, so too do the large Central Banks and monetary authorities of the rising economic powerhouses of the East.
DAN'S CHART INFLATION ADJUSTED GOLD PRICE:
http://jsmineset.com/wp-content/uploads/2010/04/Inflation-adjusted-gold-3-31-2010.pdf

ARTICLE DAN SAYS TO READ:

Financial Times: U.S. Debt to Hit $20 Trillion in 10 Years
http://newsmax.com/Newsfront/debt-20-trillion-obama/2010/04/21/id/356486



Trader Dan