He Who Has the Gold Makes the Rules

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  1. Congratulations! I have only told you only about five hundred thousand times that no gold sale feels like a sale.
  2. All gold sales of substantial opportunity feel like the end of your personal financial world, and this one has been no exception.
  3. Those of you who faced the winds of correction, held your head high, and bought, are today raising the flag of victory. Silver is up about 24% in 24 hours! Gold has soared to $1675, from the “ultimate on sale for you” point of $1530.
  4. Raise the gold flag, and celebrate your endurance. There was a song written about drug pushers, called something like “Gol Dang The Pusher Man!”. I say, “Gol Dang The Dollar Bugs!” should be your theme song, here and now.
  5. I told you repeatedly that one of the themes of 2011 is “gold goes aggressive”. I don’t know what percentage of gold analysts turned into top callers recently, and I don’t know what percentage engaged in selling their gold in size, but let me tell you a little bit about myself.
  6. I don’t sell gold bullion in size to buy crap. Crap is a bag of US dollars that pay anything less than 8% on a 30 year US T-bond, in my world.
  7. Click here now for a closer look at the gold rally. The top callers are celebrating their supposed victory vastly too soon, and they are doing it in dollars that could literally go off the trading board later in this crisis. Do you need ounces or dollars? If you need ounces, the time is here and the time is now, to take action. Ounces, not dollars, are what will take you to the other side of this crisis, intact.
  8. You can spend the next 500 years telling me all about why gold must fall down and I must avoid “the big correction”, if that really turns your dollarbug crank. The bottom line is that I don’t sell gold core positions for dollars unless the US Treasury is prepared to step up to the plate and hand me a 30 year T-bond that pays me 8% a year. That’s when I start buying bonds with core position gold, and not when I finish buying them.
  9. The idea of selling my gold in size for pure cash that pays no interest because “gold might fall down” is totally nonsensical.
  10. I’ve told you all to carry high cash levels because this is an all-epic crisis. That’s all there is to say about cash. I’m at about 30% cash personally, and roughly 22% for the monies I professionally manage. I don’t like to go under 20% cash, but to tell me to sell my core gold for cash because “it might fall down” is not going to do anything other than get me in a rage.
  11. I don’t think you understand how personal the dollarbugs made this fight. Do you understand what has happened to your constitution? They destroyed it. It can’t be fixed. There has to be a new one that doesn’t allow amendments. If you think a dollarbug in this crisis has any chance of convincing me to sell 1 gram of my core position gold or silver for their dollarbug crap, you are living on Mars.
  12. Most of you met me as the market collapsed in October of 2008, and you were staggered to see me buying both gold stock and the Dow right into the lows, hard and heavy. That was agonizing, but the profits that came “out of the hole” were mindboggling. Alcoa and GE were up 300% in just months, while team shorty pants was obliterated, as I told you would happen.

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